The Ministry of New and Renewable Energy (MNRE) has asked all state and electricity regulatory commissions to adopt machine-to-machine (M2M) SIM–based remote monitoring systems for recording rooftop solar generation, potentially eliminating the need for separate solar generation meters.

MNRE cited the Odisha Electricity Regulatory Commission’s (OERC) recent amendment to its net metering framework as a model that other states should replicate. OERC has allowed inverter communication devices equipped with M2M SIMs to be used for real-time measurement and transmission of solar generation data instead of a dedicated solar generation meter. It also permitted the use of hybrid inverters, aligning state regulations with evolving central government programs and technological advancements.

OERC noted that its earlier net metering orders had become misaligned with new requirements under central programs such as the PM Surya Ghar: Muft Bijli Yojana. Its amendment was aimed at harmonising state regulations with MNRE guidelines, reducing hardware duplication, lowering costs, and improving operational efficiency.

MNRE noted that inverter communication devices, dongles, or data loggers that use M2M SIM communication protocols can reliably measure and transmit real-time generation data, thereby serving as a solar generation meter while improving cybersecurity and grid visibility.

Adopting such systems would not only reduce installation costs for rooftop solar consumers by avoiding additional meters but also strengthen grid stability, data security, and future-readiness for emerging use cases such as peer-to-peer power trading and electric vehicle–to–grid integration. All state and joint electricity regulatory commissions have been requested to incorporate these provisions into their respective net metering regulations.

The Ministry highlighted that the large-scale rollout of rooftop solar systems poses significant cybersecurity and grid stability risks if inverter data continues to be routed through overseas or third-party servers. According to MNRE, such practices could expose sensitive generation and consumption data and potentially allow remote manipulation of inverter operations.

To address these risks, MNRE mandated that all inverter communication devices under the program use secure M2M SIM communication and connect directly to national servers located in India, managed by MNRE or a designated government agency. Before these developments, a regulatory mismatch had emerged between central government policies and state-level net metering regulations. In September 2024, MNRE permitted the use of hybrid inverters under its rooftop solar programs, recognizing their growing role in integrating battery storage and improving system reliability.

However, many state regulations continued to allow only grid-tied inverters and required separate solar generation meters. This inconsistency created compliance challenges for consumers and developers participating in central programs while operating under outdated state regulations.

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