MERC Clarifies On Rooftop Solar, Open Access Rules

MERC Clarifies On Rooftop Solar, Open Access Rules

The Maharashtra Electricity Regulatory Commission (MERC) has issued key clarifications on rooftop solar and open access energy rules, addressing consumer concerns on banking charges, eligibility, and implementation under recently amended regulations.

In an order passed last week, the Maharashtra Electricity Regulatory Commission (MERC) responded to a public interest petition filed by a renewable energy consultant. The petition sought explanations on provisions under the Grid-Interactive Rooftop Renewable Energy Generating Systems (First Amendment) Regulations, 2023, and the Distribution Open Access (Second Amendment) Regulations, 2023.

Banking Charges for High-Voltage Consumers

MERC clarified that high-voltage consumers connected at 33 kV or 132 kV and eligible for net metering up to 5 MW—will face banking charges equivalent to wheeling losses. The ruling follows earlier approvals allowing the state utility, MSEDCL, to recover 7.5% charges for high-tension and 12% for low-tension users.

Group Net Metering: Who Qualifies?

The Commission ruled that only multiple connections under the same corporate entity or government department qualify for Group Net Metering (GNM). Connections under different individual names, family members, or sister concerns will not be eligible. For government bodies such as PWD or local panchayats, MERC allowed grouping under a single GNM arrangement, citing administrative constraints.

No Mid-Year Changes to Beneficiary Lists

Under current rules, beneficiaries and priority ratios for GNM can only be revised once a year. Any further changes require terminating and re-signing the agreement. MERC also ruled that a satellite connection cannot be linked to more than one primary net-metered source.

No Relaxation in Refund Criteria

The regulator rejected a proposal to ease the criteria for a 50% refund of excess energy credits. It said net metering is intended for captive consumption and not for revenue generation.

Open Access Rules: Aggregation, Banking Period Explained

Under Green Energy Open Access (GEOA) rules, MERC confirmed that only connections under the same company or department can be aggregated to meet the 100 kW eligibility threshold. Connections owned by family or sister businesses remain ineligible.

The Commission clarified that banking of surplus energy will operate on a monthly cycle, with any unused energy lapsing at month-end. For low-tension consumers, Time-of-Day (ToD) meters are mandatory. If the removal of a consumer from a group causes the total capacity to fall below the threshold, the entire open access arrangement must be terminated.

Fixed Allocation Shares

Energy allocation shares under GEOA must be declared in advance and cannot be altered during the year. MERC also clarified that “twelve time blocks” refers to 12 blocks of 15 minutes each, totalling three hours.

The Commission said certain implementation issues, including a legal challenge from MSEDCL, are being addressed separately and were not covered in this ruling.

The petition was partly allowed, with detailed clarifications issued to support rooftop solar expansion and open access use across Maharashtra.