DERC Revises Net Metering Guidelines 2025, Simplifies Time Block Rules For Renewable Energy Consumers

The Delhi Electricity Regulatory Commission (DERC) has recently made an important change to its guidelines on group and virtual net metering for renewable energy. This update, called the “Draft Delhi Electricity Regulatory Commission (Group Net Metering and Virtual Net Metering for Renewable Energy) (Sixth Amendment) Guidelines, 2025,” was issued on May 19, 2025. The amendment changes the way time blocks are treated for electricity consumers using renewable energy systems.

The main focus of the amendment is on Guideline 8 of the original rules, specifically sub-clauses (c) and (e) of Clause (2). Previously, the rules had a difference between two types of consumers: Time of Day (ToD) consumers and Non-Time of Day (Non-ToD) consumers. ToD consumers were those who were billed differently based on the time when they used electricity, meaning electricity costs could vary at different times of the day, with off-peak times usually costing less. The original guideline referred to “off peak time block for Time of Day (ToD) consumers and normal time block for Non-ToD consumers.”

However, the new amendment removes this distinction. Instead, both ToD and Non-ToD consumers will now follow the same “normal time block” for this guideline. This means the special consideration for off-peak time blocks for ToD consumers is no longer part of this particular rule. In simple terms, whether the consumer is billed based on time or not, the guideline treats their electricity usage under the same time block classification.

This change is significant because it simplifies the way time blocks are applied in the group and virtual net metering system. Net metering allows consumers with renewable energy sources like solar panels to send excess electricity back to the grid and get credited for it. Group net metering means several consumers can share one renewable energy system and benefit collectively, while virtual net metering allows consumers to receive credit even if the renewable energy system is not located on their property.

The DERC has the authority to make this amendment under several sections of the Electricity Act, 2003. These include Section 181, Section 61(h), and Section 86(1)(e), which give the commission the power to regulate and promote renewable energy. Additionally, the amendment follows regulations made earlier by the DERC in 2014 related to net metering for renewable energy and specific guidelines from 2019 on group and virtual net metering.

The document also mentions that the amendment was published after a process of previous publication, meaning stakeholders likely had a chance to review or comment on the change before it became official. However, the DERC has not shared any specific reasons for removing the off-peak time block distinction from the guidelines.

The updated guidelines will come into effect as soon as they are uploaded on the DERC’s official website and will stay in force until any further changes are made. Rajesh Dangi, the Secretary of the DERC, signed the amendment in Delhi.

This move by the DERC may help to make the net metering process smoother and easier to understand for consumers and developers of renewable energy projects. It could also influence how credits are calculated for renewable energy generated under group and virtual net metering schemes. Users and companies involved in renewable energy in Delhi should keep an eye on the DERC website for the final version of the amended guidelines and any future updates related to these changes.