GUIDES · GUJARAT
Net Metering vs Net Billing vs Gross Metering in Gujarat, Explained
Net metering, net billing and gross metering compared with one 3.3 kWp example. Which one DGVCL homes are on, and why the difference changes your savings.
The meter DGVCL puts on your roof decides how your solar units are counted, and that decides your saving. There are three common arrangements, net metering, net billing and gross metering. For homes in Gujarat it is net metering, and it is the best of the three for a household. Here is how they differ, using one example.
One example, three ways
Take a 3.3 kWp home in a sunny month. The system makes 450 units. The family uses 180 of them directly while the sun is up, and sends the other 270 to the grid. At night and in the evening they draw 250 units from the grid. Tariff is ₹8 a unit and the surplus rate is ₹2.25.
| Net metering | Net billing | Gross metering | |
|---|---|---|---|
| How units are counted | Export subtracted from import | Import and export valued separately | All generation sold, all use bought |
| Imports | 250 minus 270, net export of 20 | 250 at ₹8 = ₹2,000 | 430 at ₹8 = ₹3,440 |
| Exports | 20 surplus at ₹2.25 = ₹45 credit | 270 at ₹2.25 = ₹608 credit | 450 at ₹2.25 = ₹1,013 credit |
| Energy bill for the month | about ₹0, plus ₹45 credit | about ₹1,392 | about ₹2,427 |
| Without solar | 430 units at ₹8 = ₹3,440 | same | same |
The feed-in rate under gross metering is often different from the net metering surplus rate. We used ₹2.25 in all three columns so the comparison stays fair. Fixed charges apply in every case and are left out.
Net metering
The bi-directional meter records units in and units out. At the end of the billing period, DGVCL subtracts one from the other. Each unit you export cancels a unit you import later, so it is effectively worth the full ₹8. Only units left over after all imports are cancelled earn the lower ₹2.25.
This is what homes under PM Surya Ghar in DGVCL areas get. It is why we size a home system to its use rather than its roof. Beyond your use, extra units earn little. The DGVCL net metering guide has a full month by month example.
Net billing
Net billing, sometimes called net feed-in, uses the same kind of meter but values the two readings separately. Everything you import is charged at your tariff. Everything you export is paid at the lower rate. The rupee amounts are then netted.
The difference from net metering is the 270 exported units. Under net metering most of them cancel imports at ₹8. Under net billing all of them earn ₹2.25. That is why the same system saves much less. Some states use net billing for commercial and industrial consumers. If you run a shop or factory, ask your installer which arrangement applies to your category in Gujarat before you size the system.
Gross metering
Under gross metering the solar system is effectively a small power plant. All its output goes to the grid at a feed-in rate, and your home buys every unit it uses at the normal tariff, as if the panels were not there. It makes sense when selling power is the point, such as a farmer’s plant under PM-KUSUM Component A. It is not what a home wants.
What to take from this
For a home in Gujarat, net metering is already the arrangement and the most favourable one. What you control is the size. A system matched to your yearly use gets the full ₹8 value for nearly every unit. A system far bigger than your use sends many units out at ₹2.25. Put your bill into our savings calculator to see the size that fits.
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Questions people ask
Which metering do homes in Gujarat get?
Homes connected under PM Surya Ghar in DGVCL areas are set up with net metering, using a bi-directional meter. Import and export are netted over the billing period, and any surplus is credited at a lower rate set by GERC, about ₹2.25 a unit at the time of writing. Rules for shops and factories differ, so check your category with your installer.
What is the difference between net metering and net billing?
Net metering subtracts exported units from imported units, so each exported unit cancels an imported one at full tariff. Net billing values the two separately. Imports are charged at your tariff, exports are paid at a lower fixed rate, and the two rupee amounts are then netted. For the same system, net billing almost always gives a smaller saving.
What is gross metering?
Under gross metering, everything the solar system produces goes to the grid and is paid at a fixed feed-in rate. Your home keeps buying all its power at the normal tariff. It suits someone selling power as a business, such as a farmer under PM-KUSUM Component A, not a home trying to cut its bill.
Can I change from one metering type to another?
Only if the rules for your category allow it, and it needs an application to DGVCL. In practice most homeowners do not need to, since net metering is the most favourable of the three for them.