Breaking News : MPERC rejects the petition of MP DISCOMs to levy Grid Support on Rooftop Solar Power Consumption and reduction of net metering capacity to 100 KW – A Big Relief to the Rooftop Sector
MPERC in their order dated 13.12.2023 giving a major relief to the rooftop solar developers and consumers have categorically rejected the petition of the MP DISCOMs to levy Grid Support Charges on the consumption of power from rooftop solar. MPDISCOMs in their petition has proposed to levy as much as Rs. 2.35perKWh has grid support charges which was objected by leading developer M/s. Pick-Renew Energy Pvt. Ltd. and consumers like Oswal Woolen Mills Limited and Vardhaman Textiles Ltd.
The commission in their order has stated that the growth of distributed generation in the state has remained very insignificant to just 332 MW after notification of regulations in 2015 and there is a huge gap between required capacity and installed capacity of distributed energy sources in the State. The Commission also stressed on the need to further encourage capacity enhancement of distributed energy sources in the State.
In the detailed order the hon’ble commission order that Commission is not inclined to consider the request of petitioner for levy of grid support charges and would not delve into the computations furnished by petitioners at this stage. Commission is also not inclined to consider the request of the Petitioners to reduce the limit of 1 MW fixed for net metering connections to 100 KW and to introduce net billing or net-feed-in arrangement for contract demand/ sanctioned load up to500 KW.
On the said order when asked for comments from Mr. Ashu Gupta – Head Regulatory of a leading Developer Company and Vice President of the Distributed Solar Power Association “DiSPA”, who was instrumental in taking up the matter in the MP Commission on behalf of the consumers, he said that the order of the hon’ble Commission is a land mark order and will help in resolution of proposal of such arbitrary charges on the consumption of solar power from rooftop raised by several DiSCOMs across the country. He added recently the Karnataka DiSCOMs also made a similar proposal where the Hon’ble KERC based on their submissions and arguments have rejected the petition of the DISCOMs to levy such charges on the consumption of power from Rooftop Solar. Similarly Telangana DISCOMs in response to the arguments forwarded by him has also confirmed that such charges shall not be levied on consumption of power from rooftop solar.
He further added that this will bring sense of security to the investment in the rooftop segments and will help to build up further capacities from small, rooftop and distributed generation and achieve the flagship programme of Government of India, Ministry of New and Renewable Energy and vision of our Hon’ble Prime minister Sh. Narendra Bhai Modi.