Introduction
Net metering and net billing are often confused, but they operate differently and affect investments in different ways.
Understanding the difference is essential.
What is Net Metering
Energy offset system.
Excess energy is returned to the grid and later consumed.
No direct revenue — only savings.
What is Net Billing
Excess energy is sold to the grid.
Energy becomes a source of income.
Key Difference
Net metering = offset
Net billing = monetization
Which is Better
Depends on the goal.
- Self-consumption → net metering
- Investment → net billing
Conclusion
The two models serve different purposes and should not be confused.
