Net Metering vs Feed-in Tariff in the Philippines
Two solar billing programs exist under Philippine law: net metering and the feed-in tariff. If you are a homeowner or business owner in the Meralco franchise area considering solar, only one of these programs applies to your installation. This page explains what each program is, who qualifies, and why net metering is the only program available to residential and commercial solar customers today.
ERC Net Metering Program · Republic Act 9513 · Meralco customers up to 100 kW
What Is Net Metering in the Philippines?
Net metering is a billing arrangement under Republic Act 9513 where a Meralco customer who installs a solar panel system can export excess electricity to the Meralco grid and receive credits on their monthly bill. The credits are applied at Meralco’s generation rate and reduce the total amount owed each billing period.
The ERC Net Metering Program is open to any qualified Meralco customer with a renewable energy system of up to 100 kW in capacity. Most residential solar installations in Metro Manila, Cavite, Laguna, and Bulacan fall well within this limit, typically ranging from 3 kWp to 20 kWp. Net metering credits roll over month to month. Once a solar system is commissioned and Meralco installs the bi-directional meter, net metering credits begin appearing on the customer’s bill from the following month.
The DIMC fee for residential customers shall not exceed ₱3,000 per the ERC Advisory dated September 22, 2025. SolarPro Install manages the complete Meralco net metering application process in the Philippines on behalf of every client.
What Is the Feed-in Tariff in the Philippines?
The feed-in tariff (FiT) is a separate program under Republic Act 9513 that pays accredited renewable energy generators a guaranteed fixed rate per kilowatt-hour for all electricity they export to the grid. Unlike net metering, which credits exported electricity against your Meralco bill, the FiT pays a dedicated tariff rate directly to the RE generator for every kWh produced and delivered.
Designed for Large-Scale Generators
The FiT program was designed primarily for utility-scale renewable energy projects: solar farms, wind farms, run-of-river hydro, and biomass. It was never intended for the rooftop solar systems that individual homeowners and small businesses install.
Solar FiT Cap Has Been Reached
The DOE’s installation cap for solar under the FiT program has been reached. No new solar systems are being accepted into the FiT program. Even before the cap was reached, the FiT did not apply to residential or commercial systems below 100 kW.
FiT-All on Your Meralco Bill
The FiT-All is a per-kWh charge collected from all Meralco consumers to fund fixed tariff payments made to accredited FiT generators. It appears as a line item on your Meralco bill and is not affected by your solar installation.
Not Applicable to Your Installation
If you are installing a rooftop solar system for your home or business in the Meralco franchise area, the feed-in tariff does not apply. Net metering is your program. The ERC Net Metering Program is the only grid-export mechanism available for systems up to 100 kW.
Net Metering vs Feed-in Tariff Side-by-Side
The table below compares both programs across the criteria that matter to property owners evaluating solar panel installation for their Meralco-connected home or business.
| Criteria |
Net Metering |
Feed-in Tariff (FiT) |
| Who it applies to |
Residential and commercial customers with RE systems up to 100 kW |
Large-scale RE generators — utility or large commercial scale |
| System size |
Up to 100 kW AC |
Typically above 100 kW; utility-scale |
| Benefit mechanism |
Credits on your monthly Meralco bill for exported electricity |
Fixed tariff rate paid per kWh generated and delivered to the grid |
| Rate basis |
Meralco generation rate (current billing rate) |
DOE/ERC-set fixed FiT rate |
| Availability (solar) |
Open to qualified Meralco customers |
Installation cap reached — not available for new solar systems |
| Administered by |
ERC and Meralco |
DOE and ERC |
| Legal basis |
Republic Act 9513, Section 10 |
Republic Act 9513, Section 7 |
For Meralco customers installing solar: net metering is the only applicable program.
Which Program Applies to Your Solar Installation?
If you are a Meralco customer in Metro Manila, Cavite, Laguna, or Bulacan installing a solar panel system for your home or business, net metering is your program. Net metering is also the financially stronger choice for residential and commercial buyers because the benefit scales with Meralco rate increases over time. Every peso of electricity your solar system generates and consumes directly saves you the full Meralco rate, not just a fixed tariff.
1
Solar System Generates Electricity
Your solar panels generate electricity from sunlight during the day. Energy your property consumes in real time reduces your Meralco draw directly.
2
Excess Flows to the Meralco Grid
When your solar system generates more than your property is consuming at that moment, the surplus flows out to the Meralco distribution grid through your bi-directional meter.
3
Meralco Records the Export
Meralco records the exported kilowatt-hours and calculates their peso value at the prevailing generation charge rate on your bill.
4
Credits Applied to Your Next Bill
The credit is applied to your next monthly Meralco bill. Unused credits roll over to the following month. No export credit is wasted.
Frequently Asked Questions About Net Metering and FiT
Is the feed-in tariff available for residential solar in the Philippines?
No. The FiT program in the Philippines is designed for large-scale renewable energy generators and is not applicable to residential or small commercial solar installations. The solar FiT installation cap set by the DOE has also been reached, meaning no new solar systems are being enrolled in the program. Residential and commercial Meralco customers with systems up to 100 kW use the ERC Net Metering Program.
What is the FiT-All charge on my Meralco bill?
The FiT-All is a per-kWh charge collected from all Meralco electricity consumers to fund the fixed tariff payments made to accredited FiT generators. It appears as a separate line item on your Meralco bill. Installing solar on your property does not eliminate or reduce the FiT-All charge as it is a mandated universal levy.
What is the maximum system size for net metering with Meralco?
The ERC Net Metering Program allows renewable energy systems up to 100 kW in AC capacity to participate. Most residential solar installations in Metro Manila, Cavite, Laguna, and Bulacan are between 3 kWp and 20 kWp, well within this limit. Systems above 100 kW fall under different ERC regulations outside the scope of the standard net metering program.
Can I earn more from FiT than from net metering?
This comparison does not apply to residential and commercial solar customers in the Philippines because the FiT program is not open to them. For the system sizes that homeowners and small businesses install, net metering is the only available grid-export program. Net metering credits are also tied to Meralco’s generation rate, which rises over time as Meralco rates increase.
How do I apply for net metering with Meralco?
The application process has four official steps: document submission (application form, CFEI, NMA, COC fee), Distribution Impact Study by Meralco, inspection and approval, and bi-directional meter installation and commissioning. SolarPro Install manages the complete application on behalf of clients from commissioning through energization. See the full guide to the
Meralco net metering application process in the Philippines.
Ready to Qualify for Meralco Net Metering?
SolarPro Install handles your complete solar installation and net metering application for properties in Metro Manila, Cavite, Laguna, and Bulacan. Learn more about the full solar panel installation process in the Philippines or request a free site assessment below.
