When having a grid-tie solar panel system, you can use solar energy in a smart way. When your system is producing electricity from sunlight, you can use it for your dishwasher and other home appliances.
If there is any excess energy produced by the solar panels, it can be sent to the grid. In return, your electricity provider will pay you a feed-in tariff.
If the system does not produce enough solar energy, you can import electricity from the grid. As opposed to solar energy, you will have to pay for this electricity. In other words, you will need a device that displays how much energy has been imported and exported.
This is where the smart meter comes into the picture.
What is a solar smart meter?
A solar smart meter, also often referred to as a “net meter” or an “import/export meter”, is a device that makes it possible to measure how much energy has been sent to and from the electricity grid.
In other words, the smart meter will measure both the imported and exported energy amount (usually in kW).
How does a smart meter work?
A smart meter works by measuring the total energy use of your household. If your home has a solar panel system installed, the smart meter will measure how much energy has been sent into the grid, and also how much energy you have imported.
Normally, all excess solar power will automatically be transferred to the grid. If your solar panel system produces 3,000 W of electricity and you only use 1,500 W, the excess 1,500 W will be sold to your electricity retailer.
This process is called net metering and means that all solar energy that is not used will be exported continuously.
Do you need a solar smart meter?
Yes, if you have a grid-connected solar panel system, you will also need a smart meter or a net meter. Many Australians have old, analogue electricity meters. When going solar, this will need to be replaced by a smart meter.
Electricity meters are traditionally used to measure the amount of electricity sent from the grid to your home (imported energy). When you have a solar panel system, it is also necessary to measure the amount of energy exported.
Some households already have a smart meter. If so, this will only need to be reconfigured by your energy retailer for you to be able to export surplus solar energy into the grid.
What does a meter upgrade cost?
When upgrading your electricity meter to a solar smart meter, this will usually come with additional costs. However, the exact cost will depend on several factors:
- Your existing meter
- Your location
- Whether your home has a single- or three-phase power system
For households that already have a solar-friendly smart meter that only needs reconfiguring, the cost will be relatively low (sometimes as low as $80).
However, if the property uses three-phase power and you have an old analogue meter, you will need to replace it with a completely new smart meter – which can cost up to $700. This cost is usually paid directly to your energy retailer.
Will you need a switchboard upgrade when going solar?
The central switchboard of your home is the unit that distributes electricity from one (or sometimes several) supply sources to different load circuits. It holds all your household’s safety switches and circuit breakers and will protect the house from fire hazards.
When a solar panel system is installed, it is usually also necessary to install some additional switches and circuit breakers for safety reasons. An upgrade of your switchboard will typically cost you somewhere between $200 and $1,500.
The exact cost will, of course, depend on the upgrade needed and what price your installer demands. Please contact your power retailer for a specific price estimate.
Who will install the smart meter?
While the solar panel system itself is installed by a CEC-approved solar installer, the smart meter will normally be installed by a technician from your energy retailer company (or sometimes a network operator).
In some cases, the smart meter installation is done before the solar installation, but it may also happen after. If the smart meter upgrade is done after the solar panel installation, you will have to wait for the whole system to be completed before using the solar panels.
Local rules for solar smart meters
Across Australia, there might be different rules when it comes to electricity meter upgrades when going solar. To make sure you get the right information, we recommend you contact your energy provider if you have any questions.
Get your solar panel system and smart meter installed, and look forward to the economic and environmental benefits of going solar!