An energy use metering scheme that can measure both energy consumed from a utility and energy fed back to the utility by a customer capable of generating electricity. Net metering regulations were intended to encourage the installation of solar generators, wind turbines and other renewable energy and green power sources.

Under a net metering scheme, the customer's meter value decreases as energy is fed back into the system, not just increase as energy is consumed. If a net metering customer actually produces more energy than they consumed, the utility may purchase the energy from the customer, normally at the same price the customer paid the utility for consumed energy.

In practice, most net metering customers require a second meter to measure energy which is returned to the system, and utilities don't pay the same amount to producers as they receive from customers. The cost of the extra meter and any additional accounting charges are typically charged back to the net metering customer, and it can often cost a small customer with low production capability more money to participate in the program than they receive in revenues from the energy they produce. In some areas, environmental and energy conservation advocates and utility lobbies argue frequently about how this scheme should be managed and who, if anyone, should be required to pay for any extra costs that a utility incurs from managing a net metering customer.

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