KERC allows installation of solar power projects in spaces other than rooftops
In a big push to decentralised solar projects, the Karnataka Electricity Regulatory Commission (KERC), in an order issued on Wednesday, extended the net metering/gross metering arrangements provided to Solar Rooftop Photovoltaic (SRTPV) systems to ground mounted solar projects with elevated structures, facade-integrated solar panels on the walls within the premises.
The commission has also renamed SRTPV plants as Distributed Solar PV (DSPV) plants, which can be installed in places like car ports and cycle parking spaces on the premises. The solar panels themselves can also be used as roof/top of a structure without any base below it.
'Not every consumer will have space on the rooftop to set up solar panels. Now we have given them a provision to set it up anywhere according to the building bylaws. It will be treated the same way as rooftop solar projects, and what (power) they generate will be set off against what they are consuming,' P. Ravikumar, chairman, KERC, told The Hindu.
Considering the growing demand for sustainable and clean energy, which has led to a significant focus on solar projects, the commission issued a discussion paper in March 2025 to seek the stakeholders' insights and recommendations for enhancing solar energy adoption. A public hearing on the matter was held on June 6. Taking into account the suggestions and recommendations, along with the fact that the State has an installed capacity of just 754.89 megawatts (MW) under SRTPV and 5666.22 MW under ground-mounted plants, the commission has brought in some changes to the existing regulations.
Virtual and Group Net Metering
The commission has also allowed Virtual Net Metering (VNM) and Group Net Metering (GNM) for the DSPV projects heeding to the demand of the stakeholders.
'Under VNM, a group of two or more consumers from the same consumer category can set up solar plants to offset the electricity consumption of more than one electricity service connection(s) of participating consumers located within the area of supply of an electricity supply company (escom). Domestic consumers, group housing societies, institutions run or managed by charitable Institutions/organisations, government buildings including schools, buildings belonging to local authorities shall only be eligible to install Solar plants under virtual net metering arrangements,' Mr. Ravikumar explained.
He further explained that under GNM, a consumer can set up a DSPV project in any one of their installations, and the energy that is exported to the grid can be used to set off the electricity consumption of more than one connection under the same name. This is open to all categories of consumers. The minimum size of the plant under both VNM and GNM should be 5 kilowatts (KW).
KERC has also eliminated the execution of the Power Purchase Agreement (PPA) for Domestic (LT) consumers up to 150 kW. 'In cases of shifting solar panels due to a change in the location of the consumer within the jurisdiction of the escom, the consumer is allowed to continue the same PPA for its remaining term.
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