As India accelerates its transition to renewable energy, innovative solutions like Virtual Net Metering (VNM) are making solar power more accessible, especially in urban settings. VNM allows multiple consumers to benefit from a single solar installation, even if they can’t install panels on their own rooftops.
What is Virtual Net Metering?
Virtual Net Metering is a billing arrangement where energy generated from a centralized solar system is credited to multiple consumers’ electricity accounts. This setup is particularly beneficial for:
- Residents of multi-storied buildings
- Housing societies
- Commercial complexes
Instead of each unit installing individual solar panels, a common solar system is installed in a shared space. The generated energy is then distributed virtually, reducing each participant’s electricity bill proportionally.
Virtual Net Metering in Maharashtra
In August 2024, the Virtual Net Metering Maharashtra introduced provisions for Virtual Net Metering in its Grid Interactive Rooftop Renewable Energy Generating Systems Regulations (Second Amendment), 2024. Key highlights include:
- Eligibility: Restricted to residential consumers in multi-storied buildings within the same distribution licensee area.
- Lead Person: A designated individual acts as the nodal point for communication with the distribution licensee on behalf of all participating consumers.
- Capacity Limits: The total capacity of the renewable energy system should not exceed the combined eligible capacity of all participating consumers.
- Open Access Charges: Exempted until the cumulative rooftop solar capacity in the state reaches 5,000 MW. Post that, new installations using the wheeling facility will incur these charges.
- Energy Accounting: Energy generated is first used to offset the consumption of each participating consumer in the same billing cycle. Surplus energy is carried over to the next cycle as energy credits.
How Does It Work?
- Installation: A solar plant is installed in a common area of a housing society or building.
- Energy Generation: The system generates electricity, which is fed into the grid.
- Credit Allocation: The generated energy is credited to the electricity bills of participating consumers based on a pre-agreed ratio.
- Billing: Each consumer receives a reduced electricity bill, reflecting their share of the generated solar energy.
Benefits of Virtual Net Metering
- Inclusive Access: Enables residents without suitable rooftops to benefit from solar energy.
- Cost Efficiency: Shared installation reduces individual investment costs.
- Space Optimization: Utilizes common areas effectively for solar installations.
- Environmental Impact: Promotes the use of clean energy, reducing carbon footprints.
How to Apply in Maharashtra
Residents and housing societies can apply for Virtual Net Metering through the Maharashtra State Electricity Distribution Company Limited (MSEDCL) portal:
Apply for Virtual Net Metering
Ensure you have the necessary documents and information ready, including:
- Consumer numbers of all participating members
- Details of the proposed solar installation
- Agreement outlining the distribution of energy credits
Conclusion
Virtual Net Metering is a transformative approach, democratizing access to solar energy and fostering community collaboration. Maharashtra’s proactive policies are paving the way for widespread adoption, making it an opportune time for housing societies and residential complexes to embrace this sustainable solution.
For personalized assistance and to explore how Virtual Net Metering can benefit your community, feel free to reach out to us.
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