Net Metering Meralco: How to Sell Solar Power Back to the Grid
Thinking of installing solar panels at home? Through Meralco Net Metering, homeowners and businesses with solar photovoltaic (PV) systems can export excess electricity back to the grid and receive credits on their monthly electricity bill.
This guide explains how Meralco Net Metering works, who qualifies, how much you can save, the application process, fees, requirements, safety standards, and how solar bill credits are computed in the Philippines.
What is Net Metering?
Net Metering is a government-supported renewable energy program under Republic Act 9513 or the Renewable Energy Act of 2008. It allows Meralco customers to install solar energy systems and export excess electricity to the power grid.
Instead of wasting unused solar energy during daytime hours, the excess electricity generated by your solar panels is sent back to the Meralco distribution network. The exported electricity is then converted into credits that reduce your future electricity bills.
This setup is commonly used by residential homeowners, commercial establishments, schools, and small businesses that want to lower electricity expenses while maximizing their solar investment.
How Meralco Net Metering Works
A solar panel system generates electricity during daylight hours. Your home first consumes the electricity produced by the solar panels. If your solar production exceeds your actual consumption, the excess electricity automatically flows back to the Meralco grid.
To monitor this two-way electricity flow, Meralco installs a bi-directional meter that records:
- Electricity imported from the Meralco grid
- Electricity exported from your solar system
- Total power consumed
- Total excess energy sent back
At the end of the billing period, Meralco deducts your export credits from your total bill.
Benefits of Meralco Net Metering
Lower Electricity Bills
One of the biggest advantages of net metering is reduced monthly electricity expenses. Excess solar energy offsets your imported electricity costs.
Faster Solar ROI
Selling unused electricity back to the grid helps homeowners recover their solar installation investment faster.
Cleaner Energy
Solar energy reduces dependence on fossil fuels and helps decrease carbon emissions.
Better Energy Efficiency
Monitoring your solar production encourages smarter energy usage and improved consumption habits.
Grid Stability
Properly connected renewable energy systems help support the national electricity supply during peak demand.
Added Property Value
Homes with professionally installed solar systems often become more attractive to buyers and investors.
Who Can Apply for Net Metering?
Meralco customers within its franchise area may apply for Net Metering if they install a qualified renewable energy facility such as:
- Solar photovoltaic systems
- Small wind systems
- Other approved renewable energy technologies
The renewable energy facility must:
- Have a capacity of 100 kW or below
- Meet Meralco safety and technical standards
- Pass inspection and evaluation
- Use approved electrical equipment and protection devices
Step-by-Step Meralco Net Metering Application Process
Install a Solar System
Choose a reputable solar installer that follows Meralco and ERC standards for residential or commercial solar installations.
Submit Application Requirements
Prepare your Net Metering application form, electrical permits, and supporting technical documents.
Distribution Impact Study
Meralco evaluates how your solar installation may affect the local distribution network.
Technical Inspection
Your solar installation and electrical connections will be inspected for safety and compliance.
Bi-directional Meter Installation
Meralco replaces your existing meter with a bi-directional meter capable of measuring exported power.
Activation and Energization
Once approved, your solar system is officially connected to the grid and eligible for bill credits.
Requirements for Meralco Net Metering
- Completed Net Metering application form
- Valid government-issued ID
- Customer Account Number (CAN)
- Solar PV system design and specifications
- Single line diagram
- Electrical permits
- Certification of Final Electrical Inspection (CFEI)
- Net Metering Agreement (NMA)
- Proof of payment for ERC-related fees
Meralco may request additional technical documents depending on your installation type and capacity.
Hosting Capacity Guide
Meralco also evaluates the hosting capacity of transformers to determine how much solar energy can safely be integrated into the local grid.
| Transformer Capacity (kVa) | Estimated Hosting Capacity |
|---|---|
| 10 kVa | 7 kW |
| 15 kVa | 7 kW |
| 25 kVa | 10 kW |
| 37.5 kVa | 14 kW |
| 50 kVa | 19 kW |
| 75 kVa | 29 kW |
| 100 kVa | 38 kW |
Actual allowable capacity may still vary depending on local transformer loading, voltage conditions, and distribution system limitations.
What is a Bi-directional Meter?
A bi-directional meter is a special electricity meter used in Net Metering systems. Unlike ordinary meters that only measure electricity consumption, a bi-directional meter records both:
- Electricity consumed from Meralco
- Electricity exported back to the grid
This allows Meralco to accurately compute your solar export credits and monthly electricity charges.
How Solar Credits Are Computed
The exported electricity from your solar panels is converted into peso credits based on the approved export rate under Net Metering rules.
Example:
- Your home consumes 400 kWh for the month
- Your solar system exports 120 kWh back to the grid
- Meralco deducts the equivalent export credit from your total bill
Your final electricity bill becomes lower because of the exported solar energy.
Common Fees and Charges
- Difference in Meter Cost (DIMC)
- Distribution Impact Study fees (if applicable)
- Electrical permits and inspections
- Solar installation costs
- ERC processing charges
For residential customers, the Difference in Meter Cost is capped at ₱3,000 based on ERC guidelines.
Important Safety Reminders
Installing unregistered solar systems without proper approval can create serious electrical safety risks, including:
- Electrical fires
- Backfeed hazards
- Electrocution risks
- Grid instability
- Equipment damage
Always work with licensed professionals and ensure your installation is officially registered with Meralco.
Tips Before Installing Solar Panels
Know Your Consumption
Review your average monthly kWh usage before choosing a solar system size.
Check Roof Condition
Your roof should have adequate strength, sunlight exposure, and proper panel orientation.
Use Trusted Installers
Choose solar providers with strong technical experience and after-sales support.
Understand Your Budget
Consider installation cost, maintenance, expected savings, and return on investment.
Frequently Asked Questions
It is a program that allows customers with solar systems to export excess electricity to the Meralco grid in exchange for bill credits.
Yes. Residential customers can apply if they install qualified renewable energy systems.
Renewable energy systems up to 100 kW are eligible.
Meralco installs a bi-directional meter for approved Net Metering customers.
Excess exported power is usually converted into bill credits rather than direct cash payments.
This guide specifically covers customers within the Meralco franchise area.
Unregistered installations are discouraged because they may violate safety and technical regulations.
Most grid-tied solar systems automatically shut down during outages unless paired with batteries or backup systems.
Processing time varies depending on document completeness, inspections, and technical studies.
Yes. Commercial establishments may also participate if they meet technical requirements.
Not always. Most customers still pay some charges depending on consumption and solar production.
It evaluates how your solar installation may affect the local electrical distribution system.
No. Batteries are optional for most residential Net Metering setups.
Eligibility depends on building policies, ownership structure, and available installation space.
For many households with high daytime electricity usage, Net Metering can provide substantial long-term savings.
Track Your Electricity Consumption Better
Want to estimate how much electricity your appliances consume before installing solar panels? Use our Meralco bill and appliance guides to understand your monthly usage and identify areas where you can save more energy.
Use Meralco Bill Calculator