Uttar Pradesh Extends Net Metering Facility to Educational Institutions

This amendment is expected to impact around 200,000 consumers

November 29, 2023


The Uttar Pradesh Electricity Regulatory Commission (UPERC) has amended the rooftop solar grid-interactive system gross/net metering regulation of 2019, extending the net metering facility to government and private educational institutions.

Until now, the net metering option was available only for private tube wells and metered domestic consumers.

The broadened coverage of the net metering facility is expected to benefit approximately 200,000 consumers falling under the Low Medium Voltage (LMV)-4A for public institutions, LMV-4B for private institutions, and High Voltage (HV)-1 categories, with a collectively sanctioned load of about 2,800 MW.

The amendment is also expected to have positive implications for distribution companies, as the solar electricity generated under the net metering arrangement will contribute towards meeting the Renewable Purchase Obligation (RPO).

The UPERC’s move is aligned with the broader goals outlined in the Uttar Pradesh Solar Policy 2022, specifically aiming to encourage rooftop solar power generation.

Under the previous regulation, net metering was limited to metered agriculture consumers falling under the LMV-5 category or metered residential/domestic consumers categorized as LMV-1. Other consumer categories had the flexibility to opt for net billing, net feed-in, or gross metering options.

Recognizing the need for inclusivity in promoting solar power adoption, the Uttar Pradesh Solar Policy 2022 called for an amendment to extend the benefits of net metering to educational institutions—both government and non-government—as well as central government and provincial institutions/offices.

To facilitate this change, UPERC initiated a consultation process by outlining the proposed amendments to the net metering arrangement.

The Commission had invited comments and suggestions from stakeholders and a public hearing was held on November 8, 2023.

The Maharashtra Electricity Regulatory Commission recently increased the net metering cap for rooftop solar power projects to 5 MW or the consumer’s contract demand/ sanction load, whichever is lower. Net metering in the state was earlier capped at less than 1 MW.

In July, the Tripura Electricity Regulatory Commission mandated the state distribution companies to allow net metering arrangements for eligible consumers up to 85% of the rated capacity of the distribution transformer under the new net metering guidelines.