Virtual Net Metering (VNM)

VNM is a billing arrangement that allows the electricity generated by a solar energy system at one location to be credited to electricity accounts at other locations — even if those sites are not physically connected to the system — as long as they are under the same ownership or business entity (like the same ABN in Australia).

🔌 How It Works

1. Solar is installed at Site A (e.g., a warehouse).

2. Site A exports excess solar energy to the grid.

3. Site B (e.g., a retail store under the same ABN) consumes energy from the grid.

4. The energy exported from Site A is virtually “netted” against Site B’s consumption, reducing Site B’s electricity bill.

This is done without any physical connection between the two sites — hence the term virtual.

✅ Requirements & Conditions (Australia)

• Same legal entity (ABN) must own or lease both sites.

• Network approval: Must be approved by the local Distributed Network Service Provider (DNSP).

• Smart metering: Sites usually need advanced meters to track and report energy generation and consumption accurately.

• Retailer or aggregator participation: Your electricity retailer or a third-party energy service provider facilitates the VNM arrangement and billing.

• Location: In many pilot programs, sites do not need to be on the same feeder or even the same postcode.

🏢 Who It Benefits

• Multi-site businesses: Supermarkets, schools, councils, manufacturers, franchise groups.

• Businesses with underutilized roof space at one site and high consumption at another.

• Property owners with offsite solar farms.

💡 Example

A logistics company has:

• A large warehouse in Western Sydney with a 100kW solar system

• Several offices and depots in Newcastle, Wollongong, and Brisbane

Through VNM:

• Surplus energy generated in Sydney can be used to offset energy bills at the other locations — reducing total energy costs across the company.

Energet can apply for VNM on your behalf and handle the whole process from start to finish. Enquire below and we will get in touch to discuss the suitability and opportunities further with you.