Rooftop Solar: Rajasthan Regulator Increases Net-Metering Limit To 1MW

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Rajasthan Electricity Regulatory Commission (RERC), in its latest suo-motu order, increased the net metering limit for rooftop solar consumers from 500 Kw to 1 Megawatt (MW). The order cited the slow growth of rooftop solar in the state and the thrust of the Union government toward the segment.

Per the Rights of Consumer (ROC) Amendment Rules 2021, the Ministry of Power mandates the State Electricity Commissions to decide on the capacity under net-metering, gross metering, and net billing issues for rooftop solar. RERC decided in 2021 that under the net metering arrangement, consumers can install projects up to 500 KW or up to the sanctioned load, which is lower for all categories of consumers.

“Rajasthan has the highest potential of 142 GW of solar capacity in the country and approx. 25% of the country’s total solar capacity of 73 GW is installed in Rajasthan. However, the installed capacity of Rooftop Solar plants in Rajasthan is only 1 GW out of a total installed capacity of 11 GW in the country. The Total penetration of Rooftop Solar in Rajasthan in the total energy basket of Discoms is not even 2%. In view of this, it can be said that higher penetration of Roof Top Solar is the need of the hour,” RERC said in its order.

RERC also said Rajasthan had been reeling with power shortages, compelling the local discoms to procure costly power from power exchanges.

“It is also observed that certain establishments have capacity (in terms of space availability and financial resources) to install higher capacity rooftop solar plants in their premises. Hence, due this aspect & also to encourage higher penetration of RTS, the Commission decides to increase the capacity limit of net- metering arrangement from 500 Kw to one Megawatt (01 MW) as specified in regulation 7 of the RERC DREGS Regulation 2021,” the RERC order said. 

The RERC also said that discoms had been requesting to put restrictions of drawal of banked solar units during peak hours, imposing certain charges and mandating compulsory storage systems for rooftop solar plants. However, the RERC said that it would deal with these issues currently.

“However, looking at the present level of penetration of RTS, it would not be appropriate to impose such restrictions, charges, or conditions as of now. The Commission in future may consider to suitably introduce these measures,” the RERC order said.