Solar panels are made of photovoltaic cells that convert sunlight to direct current electricity (DC electricity). As long as rays are hitting your roof, rain or shine, your panels are converting solar radiation into DC electricity. But in order to get the kind of power needed to turn the lights on in your living room, you’ll need an inverter.
Majority of electrical equipment’s used for domestic/commercial/ Industrial purposes are of AC system. So, it is necessary to convert solar power generated at DC system to AC system. An inverter will convert DC to AC system.
Solar electricity from your inverter flows to the electrical panel, and then into to your home where it powers your lights and appliances. Or, if you generate more solar energy than you use, it flows into the utility grid and while you take in the solar credits.
Net-meter (bi-directional meter) is having provision to record energy imported from the grid to meet the load and energy exported to the grid after self-consumption. Both energy import and export records in the net-meter. The difference between Export and Import readings is the actual energy consumed/delivered. The net meter records surplus energy exported to DISCOM grid. When your system generates less energy than your consuming load, the meter records energy imported from DISCOM grid.