RERC relents, net metering benefits to stay till June 30 till further decision

Buckling under pressure from industry and in view of a possible revision in net metering for load up to 10 kilo watt and
gross metering above 10 kilo watt by the Union ministry of power and Central Electricity Authority, the Rajasthan Energy
Regulatory Commission (RERC) has deferred implementation of new rooftop solar net metering norms that threatened to affect
90% of the projects.
In an order on Wednesday, RERC said that while the commission proposed to issue finalized regulations in due course of time,
it said that to bring regulatory certainty it is clarified that ‘Rooftop and Small Solar Grid Interactive Systems’ commissioned
under net metering agreements up to June 30, 2021, will continue to avail the net metering benefits.
The commission had issued draft regulations on December 21, 2020, and said that “these regulations shall be applicable to all
grid interactive distributed renewable energy generating systems that are commissioned on or after April 1, 2021”.
In February this year, the Union ministry of new and renewable energy had also written to RERC saying it has received a
number of representations to review the provision as this will adversely impact in achieving the targets set for rooftop solar
industry in the country. “The MNRE has requested the MoP to review the provision related to net metering and MoP is likely to
come up with a revised provision,” it had said in the letter to the RERC.

Under net metering, the consumer uses the cheaper rooftop solar power instead of the costly discom power. Under the gross billing or metering, as per the draft proposals, the project owner will have to pay normal electricity rate to discoms even though it uses cheap power from its rooftop plant. The discoms will pay the gross meter to the project owner for the solar rooftop energy generation at rates discovered through auction along with 25% incentive which would be far lower than the discom rates of around Rs 8 per unit.