REAR requested RERC not to hurry for Net Metering Restrictions for C&I consumers

Today on 08.03.2021, there was the hearing scheduled with RERC on RERC (Grid Interactive Distributed Renewable Energy Generating Systems) Regulations, 2020. Various Associations like NSEFI, REAR, RSA, NIMMA, FICCI, FORTI, CII, UCC etc participated in the hearing and put their points in front of Hon'ble Commission.

• The main point of discussion was restriction of Net Metering for C&I Consumers as per Clause 3.2 of the draft which says, “Net Metering arrangement under these Regulations shall be allowed to LT Domestic consumers, LT Agriculture consumers and LT Public Street Lighting Service category only” wherein everyone opposes the move and proclaim it as highly damaging to the Rooftop Solar Industry.

• REAR said that arrangement other than net -metering i.e. Net-billing or behind the meter are unviable due there own reasons. Net-billing due to unviable tariff and behind the meter due to capacity restrictions from cosumer side since he can install solar for base load only, which in most the cases are 20-30%. Hence, we can say implementation of net-billing & behind the meter is an indirect method to stop C&I consumers from going Solar.

• REAR also highlighted the objectives of Rajasthan Solar Policy 2019, wherein it is mentioned that emphases should be to

o “Create better atmosphere to innovate and invest for micro, small and medium enterprises for harnessing solar energy”. And another objective is to

o “Create an environment for human resource development with particular reference to renewable energy and generation of employment opportunities”.

Since Rooftop Solar has highest Job creation potential and some 70%-80% of the market growth has been driven by commercial and industrial (C&I) consumers in Solar Rooftop Sector. Hence, the net metering restrictions are not only against the Rajasthan Solar Policy 2019 but also have huge negative impact in terms of employment and revenue generation to the state.

• REAR again suggest that the decision should not be taken in hurry that too by considering only one stakeholder's view i.e. DISCOM rather RERC should have a transparent analysis involving the views and suggestions from other stakeholders as well. Together, we must come up with some better solutions which will WIN-WIN for all stakeholders.

• REAR further added that Distributed generation or generation at the consumption point is always beneficial for Discom due to various reasons like Avoided generation capacity cost (AGCC) , Avoided power purchase cost (APPC), Avoided transmission charges (ATRC), Avoided distribution capacity cost (ADCC), Avoided renewable energy certificate cost (ARECC), Avoided working capital requirement (AWCC) and it is already proved by various renowned independent agencies.

• REAR also suggest to allow net-metering up to at least 250 KW.

• Other associations like NIMMA, FICCI, UCC also supports the point and request for detailed analysis before going further and also to wait for MoP for further likely amendment in Electricity (Rights of Consumers) Rules, 2020.

HON’BLE COMMISION COMMENTS/VIEWS:-

• Hon'ble commission assurers that the decision will be taken considering all the view from the stakeholders and there will not be any injustice done to anybody and they will do due diligence and go through the various analysis & claims before deciding.

• Honb’le commission also assures that the decision will not be taken in hurry and they will wait till any decision from Ministry of Power.