Issues with Haryana Regulation for Rooftop Solar Grid Interactive System based on Net Metering

A notification was issued by HERC dated 25th Nov 2014 as ‘The Haryana Electricity Regulatory Commission (Rooftop Solar Grid Interactive System based on Net Metering) Regulations, 2014’    (Regulation No. HERC/31/2014). We would analyse how useful these regulations are for a consumer mostly from commercial perspectives. Does it incentivize a consumer to generate solar power and export is back to the grid.

You would get the regulations at the following link:

https://www.herc.gov.in/writereaddata/pdf/r20141125.pdf

Let us de-mystify the terms first. The regulations allows for a consumer who has a direct electricity connection from DHBVN or UHBVN to export the solar power to DHBVN/UHBVN and get paid for the export of power. This is allowed by the consumer from a solar roof top system.

Let us also be clear about the applicability of this regulation. A consumer can always install a solar generation system its own use and does not seek to export the power back to the grid. The consumer is then not covered by this law. A consumer is only covered by this law if it wants to export the power to the grid.

Let us first understand what are the scenarios in which a consumer wants to export to the grid – the first one is that the consumer would like to get monetary benefit of the excess solar capacity by exporting to the grid and second is consumer would like to export the power when the consumer has excess power generation and import the power back when the consumer has shortage of its generation.

There are technical considerations on how to do the grid integration and also how much power can be taken by DHBVN/UHBVN. That is not the focus of this blog. The focus is how a consumer can benefit commercially from this regulation.

Our first impression is that the regulation may only partially benefit the cause of the renewables. The scheme is made with the assumption that the cost of solar power by the consumer is cheaper than the cost of grid power. It may be true for a commercial consumer but may not be true of a domestic consumer. So it actually does not incentivize a domestic consumer. It does not allow a low consuming consumer to make use of the excess space available and export the power back to the grid.

At no point of time, the consumer would be paid for the electricity export to the grid. At best, the consumer can be offset the export from one being period to the import from other billing period (in essence, the consumer need not invest into battery back-up).

The regulation says that a consumer can be allowed to generate 90 % of the consumption.

Let us take a simple case. Let us assume that a domestic consumer has an average constant load of 1 kW. So the total monthly consumption of the consumer is 720 units. So this consumer can install solar system for 90 % of this consumption which is 648 units. Now assuming that the consumer can get solar power for 4 hrs in a day (a better average would be 4.8 hrs but we have selected 4 hrs for calculation simplicity). The consumer can then setup a solar plant of 5.4 kW. So the consumer can generate 5.4 kW during the 4 hrs of the day, consume 1 kW and export 4.4 kW to the grid during these 4 hrs and later on consume the grid power for the rest of the day. In such an ideal situation, the consumer would pay the bill for 72 units for the month.

The calculations are going to be onerous for the consumer. Going by the track record of DHBVN and UHBVN, they would take a while to understand the regulations/ calculations and come up with the right IT system.

We can help you to understand the regulations better and perform the calculations. Please do share your thoughts and ideas as comments. Please also write to us at This email address is being protected from spambots. You need JavaScript enabled to view it.

 

Comments   

 
0 #1 Raj 2015-11-18 01:59
Hi, I am looking for monitory benefits from generating & supplying to the grid by domestic rooftop installation . Do we have to buy the PV system from the govt? are they available on consessional rates?

 

Add comment


Security code
Refresh

Additional information