---
title: "Net Meter vs Net Feed-in Meter: The Hidden Truth About Your Solar Savings in Tamil Nadu"
url: "https://kondaas.com/net-meter-vs-net-feed-in-meter/"
type: "post"
published: "2026-10-10T15:03:00+05:30"
modified: "2026-10-10T15:07:25+05:30"
author: "siva sankar"
---

> “My neighbour’s solar wipes out his whole bill, but mine still comes to a few thousand rupees. Same panels, same sun. What’s going on?”

We hear this a lot, and the answer is usually not the panels. It’s the meter. In the **net meter vs net feed-in meter** question, the two sound almost identical, but they treat the power you send to the grid in completely different ways. One gives your units back. The other buys them from you cheap and sells them back to you at the full price.

If you’re planning rooftop solar in Tamil Nadu, this one difference can change your savings more than any choice of panel brand. Here’s how both work, which one applies to you, and what to do about it.

### In 60 Seconds

Net Metering vs Net Feed-in Metering: Which is better for your solar savings? Hear Kondaas founder Mr. Sanjay explain the key differences and what solar users should know. [Watch the Reel in 60 Seconds](https://www.instagram.com/reel/Dd6ZcjIJwah/)

### **Quick Answer: What’s the Difference?**

A **net meter** swaps units for units. Every unit your solar sends to the grid during the day cancels one unit you take from the grid at night, so each exported unit is worth your full electricity tariff. A **net feed-in meter** (also called net billing or net feeding) pays you a fixed, lower rate for the units you export, while you still pay your normal tariff for the units you import. You give power at one price and take it back at another. That gap is the “hidden truth” behind higher bills.

|  | Net meter (net metering) | Net feed-in meter (net feeding / net billing) |
| --- | --- | --- |
| What you get for exported units | Units, adjusted against your imports | Money, at a fixed feed-in tariff |
| Value of each exported unit | Your full tariff | A lower rate set by the regulator |
| What you pay for imported units | Only the net units (imports minus exports) | Your full tariff on every imported unit |
| Who it suits | Homes that use most power in the evening | Businesses that use most solar power during the day |
| Who gets it in Tamil Nadu | Domestic (household) consumers | Other LT categories (commercial etc.) and HT consumers up to 999 kW |

[TANGEDCO Net Metering Application Process](https://kondaas.com/tangedco-net-metering-application/)

### **How a Net Meter Works**

Picture a normal sunny day at home. Your rooftop system generates 15 units. During the day you’re out at work, so the house only uses 5 of them. The other 10 units flow out to the grid.

In the evening, after 6 pm, the lights, fans, TV and kitchen come on and the sun is gone. You draw 10 units back from the grid.

With a **net meter**, the meter simply counts both directions:

|  | Units |
| --- | --- |
| Exported to the grid in the day | 10 |
| Imported from the grid in the evening | 10 |
| Net units billed | 0 |

Under net metering, the grid works like a free battery. The 10 units you gave in the afternoon come back to you, unit for unit, in the evening. You only pay if your imports are higher than your exports over the billing period.

This is why net metering is so valuable for homes. Most families use power at night, exactly when solar isn’t producing.

What Happens to [Excess Energy from Solar Panels](https://kondaas.com/what-happens-to-excess-energy-from-solar-panels/)?

## **How a Net Feed-in Meter Works**

Now take the same day, but with a **net feed-in meter**.

Your 10 exported units aren’t stored as units. The utility buys them from you at a fixed feed-in rate. In the evening, the 10 units you draw back are charged at your normal tariff.

Here’s the same example. The rates are **illustrative only**, to show how the gap works:

|  | Units | Rate | Amount |
| --- | --- | --- | --- |
| Exported to the grid (credited) | 10 | ₹3.50 feed-in rate | ₹35 credit |
| Imported from the grid (charged) | 10 | ₹8.00 your tariff | ₹80 charge |
| You pay |  |  | ₹45 |

Under net metering you’d have paid ₹0 for those same units. The power is identical. Only the price changed between giving it and taking it back.

With a net feed-in meter, every unit you export and buy back later costs you the difference between your tariff and the feed-in rate. The more of your solar you export instead of using yourself, the more that gap costs you.

### **Which Meter Do You Get in Tamil Nadu?**

This is the part most people never get told. TANGEDCO’s published rooftop solar policy is clear about who gets what:

| Consumer type | Metering arrangement |
| --- | --- |
| Domestic (households) | Net metering |
| All other LT categories (e.g. commercial shops, offices) | Net feeding (net feed-in) |
| HT consumers, 1–999 kW | Net feeding (net feed-in) |
| HT consumers above 1 MW | Parallel operation (separate arrangement) |

If you’re a household in Tamil Nadu, you get net metering, the unit-for-unit version. If you’re a shop, office, school, factory or other non-domestic consumer, you’re on net feeding, where exports are paid at a feed-in tariff.

**What is the feed-in rate?**

The feed-in rate isn’t fixed forever. The Tamil Nadu Electricity Regulatory Commission (TNERC) sets it, and it has changed over time:

| Period / order | Feed-in rate |
| --- | --- |
| Systems commissioned in FY 2019–20 (TNERC rooftop solar order, March 2019) | ₹2.28 per unit |
| TNERC generic tariff (Nov 2021, valid to 31 March 2023), 1–10 kW | ₹3.61 per unit |
| Same order, 11–150 kW | ₹3.37 per unit |
| Same order, 151–999 kW | ₹3.10 per unit |

Net feeding can also carry a network charge on top. TANGEDCO’s policy table lists one for net feed-in.

**The rate that applies to you depends on when your system is commissioned and its size.** Always ask your installer, or check with TANGEDCO, which TNERC order applies before you sign. That’s why we’ve used ₹3.50 above only as an example. It sits in the range TNERC has set, but it isn’t a single official number you can rely on.

> [Commercial Solar System Cost in India 2026](https://kondaas.com/commercial-solar-panel-cost-india/) – 25kW, 50kW, 100kW Price Breakdown

## **The Hidden Truth: Why This Changes Your Payback**

Whether your solar pays back in 3 years or 6 often comes down to one question: **how much of your solar do you use yourself at the moment it’s generated?**

- **Self-consumed units** (used while the sun is shining) are worth your full tariff under both systems, because you never buy them from the grid.
- **Exported units** are worth your full tariff under net metering, but only the feed-in rate under net feeding.

So the two systems need different sizing:

|  | Net metering (homes) | Net feeding (businesses) |
| --- | --- | --- |
| Best system size | Match your total monthly use | Match your daytime use |
| Oversizing | Less harmful: extra units are credited at full value within the settlement rules | Costly: extra exports earn only the low feed-in rate |
| What boosts savings | Total generation | Using solar power while it’s generated |

**Direct answer:** Under net feeding, a system sized for your total monthly consumption often exports too much and earns too little. For a business, a smaller system matched to daytime load can deliver a better return than a bigger one.

### **What Businesses Can Do About It**

If you’re on net feeding, these steps protect your savings:

1. **Size the system to your daytime load, not your monthly bill.** Look at what you use between roughly 9 am and 4 pm. That’s the power solar can offset at full value.
2. **Shift heavy loads into daylight hours.** Run pumps, compressors, washing machines, water heating and other flexible loads while the sun is up.
3. **Consider battery storage only where the numbers work.** A battery stores daytime surplus for evening use, which avoids the export-and-buy-back gap. Batteries add real cost, so get the payback calculated for your actual load first.
4. **Ask which TNERC order applies before signing.** The feed-in rate and any network charge change your payback, so get them in writing.

> Our guide to[LiFePO4 solar batteries](https://kondaas.com/lifepo4-solar-battery-guide/) explains how they work.

## **What Homeowners Should Know**

If you’re a domestic consumer in Tamil Nadu, the good news is that you’re on net metering. Still check these three things:

1. **Make sure your connection is registered as domestic.** If a home is billed under a non-domestic category, it falls under net feeding.
2. **Don’t wildly oversize.** Net metering credits exports, but the rules settle over a set period. A system far larger than your usage doesn’t keep earning at full value.
3. **Get the meter installed properly.** Your savings only start once the bi-directional meter is fitted and the system is commissioned.

And if you haven’t claimed your subsidy yet: households in Tamil Nadu can get up to ₹78,000 from PM Surya Ghar plus up to ₹22,000 from the new state top-up under G.O. 102.

> See our [Tamil Nadu solar subsidy guide](https://kondaas.com/solar-subsidy-in-tamil-nadu-tangedco-guide/) for the conditions.

## **Is Net Metering Available Nationally?**

At the national level, the Ministry of Power amended the Electricity (Rights of Consumers) Rules in June 2021 to allow net metering for rooftop solar up to 500 kW, or up to the sanctioned load, whichever is lower. How each state applies this is decided by the state regulator and DISCOM. In Tamil Nadu, TANGEDCO’s adopted policy still places non-domestic LT and HT consumers on net feeding, so check your own category rather than assuming the national rule applies directly.

[Net Metering vs Net Billing](https://kondaas.com/net-metering-vs-net-billing/)

### **Not Sure Which Meter You’ll Get?**

The meter type decides how your solar should be sized, and the wrong size can quietly cost you for 25 years. Our MNRE-empanelled team checks your connection category, your daytime load and the applicable TNERC order before recommending a system size.

> [Get a free solar assessment from Kondaas](https://kondaas.com/contact-kondaas/)

### **Frequently Asked Questions**

1. **What is the difference between a net meter and a net feed-in meter?**

  A net meter adjusts exported units against imported units one for one, so each exported unit is worth your full tariff. A net feed-in meter pays a fixed, lower feed-in rate for exported units, while imports are charged at your normal tariff.
2. **Do Tamil Nadu homes get net metering or net feed-in?**

  Domestic consumers get net metering, according to TANGEDCO’s adopted rooftop solar policy. Other LT categories and HT consumers up to 999 kW are on net feeding.
3. **What is the net feed-in tariff in Tamil Nadu?**

  It’s set by TNERC and has changed over time: ₹2.28 per unit for systems commissioned in FY 2019–20, and ₹3.61, ₹3.37 and ₹3.10 per unit by size band under the 2021 generic tariff order. Check which order applies to your system’s commissioning date and size.
4. **Is net metering better than net feed-in?**

  For the consumer, yes, in most cases, because exported units keep their full value. Under net feed-in, you can still save well by sizing your system to daytime use and using as much solar as possible while it’s generated.
5. **Can a business in Tamil Nadu get net metering instead of net feeding?**

  Under TANGEDCO’s current adopted policy, non-domestic LT consumers are on net feeding. National rules allow net metering up to 500 kW, but state implementation governs what you actually get, so confirm with TANGEDCO or your installer.
6. **Does battery storage help under net feed-in?**

  It can. A battery keeps daytime surplus for evening use instead of exporting it at the low feed-in rate. Whether it pays off depends on battery cost and your load pattern, so get a calculation for your site.