Net Metering in Vadodara: How Your MGVCL Bill Changes With Solar

The May bill that starts the conversation

Picture a familiar scene (a hypothetical one): it is May in Vadodara, the AC has run every afternoon since March, and the MGVCL bill on the table is the biggest of the year. Someone in the family says, "Neighbours put solar and their bill almost vanished. How does a meter run backwards?"

Here is the short answer. Net metering lets your rooftop solar plant send spare daytime units into the MGVCL grid and take units back at night. At the end of each billing cycle, you pay only for the net units you drew.

This guide explains exactly what changes on your bill, what Gujarat pays for extra units, and the one sizing mistake that quietly wastes money.

Net metering in one minute

Think of the grid as a bank account for electricity. Your panels make "deposits" during the day, and your home makes "withdrawals" at night. The bidirectional meter is the passbook that records both.

Here is how a typical day plays out:

• Morning to afternoon: panels produce power. Your home uses it first, for fans, the fridge, the AC or the water pump.
• Extra power: whatever your home does not use flows out through the meter into the MGVCL grid.
• Evening and night: panels stop, and you draw power from the grid as usual.
• End of the billing cycle: exports are set off against imports, and you are billed on the difference.

Who sets the rules for Vadodara homes

Vadodara is served by Madhya Gujarat Vij Company Limited (MGVCL), which also covers Anand, Kheda, Panchmahal, Dahod, Mahisagar and Chhota Udepur districts. MGVCL does not invent its own solar rules. It follows the Gujarat Electricity Regulatory Commission (GERC) net metering regulations and the state's solar policy.

Three rules matter most to a homeowner:

• No sanctioned-load cap for homes. The Gujarat Solar Power Policy 2021 allows residential rooftop solar irrespective of your sanctioned load.
• Minimum size is 1 kW. GERC's 2024 amendment says rooftop capacity at a premises cannot be less than 1 kW.
• Above 6 kW, extra charges may apply. The same amendment lets DISCOMs recover system strengthening charges for aggregate rooftop capacity above 6 kW.

What happens to your extra units

This is where most people get surprised. Netting happens within a billing cycle, and only what is left over gets "sold".

GERC has also published a draft regulation in 2026 that keeps the ₹2.25 residential surplus rate, "or such rate as may be specified" later. A draft can change, so we will update this page if the final rules differ.

Why solar removes your most expensive units first

MGVCL's residential tariff is slab-based. Under the FY 2026-27 tariff order, post-paid energy charges for urban homes (Rate RGP) are:

On top of that, the tariff order sets a base fuel and power purchase adjustment surcharge (FPPAS) of ₹2.52 per unit for FY 2026-27, revised by a formula during the year. Fixed charges and electricity duty are extra.

So a unit above 250 costs roughly ₹5.20 + ₹2.52 = ₹7.72 before duty. When solar lowers your net units, the units that disappear first are those top-slab units. That is why a 450-unit home feels the savings more than a 150-unit home.

The paperwork path, step by step

Net metering is part of the same application as your rooftop plant. Under the PM Surya Ghar guidelines, the broad sequence is:

1. Apply on the national portal using your MGVCL consumer number.
2. Feasibility: for systems up to 10 kW, the guidelines say applications are deemed accepted under the Electricity (Rights of Consumers) Rules, wherever that provision is operational.
3. Installation by a vendor registered on the portal.
4. Upload system details and geo-tagged photos.
5. DISCOM inspection, bidirectional meter installation and commissioning.
6. Subsidy release, if you applied for it.

We do not quote fixed timelines for MGVCL steps. The timeline belongs to the DISCOM, and it varies with workload and paperwork quality.

Three metering words people mix up

You will hear these terms from neighbours, installers and online forums. They are not the same thing, and the difference changes your savings.

• Net metering: exports are set off against imports in the same billing cycle, and you pay for the net. This is the arrangement Gujarat's residential agreement describes.
• Net billing: imports and exports are valued separately, usually at different rates. The PM Surya Ghar guidelines recognise it where a state regulator has approved it.
• Gross metering: all solar generation is sold to the DISCOM and all consumption is bought separately. It is uncommon for homes.

What this looks like for a typical Vadodara home

That example also shows the sizing logic. The family is not chasing surplus at ₹2.25. They are wiping out units that would otherwise cost them ₹7.72 or more.

Want to run your own numbers? Use the solar savings calculator or read what size solar system you actually need.

Next step

If you are in Vadodara, the next step is simple: book a free site survey. An engineer checks your roof, shadows and electrical setup, then sizes the plant to your real MGVCL bills.

Call +91 95375 66799 or use the contact page. You can also read more about rooftop solar in Vadodara.