Every solar installation in Telangana and Andhra Pradesh is connected to the DISCOM grid under net metering regulations โ and understanding these rules is essential to accurately modelling your solar project's financial return. The 2025 gazette amendments brought important changes to how TSSPDCL and APEPDCL handle solar export, settlement cycles, and metering requirements.
What Is Net Metering?
Net metering is the regulatory framework that allows rooftop solar owners to export surplus power to the grid and receive credit against their electricity bill. During daylight hours when your solar generation exceeds your consumption, surplus units flow back to the grid. Your bidirectional meter records both import (grid โ consumer) and export (consumer โ grid) flows. The difference between imported and exported units is what you pay for โ or receive credit on.
In practice, a well-sized solar system generates surplus power primarily on weekends, public holidays, and during midday when loads are lower. This surplus is "banked" with the DISCOM and used to offset future bills โ effectively making the DISCOM your battery storage partner for seasonal banking.
Key 2025 Gazette Amendments โ TSSPDCL
The 2025 Telangana Electricity Regulatory Commission (TGERC) amendments updated the Net Metering Regulations with several important changes. The settlement cycle was clarified as monthly net billing โ meaning surplus units from one month can be carried forward but are not indefinitely bankable beyond the annual settlement date. At the annual settlement, any remaining banked units are compensated at the Average Power Purchase Cost (APPC), which is typically lower than the retail tariff.
The 2025 amendments also tightened the metering standards โ bidirectional smart meters are now mandatory for all new net metering connections, replacing older mechanical meters in phased upgrades. The DISCOM is responsible for meter supply and installation, but the consumer pays a one-time metering charge. New applications must include a single-line diagram signed by an empanelled electrical consultant and a commissioning certificate from the solar EPC contractor.
Key Changes โ APEPDCL/APSPDCL
Andhra Pradesh's APERC issued revised net metering regulations in 2025 that brought parity between APEPDCL (East) and APSPDCL (South) in terms of settlement methodology. The key change is the introduction of a prosumer tariff framework โ where HT consumers above 100 kW solar capacity are treated as prosumers and subject to a wheeling charge on exported power. This is a cost that didn't previously exist and must be factored into financial models for large C&I installations in AP.
Practical Implications for Your Solar Project
For LT consumers (below 11 kV) with systems up to 500 kW, net metering remains straightforward and economically attractive. Your exported units are credited at your import tariff rate during the month, and the annual excess is compensated at APPC. For most C&I sites with good daytime load matching, the effective self-consumption ratio is 70โ85%, making net metering credits a supplementary โ not primary โ revenue stream.
For HT consumers and large rooftop systems above 500 kW, the new wheeling charge structure in AP and the HT banking regulations in Telangana require careful modelling. ARIA Green Energy's proposals include a detailed net metering analysis that accounts for your specific DISCOM's current tariff order and settlement methodology.
The Application Process
The net metering application process involves: (1) Technical Feasibility Report from DISCOM, (2) Agreement signing between consumer and DISCOM, (3) Solar system installation by empanelled EPC contractor, (4) DISCOM inspection and metering, (5) Commissioning certificate and net meter activation. ARIA handles steps 1 through 5 end-to-end as part of our EPC delivery โ ensuring your project goes live without bureaucratic delays.
Frequently Asked Questions
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