Home / Net metering · Updated 2026-11-04

Net Metering for Rooftop Solar in India: How It Works Under PM Surya Ghar

After your rooftop system is installed, the DISCOM installs the meter and signs a metering agreement with you under your state's rules. The net meter comes from the DISCOM, or you can buy one from an enlisted meter vendor. The subsidy is processed only after the DISCOM has physically verified the system.

What net metering means

A rooftop system usually makes power during the day while you may use it at other times. The meter records what you take from the grid and what you send to it, so that your bill reflects the difference. The exact billing rule differs by state, so ask your DISCOM how it credits the power you export.

Which arrangements the subsidy covers

All metering arrangements approved by your state or UT electricity regulator are covered, including:

  • Net metering
  • Gross metering
  • Net billing
  • Virtual net metering
  • Group net metering

Virtual and group net metering qualify if the panels are on a roof, terrace, balcony or elevated structure, and the DISCOM approves the arrangement.

The meter step, in order

  1. Your vendor completes the installation and you update the portal with the details and documents.
  2. The application moves to the DISCOM, which inspects the system on site against the portal's checklist.
  3. The DISCOM signs the metering agreement with you, as required by your state's rules, and the meter is installed.
  4. The DISCOM approves the application on the portal. It can also send it back for corrections, or reject it with a reason.
  5. Only then is the subsidy processed: within 15 days of the DISCOM's approval.

Smart meters

  • Where smart metering has already been awarded under the national distribution reform scheme (RDSS), the DISCOM must install smart meters through its metering service provider.
  • Elsewhere, net meters should preferably be smart meters with a 4G cellular card, from the manufacturers' empanelled list and to the technical specifications published by the Central Electricity Authority.
  • If your inverter sends generation data through a SIM, dongle or Wi-Fi, the vendor must give the portal access to it, so you can track generation on the portal.

Who pays for the meter?

It depends on your quote. The guideline says the meter is provided by the DISCOM, or you can procure it from an enlisted meter vendor. The sample consumer-vendor agreement, by contrast, puts net meter supply, testing and approvals in the vendor's scope. Ask the vendor in writing whether the meter, its testing and the grid connection are included in the price.

Systems that do not export

Grid-connected systems that do not feed power into the grid, such as behind-the-meter or battery hybrid systems, can be eligible if the state regulator approves. The DISCOM inspects them and checks that the reverse power relay protection works. Off-grid systems are not eligible.

Next: see how to apply and how to check your status.

Common questions

Who installs the net meter?

The DISCOM installs the meter after your rooftop installation is complete. The meter is provided by the DISCOM, or you can buy one from an enlisted meter vendor. Your vendor's quote may include it, so ask.

Do I need net metering to get the subsidy?

Your system must be grid-connected, but you do not need one particular kind of metering: any metering arrangement approved by your state regulator is covered. Systems connected to the grid that do not feed power into it, such as behind-the-meter or battery hybrid systems, can also qualify with regulator approval. Off-grid systems cannot.

Do I need DISCOM approval before I install?

Systems up to 10 kW are deemed accepted without a technical feasibility approval, but only where your state regulator and DISCOM have put this into practice. Until then, upload the documents your DISCOM asks for.

Sources