Energy credits in form net-metering is proving to be the most popular
as it allow the customers all the benefits of grid tie systems.
• Net metering is a solar incentive designed to increase the return on
your investment in a PV system by crediting your bill for this surplus
power at a predetermined rate.
• With net metering, you are billed for the net amount of electricity you
used during the billing period. In other words, you pay the difference
between the electricity coming from the grid and the electricity you
put back into the grid.
Net metering regulation allows you to send electricity generated from
renewable sources to the electrical grid for a credit toward your energy
costs. Here’s how it works. Your utility will subtract the value of electricity
you supply to the grid from the value of what you take from the grid. What
you’ll see on your bill is the “net” difference between those two amounts.
Net metering means you no longer need to purchase expensive batteries or
a backup generator – or factor those costs into the price of installing a
renewable energy generation system. If you supply power that is worth
more than what you take from the grid over the billing period, you’ll
receive a credit that can help lower future energy bills. The more electricity
you produce, the greater your savings. Your local utility will continue to read your meter just as they do now. The bill you see will reflect the difference between the value of the
energy you exported to the grid and the value of the energy you
needed to take from the grid. All of the regulated charges apply only
to your net consumption. If that portion of your bill is zero, or a
credit, your bill will include only your distributor’s fixed monthly
customer charge. And if you have more credit than you can apply to
one bill you can carry the balance forward for up to one year to offset
future costs.Net metering is a multi-step process that requires careful
consideration. Here are the initial steps you’ll need to undertake:
• Find out more about the process. The first step is to contact your local
utility company. They can provide details about the technical
requirements, the approval process, and how to obtain your net metering
agreement. You may also want to contact Electrical
Safety Authority and state nodal
agency for Ministry of new & Renewable Energy. They must inspect
and approve your system. Along with your utility, the CEIG is
responsible for ensuring that your renewable energy system is
properly connected to the electrical grid. Determine what size system will suit your needs. In order to size your system, identify your individual energy requirements. (An average
home uses about 10,000-12,000 kW annually.) You can use your
previous bills as a starting point. It’s also worth considering what
energy requirements you can reduce through, for example, energy efficient
appliances and lighting. Remember, your credits can only be
carried forward for 12 months, so there is no value in over-sizing your
system. And bear in mind, too, that the maximum production
allowable is 20000 kW or 30% of the capacity of the transformer
feeding your home. (Most residential transformers allow between 30
and 60 kW of solar rooftop.). Or simply contact Shaktisteller Energy Solutions.