Net metering in India: how your solar bill really works

Last verified: 13 October 2026

Net metering lets your rooftop solar system send extra electricity to the grid and draw power back when the sun is down. A special two-way meter records both, and your electricity company bills you on the difference.

How net metering works

Daytime: your panels power your home first. Extra units flow to the grid and are recorded as export.
Night or cloudy days: you draw units from the grid, recorded as import.
Billing: you pay for import minus export. If you export more than you import, the surplus is carried forward or paid out, depending on your state's rules.

Why exported units can be worth less

In many states, surplus units left over at settlement are paid at a lower rate than the rate you pay to buy power. Homeowners on public forums often report surprise at this, because some installers calculate savings using the full purchase tariff.

Practical tip: size your system close to what you actually use, and run heavy appliances (washing machine, water pump, AC) during sunny hours so you use solar units directly.

Worked example (illustrative)

Say you use 500 units a month and your 5 kW system produces 600. With net metering you import 500 minus 600 = no net import, and 100 units are surplus. Those 100 units are credited or paid at your state's surplus rate, which is often lower than your purchase tariff. Exact rates vary by state and change over time — check your electricity company.

How to apply

Homes using the PM Surya Ghar subsidy apply on the national portal; the net metering agreement is part of that online application.
Your electricity company checks the application, your installer fits the system, then the company inspects it and installs the net meter.
Keep your latest paid bill, ID proof and proof of ownership or the owner's no-objection letter ready.

In your city

Delhi

Electricity company: BSES Rajdhani, BSES Yamuna or Tata Power-DDL (depends on your area)

Under Delhi's 2026 amendment, homes applying under PM Surya Ghar go through the national portal, and the process is two stages: technical feasibility, then document check, inspection and net meter installation.
BSES's checklist asks for an ID proof, latest paid bill, occupancy proof with roof rights, and an owner's NOC if you rent.

DERC net metering amendment, 16 Jul 2026 (PDF) BSES net metering process (PDF)

Mumbai

Electricity company: MSEDCL in most suburbs; parts of Mumbai are served by BEST, Adani or Tata Power

MSEDCL follows the Maharashtra regulator's net metering rules and publishes its procedure, application form and agreement online.
If your bill comes from BEST, Adani or Tata Power, apply through that company instead.

MSEDCL rooftop net metering MSEDCL I-SMART solar guidelines

Bengaluru

Electricity company: BESCOM

BESCOM's agreement for national portal applicants is written on a gross metering basis: all generated units are sold to BESCOM at a tariff set by the Karnataka regulator. Confirm with BESCOM which arrangement applies to you before sizing your system.

BESCOM solar rooftop (national portal)

Pune

Electricity company: MSEDCL (Mahavitaran)

Pune is served by MSEDCL, so the same Maharashtra net metering procedure and forms apply.

MSEDCL rooftop net metering MSEDCL I-SMART solar guidelines

Chennai

Electricity company: TNPDCL (formerly TANGEDCO)

The Tamil Nadu solar homes portal explains net metering: you pay on the difference between import and export, and are paid for net export if you export more.

TN Solar Homes portal FAQ

Hyderabad

Electricity company: TGSPDCL (Southern Power Distribution Company of Telangana)

Apply through the PM Surya Ghar national portal and select TGSPDCL as your electricity company. We could not confirm a dedicated official net metering page for this guide.

PM Surya Ghar National Portal

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Frequently asked questions

Will my electricity bill become zero with net metering?

Not always. Fixed charges usually remain, and surplus units may be valued lower than units you buy.

Do I need a new meter?

Yes. Your electricity company installs a two-way (net) meter after inspecting your system.

Can tenants apply?

Usually yes, with a no-objection letter from the owner. Delhi's BSES checklist asks for one on stamp paper.

Official sources

Rules, rates and subsidy amounts change. Figures here are estimates for guidance only — always confirm with your electricity company and the official portal before you sign. Last verified 13 October 2026.