Everything you need to know about the new self-generation electricity system Net-Billing
It is a fact that in recent years solar energy has experienced remarkable growth worldwide as well as in Greece. The rising trend in electricity prices, combined with the environmental awareness of the average Greek consumer, has led more and more professionals and investors to seek alternative ways to cover their energy needs.
The significant progress in photovoltaic technology, the rapid reduction in the cost of installing a system, as well as the institutional incentives provided by the Greek state, have all contributed decisively to the development of solar energy in the country.
In this context, the Ministry of Environment and Energy, as an improvement to the existing scheme (Net-Metering), introduces the new Net-Billing scheme, aiming for more efficient and financially beneficial compensation for the energy produced.
What is Net–Billing
Net-Billing (synchronized energy offset) is the new method of energy offsetting and applies to both households and businesses. It is called “synchronized offset” because the balancing of production and consumption occurs in real time (equal to the deviation settlement period—15 minutes). Essentially, it is a system that allows consumers to generate their own electricity from renewable energy sources (e.g., photovoltaic systems) and use it for their energy needs. If there is surplus energy, it is sent to the grid and credited to the consumer’s account. The main idea of Net-Billing is to compensate the producer-consumer for the energy fed into the grid. For households, the maximum power limit is 5 kW for single-phase systems and 10.8 kW for three-phase systems. For businesses, the maximum limit is the Agreed Supply Capacity.
What are the benefits of Net–Billing?
Due to the rapid increase in network usage costs in recent years, the profits from surplus energy in a Net-Metering system have been significantly reduced. The problem was more pronounced in households where users were away during the day (e.g. at work) and all consumption took place during nighttime hours when there was no production.
With the Net-Billing scheme, surplus energy is compensated either at a fixed rate or, in the future, according to a variable compensation price. Additionally, Net-Billing finally resolves the problem of energy providers’ reluctance to offset energy produced during summer and midday hours with energy consumed at night or in winter, when the cost of that energy is much higher.
Net-Billing offers significant benefits to consumers:
- Reduction of energy costs – The offsetting of generated energy reduces the final electricity bill.
- Increased energy autonomy – Dependence on the grid and fluctuations in energy prices are reduced.
- Sustainable development – The use of renewable energy sources is strengthened, contributing to the reduction of carbon dioxide emissions.
Key differences between Net-Billing and Net-Metering
At first glance, the operation of a Net-Billing system appears similar to that of Net-Metering. However, this is not the case due to one key difference. In a Net-Billing system, surplus energy is not offset but is compensated at the wholesale market clearing price at the time of injection into the grid. This essentially means that surplus energy is not credited for future use, as was the case with Net-Metering, but is instead compensated by the provider.
In summary, the main differences are:
- In Net-Metering, surplus energy is credited for future consumption at the purchase cost, whereas in Net-Billing the energy is sold immediately.
- Energy offsetting in Net-Metering applied only to farmers, vulnerable households, and public entities. Net-Billing applies to any legal or natural person.
- With Net-Billing, the self-producer utilizes all the generated energy either through self-consumption or through compensation, whereas in Net-Metering the surplus energy is credited for use for up to 3 years (after which it is reset).
The equipment required for installing a Net-Billing system does not differ at all from that of Net-Metering. The only difference lies in the way the investment is billed and amortized.
Net-Billing with Energy Storage
The integration of energy storage batteries into Net-Billing systems maximizes the benefits of self-generation while maintaining the ability to sell surplus energy. Specifically, with the installation of storage systems, excess energy is stored for future use, reducing dependence on the grid and enhancing energy autonomy.
The combination of photovoltaic systems and batteries within the Net-Billing framework enables the investor to avoid selling surplus energy to the grid at low prices and to utilize stored energy when market prices are higher or during periods when self-generation is insufficient.
The main advantages include:
- Energy storage for use during non-productive hours (e.g., nighttime).
- Reduction of energy costs: Minimizing the need to purchase electricity from the grid during peak hours.
Net-Billing photovoltaic systems with batteries use high-voltage lithium batteries, such as BYD batteries, which are combined with hybrid inverters like the Plenticore G3.
Virtual Net-Billing – Virtual synchronized energy offset
Virtual Net-Billing is the ability to install a PV system in any region of the country, regardless of the location of the consumption facilities to be offset. It is therefore suitable for consumers who cannot install photovoltaic systems at their main site, such as:
- Residential consumers in apartment buildings
- Businesses with branches in different geographical locations
- Farmers who have energy generation installations outside their main farms.
In the case of Virtual Net–Billing, all the energy produced by the photovoltaic (PV) station is fed into the grid, where it is offset (in real time) against the consumption at the user’s facilities. The energy offset is carried out using smart meters, comparing the facility’s consumption with the PV station’s production every 15 minutes. The consumer’s photovoltaic installation still draws energy from the grid as usual. From this drawn energy, the amount simultaneously produced by the PV station is subtracted. The remaining cost of the energy drawn from the grid is offset against the amount corresponding to the energy sold (settlement in €).
The maximum power limit is 100% of the total of the supplies subject to offset.
For more information, please do not hesitate to contact us.
Address: Laskareos 21 & Ippokratous, Athens, 11472
Phone: +30 210 3629581
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