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					</table>The Maharashtra Electricity Regulatory Commission (<a href="https://merc.gov.in/" target="_blank" rel="noopener">MERC</a>) has proposed amendments to the net and gross metering rules under the state’s Grid Interactive Rooftop Renewable Energy Generating Systems Regulations, 2019.
One notable proposed amendment is that under the net metering arrangement, the renewable energy generation system&#8217;s capacity would be capped at either 1 MW or the consumer&#8217;s contract demand, whichever is lower.
Such a generating system may be owned or operated by a consumer or a distribution company (DISCOM) or leased by a third party to the consumer.
The stakeholders have time until August 25, 2023, to submit their feedback.
Metering Arrangements
According to the proposed amendments an eligible consumer is an electricity consumer within the DISCOM&#8217;s service area who employs a renewable energy generation system. The system can be situated on its rooftop or another support structure on its premises. This definition encompasses consumers who collectively utilize a shared load, such as those within a housing society.
The amendments also propose the net metering arrangement or net billing arrangement should include a single-phase or a three-phase net meter located at the interconnection point, as ascertained by the DISCOM.
As per the existing clause, the net metering arrangement should include a single-phase or a three-phase net meter, as may be required, located at the point of interconnection as ascertained by the DISCOM. There is no mention of a net billing arrangement in the draft copy.
For renewable energy generation systems established within the gross metering framework, the DISCOM must install an additional meter of the appropriate class to verify the readings of the renewable energy generation meter.
In line with a new provision, if the credit amount keeps increasing over three consecutive financial years, half of the accumulated amount will be disbursed to the consumer in cash after the third fiscal year. The remaining 50% will be reflected as a credit on the consumer&#8217;s electricity bill.
The existing clause states that the DISCOM should compute the amount payable to the eligible consumer for the excess renewable energy it purchased and provide credit equivalent to the amount payable in the immediately succeeding billing cycle.
Net Billing- Energy Accounting and Settlement
The amendments propose that the accounting of electricity exported and imported by the eligible consumer should become effective from the date of connectivity of the renewable energy generating system with the distribution network.
Also, the DISCOM should undertake a meter reading of both the renewable energy generation meter and the net meter, for all eligible consumers, according to the regular metering cycle.
The energy generated by the system should be first used for self-consumption, and surplus energy injected into the grid or energy drawn from the grid should be billed.
The DISCOM should accept the power as per the useful life of the renewable energy generating system unless the eligible consumer ceases to be a consumer of the DISCOM or the renewable energy generating system is abandoned earlier.
Gross Metering-Energy Accounting and Settlement
According to the amendment, gross metering involves setting up a renewable energy generation system to sell all the electricity generated to the DISCOM through a power purchase agreement (PPA).
If the renewable energy generation system is linked to the consumer&#8217;s side of the meter, they will be required to replace the existing meter with a net meter.
As per the current provision, net billing is defined as the setup in which a renewable energy generating system is installed either to cater to a particular consumer, connected on either the DISCOM side or the consumer side of the consumer meter. Alternatively, the system can entail selling all the generated power to a DISCOM under a PPA. Here, in the place of gross metering, net billing is used.
Other Changes
A proposed clause specifies that the electricity generated by the system must primarily be utilized for personal consumption. Any excess energy fed into or drawn from the grid will be subject to billing per the regulations governing grid-interactive renewables.
As per the existing clause, the entire units generated by the renewable system in the billing period should be purchased by the DISCOM for the entire duration of the agreement.
Another proposed provision indicates that if the current metering setup does not align with the Grid Interactive Renewable Regulations, it must be substituted with a bi-directional meter. Additionally, a distinct meter for measuring renewable energy generation must be supplied. This bi-directional meter needs to be set up at the connection point to the DISCOM&#8217;s network to document the import and export of energy accurately.
The existing clause states that the existing metering system should be continued, and a separate renewable energy generation meter may be provided to measure renewable energy generation.
Last December, MERC had <a href="https://www.mercomindia.com/maharashtra-regulator-rejects-petition-seeking-changes-to-open-access-policy" target="_blank" rel="noopener">highlighted</a> certain crucial amendments required to rooftop solar and green energy open access regulations. The changes included leasing rooftops or premises to install a solar system and use the power through open access.
Subscribe to Mercom&#8217;s real-time <a href="https://mercomindia.com/product/mercoms-renewable-energy-regulatory-updates/" target="_blank" rel="noopener">Regulatory Updates </a>to ensure you don&#8217;t miss any critical updates from the renewable industry.

Maharashtra Proposes Net Metering Cap of 1 MW for Rooftop Solar Projects

The Ministry of Power (<a href="https://powermin.gov.in/" target="_blank" rel="noopener">MoP</a>) has finally issued the much-awaited amendment to the Electricity (Rights of Consumers) 2020 Rules concerning net metering for rooftop solar installations. The amendment permits net metering to the prosumer for loads up to 500 kW or up to the sanctioned load, whichever is lower.
Under the latest Electricity (Rights of Consumers) Amendment Rules, 2021, the arrangements for net-metering, gross-metering, net-billing, or net feed-in would follow the regulations made by the State Commission from time to time.
The Amendment
The latest amendment considers net billing or gross metering for rooftop solar systems over 500 kW capacity. For the net metering facility, a single bidirectional energy meter is used at the point of supply where the energy imported from the grid and the energy exported from the grid-interactive rooftop solar system of a prosumer is computed at two different tariffs.
As per the new amendments, net metering will be allowed to the prosumer for loads up to 500 kW or up to the sanctioned load, whichever is lower, and gross metering for loads over 500 kW.
The amendment further adds that in either case of net-metering or gross metering, DISCOM may install a solar energy meter to measure the gross solar energy generated from the grid-interactive rooftop solar system for renewable energy purchase obligation (RPO) credit, if any.
The amendment has also permitted gross metering for prosumers who would like to sell all the solar energy generated to DISCOM instead of using net metering. The Commission would decide the generic tariff for gross-metering as per tariff regulation.
Another important point added in the order is that the state regulatory commissions may choose to introduce time-of-the-day tariffs where prosumers are incentivized to install energy storage for storing the solar energy or feeding it to the grid during peak hours. This could help the grid to manage the demand response.
“This order approving net metering for solar systems up to 500 kW removes the uncertainty that was hanging over the market and allows the rooftop market to get moving again,” said Raj Prabhu, CEO of Mercom Capital Group.
Background
Net metering, one of the vital policy drivers for rooftop solar adoption, has witnessed a series of revisions in India in the past few months.
Net metering for rooftop solar systems was capped at 1 MW until the government <a href="https://mercomindia.com/no-net-metering-for-rooftop-solar/" target="_blank" rel="noopener">proposed</a> to drastically cut it to 10 kW in December 2020. Several stakeholders <a href="https://mercomindia.com/industry-fears-rooftop-market-will-collapse/" target="_blank" rel="noopener">believed</a> the government’s proposal would destroy the rooftop solar market. After severe opposition and representation by the industry, the government relented, <a href="https://mercomindia.com/ministry-of-power-net-metering-rooftop-500-kw/" target="_blank" rel="noopener">considering</a> net metering for capacity up to 500 kW.

Government Approves Net Metering for Rooftop Solar Systems Up to 500 kW Capacity

The West Bengal Electricity Regulatory Commission (<a href="https://www.wberc.gov.in/" target="_blank" rel="noopener">WBERC</a>) has ruled that consumers who install solar photovoltaic systems before June 30, 2021, will be eligible for net metering facilities.
Background 
The Commission had issued its ‘Cogeneration and Generation of Electricity from Renewable Sources of Energy (First Amendment)’ Regulations, 2020 in December 2020, revising renewable purchase obligation (RPO) targets and increasing the number of obligated entities. The regulations were aimed at promoting rooftop solar adoption through net metering and net billing facilities.
In January, the WBERC had <a href="https://mercomindia.com/west-bengal-mandates-gross-metering/">issued</a> amendments to the Cogeneration and Electricity Generation from Renewable Sources Regulations 2013. A significant amendment was the mandate of a gross metering facility for rooftop solar systems above 5 kW in capacity.
The amended regulations allowed net metering for agricultural consumers and all other consumers with a sanctioned load of up to 5 kW and net billing facilities for consumers with a higher than 5 kW load. Existing net metering consumers were allowed to continue with their arrangements.
Before these amendments, net metering was only allowed for institutional, industrial, commercial, and housing complex consumers with grid-connected rooftop systems of 5 kW and above.
However, WBERC said that it had received comments from consumers and solar developers asking for net metering to be allowed for ongoing projects, which were started based on the previous regulations from 2013.
Commission’s Stance 
The Commission said that the concerns of consumers and developers with investments based on the old regulations were reasonable.
It noted that it would take some more time to notify a feed-in-tariff for net billing, considering that the detailed procedures for implementing rooftop solar under net metering and net billing had not been finalized yet. The Commission also acknowledged that consumers applying for new connections under net billing would not get connected until a feed-in-tariff was notified.
Subsequently, the Commission ruled that consumers who install their solar systems before June 30, 2021, would be eligible for net metering. Consumers must notify their respective distribution licensees about their installed systems before this date.
Distribution licensees, in turn, must verify and confirm the date of installation of these solar photovoltaic systems before allowing net metering facilities for them. The Commission also directed that copies of its order be served on all distribution licensees operating under its jurisdiction and for a copy to be posted on the WBERC’s website.
In February, the Ministry of Power had <a href="https://mercomindia.com/ministry-power-review-net-metering/" target="_blank" rel="noopener">assured</a> stakeholders from the rooftop solar segment that the government would review its stance on gross metering for installations over 10 kW capacity. The Ministry had earlier issued The Electricity (Rights of Consumers) Rules, 2020, <a href="https://mercomindia.com/no-net-metering-for-rooftop-solar/" target="_blank" rel="noopener">mandating </a>net metering for loads up to 10 kW and gross metering for loads greater than 10 kW.
Mercom’s flagship event <a href="https://mercomindia.com/mercom-solar-summit-india-virtual-solar-event/overview/" target="_blank" rel="noopener">Mercom India Solar Summit</a>, to be held virtually on April 8th and 9th, has an exclusive session to discuss “<a href="https://mercomindia.com/mercom-solar-summit-india-virtual-solar-event/agenda/" target="_blank" rel="noopener"> Can Rooftop Solar Come out of Ground Mount’s Shadow and Be The Next Big Thing?</a>.” Industry stakeholders will participate in a dialogue and share ideas on how to facilitate growth in the rooftop market and how to address challenges when dealing with DISCOMs. You can <a href="https://mercomindia.com/mercom-solar-summit-india-virtual-solar-event/register/" target="_blank" rel="noopener">click here </a>to register for the event.

West Bengal Allows Net Metering for Rooftop Solar Systems Installed Before June 30, 2021

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