Maharashtra Solar Policy finally catches up with the rest of India on Solar Rooftops – MERC issues draft guidelines for Rooftop Net Metering

PART A – GENERAL

  1. General Conditions of Net Metering arrangement

3.1.  Net Metering arrangement shall be permitted by the Distribution Licensee on a non- discriminatory and ‘first come, first serve’ basis to the Eligible Consumer who intends to install a Rooftop Solar system connected to the network of Distribution Licensee;

Provided that the interconnection of such system with the network of the Distribution Licensee is undertaken in accordance with the standards and norms specified in the Central Electricity Authority (CEA) (Technical Standard for Connectivity of the Distributed Generation Resources) Regulations, 2013.

  1. Capacity limits at Distribution Transformer level

4.1.   The Distribution Licensee shall allow Net Metering arrangement to Eligible Consumers so long as the cumulative capacity utilized at a particular distribution transformer does not exceed 15% of the rated capacity of that distribution transformer;

Provided that the Distribution Licensee may allow Net Metering connectivity exceeding 15% of such rated capacity based on a detailed load study carried out by it.

4.2.  The Distribution Licensee shall provide yearly, on its website and to the Commission, information regarding the distribution transformer level capacity available for connecting Rooftop Solar system under Net Metering arrangements.

PART B – TECHNICAL ARRANGEMENTS

  1. Eligible Consumer and individual project capacity

5.1.  All the Eligible Consumers in the area of supply of the Distribution Licensee may participate in the Rooftop Solar Net Metering arrangement.

5.2.   The maximum Rooftop Solar system capacity to be installed at any Eligible Consumer’s premises shall be governed by the available capacity of the service line connections of the Eligible Consumer’s premises and the cumulative capacity utilized at particular distribution transformer as per Regulation 4.1 of above;

Provided that the capacity of the Rooftop Solar system to be connected at Eligible Consumer’s premises shall not exceed his Contract Demand or connected load of the Eligible Consumer to be read with Regulation 4.1 of above.

5.3.  The capacity limits for the connectivity of Rooftop Solar system to the network of Distribution Licensee  under these Regulations shall be as defined in Regulation 5.3 of the MERC (Standards of Performance of Distribution Licensee, Period of giving Supply and Determination of Compensation) Regulations, 2014, which are as follows:

Sr. No. Voltage level Threshold limit of Rooftop Solar PV system
1 230/240 V (1 Ф) Less than 8 kW/40 A
2 400/415 V (3 Ф) Less than 80kW/100 kVALess than 150kW/187 kVA (MunicipalCorporation areas)
3 11kV and above Up to 1000 kVAUp to 1000 kVA (Mumbai Metropolitan Region)

 

  1. Interconnection with the Distribution Network / Grid, Standards and Safety

6.1.   The Distribution Licensee shall ensure that the interconnection of the Rooftop Solar system with its network conforms to the specifications, standard and other provisions specified in the CEA (Technical Standard for connectivity of the Distributed Generation Resources) Regulations, 2013 and CEA ( Measures relating Safety and Electric supply), Regulations, 2010 and the MERC (State Grid Code) Regulations,2006.

6.2.   The Eligible Consumer may install Rooftop Solar system with or without battery back- up;

Provided that, if the Eligible Consumer prefers connectivity with battery back-up, the inverter shall have a separate back-up wiring to prevent the battery/ decentralized generation (DG) power from flowing into the grid in the absence of grid supply, both automatic and manual isolation switch shall also be provided.

6.3.  The Eligible Consumer shall be responsible for the safe operation, maintenance and rectification of any defect of the Solar Rooftop system upto the point of Net Meter, beyond which point the responsibility of safe operation, maintenance and rectification of any defect in the system, including the Net Meter, shall rest with the concerned Distribution Licensee.

6.4.   The Distribution Licensee shall have the right to disconnect the Rooftop Solar system at any time in the event of any threat of accident or damage from such system to its distribution system.

6.5.   The Distribution Licensee and Eligible Consumer shall comply with all necessary roles and responsibilities as specified in the relevant CEA Regulations.

  1. Metering Arrangement

7.1.   Net  metering  arrangement  shall  have  two  meters  including  one  bi-directional  meter which is also known as Net Meter. The Net Meter will be single phase or three phase as per the requirement. All the meters shall adhere to the Standards as specified in CEA (Installation and Operation of meters) Regulations 2006, and subsequent amendments thereof.

7.2.  The Net Meter and all other meters in the premises of the Eligible Consumer shall be procured and installed by the Distribution Licensee as per the provisions of MERC (Electricity Supply Code and Other Conditions of Supply) Regulations, 2005. The Distribution Licensee shall be responsible for specifications, supply, installation, testing and maintenance of the metering arrangement.

Provided that in case of existing Eligible Consumer, the Distribution Licensee shall replace the existing meter of Eligible Consumer with Net Meter.

However, if the Eligible Consumer wishes to procure all the meters including Net Meter, he may procure such meters and present the same to the Distribution Licensee for testing and installation.

7.3.   The  location  of  Net  Meter  shall  be  at  the  point  of  interconnection  which  shall  be ascertained by the Distribution Licensee.  The Distribution Licensee shall also install another meter known as solar generation meter at appropriate location to measure the total units generated from Rooftop Solar system.

7.4.  All meters, including the Net Meter shall be installed at an accessible location in the premises of Eligible Consumer to facilitate easy access to the Distribution Licensee for meter reading.

  1. Procedure for Application and Registration

8.1.   The  Eligible  Consumer  shall  submit  the  application  to  the  concerned  Distribution Licensee for connectivity of Rooftop Solar system with the distribution network of the concerned Distribution Licensee in the prescribed format along with registration fee of Rs. 1000/-.The concerned Distribution Licensee shall acknowledge the receipt of application.

 

 

8.2.   The  model  application  form  along  with  checklist,  to  be  submitted  by  the  Eligible Consumer  to  the  concerned  Distribution  Licensee  for  connectivity of  Rooftop  Solar system with the distribution network under these Regulations is provided as Annexure-1 with these Regulations.

  1. Net metering connection agreement

9.1.   The  Distribution  Licensee  and  Eligible  Consumer  shall  enter  into  a  Net  metering connection agreement after providing approval for connectivity of Rooftop Solar system with the distribution network under these Regulations but before starting the actual generation from the Solar Roof top system installed by the Eligible Consumer.

9.2.  The model Net metering connection agreement is provided as Annexure-2 with these Regulations. The Distribution Licensee shall make available all the forms, Net metering connection agreement and procedure on its website and also in its local offices.

9.3.   The Eligible Consumer may terminate the agreement at any time by giving 30 days prior written notice to the Distribution Licensee. The Distribution Licensee may terminate the agreement with 30 days prior written notice, if Eligible Consumer breaches any term of the agreement and does not remedy the breach within 30 days of receiving written notice from the Distribution Licensee of the breach or any other valid reason to be recorded in writing.

9.4.   Eligible Consumer, upon termination of the agreement, shall disconnect forthwith its Rooftop Solar PV system from Distribution Licensee’s network.

PART C – COMMERCIAL ARRANGEMENT

  1. Energy Accounting and Settlement

10.1. The accounting of electricity exported and imported by the Eligible Consumer  shall become effective from the date of connectivity of Rooftop Solar System with the distribution network under these Regulations.

10.2.  For each billing period, the Distribution Licensee shall show separately; a)   the quantum of units of electricity exported by Eligible Consumer, b)  the quantum of units of electricity imported by Eligible Consumer, c) the Net units of electricity billed for payment to the Eligible Consumer and d) the Net units of electricity carried over to the next billing period

Provided that in the event, the units of the electricity exported exceeds the units of electricity imported during the billing period, such excess units of electricity exported shall be carried forward to the next billing period as credited units of electricity.

Provided that in the event, the units of electricity imported by the Eligible Consumer during any billing period exceeds the units of electricity exported by the Eligible Consumer’s Rooftop Solar system, the Distribution Licensee shall raise invoice for the Net electricity consumption after taking into account credited units of electricity.

Provided that at the end of each financial year, unadjusted net credited units of electricity limited to 10% of total units generated during the year by the Eligible Consumer,  shall  be  purchased  by  the  Distribution  Licensee  at  the  Commission’s approved Average cost of Power Purchase of the Distribution Licensee for respective year.

Provided that any unadjusted net credited units of electricity above 10% of total units generated during the year by the Eligible Consumer shall be treated as unwanted / inadvertent injunction and no payment for the same shall be made by the Distribution Licensee.

Provided that at the beginning of each settlement period, cumulative carried over injected electricity will be reset to zero.

10.3. In case of any dispute in billing it would be settled as per Consumer Grievance Redressal mechanism under MERC (Consumer Grievance Redressal Forum & Ombudsman) Regulations, 2006.

11. Solar Renewable Purchase Obligation

11.1. The quantum of electricity consumed by the Eligible Consumer, who is not defined as Obligated Entity, from the Rooftop Solar system under net metering arrangement shall qualify towards compliance of Solar Renewable Purchase Obligation (Solar RPO) for the concerned Distribution Licensee.

 Provided that the Distribution Licensee with consent of Eligible Consumer, shall make all the necessary arrangements including additional metering arrangement if any, for accounting of total solar energy generated and total solar energy consumed by the Eligible Consumer.

11.2. The unadjusted surplus units of solar energy purchased by Distribution Licensee as per the provision in Regulation 10.2 shall be considered as eligible renewable energy and the Distribution Licensee would be able to meet its Solar Renewable Purchase Obligations through purchase of such surplus units of solar energy

  1. Eligibility to Participate under Renewable Energy Certificate (REC) Mechanism

12.1 Eligible Consumer under net metering arrangement shall not be eligible to participate under REC mechanism as specified under Central Electricity Regulatory Commission (Terms and Conditions for recognition and issuance of Renewable Energy Certificate for Renewable Energy Generation) Regulations, 2010.

  1. Subsidy or incentives of the Central / State Government:

13.1  The Eligible Consumer can avail subsidy or incentives if offered by the Central / State Government on the capital cost of the Rooftop Solar PV system. Maharashtra Energy Development Agency (MEDA) will be the Nodal Agency for processing such subsidy or incentives of the Central / State Government.

About Ritesh Pothan

Ritesh Pothan, is an accomplished speaker and visionary in the Solar Energy space in India. Ritesh is from an Engineering Background with a Master’s Degree in Technology and had spent more than a decade as the Infrastructure Head for a public limited company with the last 9 years dedicated to Solar and Renewable Energy. He also runs the 2 largest India focused renewable energy groups on LinkedIn - Solar - India and Renewables - India
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