Solar Power Net Metering with govt subsidy

Net Metering

Net metering allows residential and commercial customers who generate their own electricity from solar power to feed electricity they do not use back into the grid. Many states have passed net metering laws. In other states, utilities may offer net metering programs voluntarily or as a result of regulatory decisions. Differences between states' legislation and implementation mean that the benefits of net metering can vary widely for solar customers in different areas of the country.

What Is Net Metering?Net metering is a billing mechanism that credits solar energy system owners for the electricity they add to the grid. For example, if a residential customer has a PV system on the home's rooftop, it may generate more electricity than the home uses during daylight hours. If the home is net-metered, the electricity meter will run backwards to provide a credit against what electricity is consumed at night or other periods where the home's electricity use exceeds the system's output. Customers are only billed for their "net" energy use. On average, only 20-40% of a solar energy system's output ever goes into the grid. Exported solar electricity serves nearby customers' loads.

Find out what net metering is available from your utility and see what effect this has on the return you will get by installing a solar power system.

This digital meter runs in both directions to accommodate electricity generated at this customer's home.
A 4 kilowatt PV system on a home in this area would offset around 4911 kilowatt hours
of electricity each calendar year, saving the homeowner over $380 on their utility bill.

• Grid connected solar power system.
• Stand alone Offgrid system.

A grid connected system as the name suggests is the one in which your solar power system is connected to the local main grid. In this case, your loads can run on solar power as long as there is sufficient energy available from the sun during the day. Any deficit is taken care by the main utility supply. However, if the solar energy production is in excess as compared to the load requirement at that moment, the excess energy can be either stored in the batteries (if available) or can be sold back to the utility grid. This difference of energy can be tracked using a meter connected to your solar pv system.

Types of MeteringIn a solar powered system, usually following two types metering systems are involved:

• Gross metering
• Net Metering

In gross metering, entire energy generated by the solar PV system is fed back directly into the utility grid. In this case, the owner gets incentives based on feed-in tariffs proportional to the energy fed back to the grid.

However, net metering takes into account the difference of excess energy fed back to the grid and total energy consumed from the grid by the system owner. A detailed explanation about net metering is given below:Net metering is an agreement that allows the solar PV system owner to sell excess solar energy to the utility company or buy deficit energy from the utility company using a meter to track this energy exchange.llowing 2 cases take place in this scenario:Case 1: If at any moment of time, if solar energy generation (kWh) is less than the load requirement at that time, the difference of energy is taken from the main grid and the meter runs forward, as usual. In this case, the system owner is charged for the units (kWh) consumed from the main grid. Eg. During early morning or during late evening/night.

Case 2: If at any moment of time, if solar energy generation (kWh) is more than the load requirement at that time, the excess solar energy is fed back to the main grid and the meter now runs backward. In this case, the system owner gets credit for the units (kWh) fed back to the main grid. Eg. During peak sunshine hours (afternoon)

 

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