Is net metering still available in India in 2026?

Yes. Net metering is mandatory for residential rooftop solar up to 10 kW under PM Surya Ghar Muft Bijli Yojana. Above 10 kW, rules vary by state — some offer net billing, a few mandate gross metering.

Which is better — net metering or net billing?

Net metering is almost always better for the consumer, because export units offset at full retail tariff. Net billing pays only the lower feed-in rate (₹2.50–3.50/unit in 2026) for exported energy, stretching payback by 2–3 years.

Can I get paid cash for extra solar export?

Under net metering, year-end surplus is typically paid at the Average Pooled Power Purchase Cost (APPC), around ₹3.50–4.20/unit in 2026. Under net billing and gross metering, export payment is continuous at the regulator-fixed feed-in tariff.

What happens to net-metering credits if I change my address?

Credits are tied to the consumer number, not the premises. If you relocate, unspent credits are typically paid out at APPC rate within 45 days of the final reading.

Solar & Subsidy · 7 min read

Net Metering vs Net Billing vs Gross Metering — India 2026

2026-04-22

ଗାଇଡ୍ ଲେଖା ଇଂରାଜୀରେ ଉପଲବ୍ଧ। ଆପଣଙ୍କ ଭାଷାରେ ସାରାଂଶ ଉପରେ ଦେଖାଯାଇଛି।

If you're installing rooftop solar in 2026, the single most important question — bigger than panel brand or inverter type — is how your DISCOM settles your exported energy. The three regimes look similar on paper, but the payback difference can easily be 2 years.

The three regimes

Net metering: Your meter runs backwards when you export. You pay only for the net (import − export) units in a billing cycle. Surplus at year-end is forfeited (or paid at APPC rate).
Net billing: Import and export are metered separately. Import is charged at full retail tariff; export is credited at a lower, regulator-fixed rate (typically ₹2.50–3.50/unit in 2026).
Gross metering: 100% of solar generation is exported to the grid at a fixed feed-in tariff. You pay the full retail tariff for everything you consume. This is essentially a power-purchase agreement with the DISCOM.

2026 state-by-state status

Net metering (best for consumer): Maharashtra, Gujarat, Rajasthan, Tamil Nadu, Punjab, Haryana, West Bengal — available for residential up to 500 kW.
Net billing: Karnataka (above 10 kW), Andhra Pradesh, Kerala (above 3 kW).
Gross metering: Uttar Pradesh (mandatory above 10 kW), some discoms in Bihar.

Under PM Surya Ghar Muft Bijli Yojana, all residential systems below 10 kW must be offered net metering — this was the crucial policy shift of 2024.

The money difference, illustrated

Take a 5 kW system generating 600 units/month in a house consuming 400 units/month. Export = 200 units. Retail tariff = ₹8/unit; feed-in rate = ₹3/unit.

Net metering: Bill = 0 × ₹8 + 200 units credit carried forward. Annual saving ≈ ₹57,600.
Net billing: Bill = 400 × ₹8 − 200 × ₹3 = ₹3,200 − ₹600 = ₹2,600 payable. Annual net cost ≈ ₹31,200. Saving vs no-solar ≈ ₹26,400.
Gross metering: Bill = 400 × ₹8 − 600 × ₹3 = ₹3,200 − ₹1,800 = ₹1,400 payable. Annual net cost ≈ ₹16,800. Saving ≈ ₹21,600.

The same hardware, three different answers. Net metering pays back in ~3.5 years; gross metering in ~6–7 years.

Year-end true-up

Under net metering, if you generate more than you consume over a full year, most states pay for the surplus at the Average Pooled Power Purchase Cost (APPC) — typically ₹3.50–4.20/unit in 2026. Don't oversize your system expecting full retail rates on surplus.

Model your own payback with state, tariff, and roof area in our rooftop solar calculator.

ବିଲ୍ କାଲକୁଲେଟର

ବିଲ୍ ଗଣନା କରନ୍ତୁ →