Odisha Amends 2016 Net Metering Rules In 2025, Approves Hybrid Inverters To Boost Rooftop Solar

The Odisha Electricity Regulatory Commission (OERC) has announced new amendments to its 2016 Order on Net Metering and Bi-directional Metering for Rooftop Solar PV Projects. These updates, which came into effect on November 27, 2025, aim to modernize rooftop solar regulations and align Odisha’s policy with the latest national guidelines from the Ministry of New and Renewable Energy (MNRE). The amendments were introduced after industry stakeholders raised concerns and requested more flexible rules to support solar adoption.

One of the most important changes is the approval for the use of Hybrid Inverters, in addition to the earlier requirement of grid-tied inverters. A hybrid inverter is a bi-directional device that manages electricity between solar modules, battery storage, the consumer’s load, and the grid. It enables both grid-interactive and stand-alone operation, allowing consumers who generate and use solar power—known as “prosumers”—to improve reliability and manage power more efficiently. This update makes Odisha’s regulations consistent with MNRE’s recent permissions and gives consumers more choice in designing their solar systems.

The Commission has also revised rules for real-time system monitoring. Instead of only using generation meters, consumers can now use inverter communication devices or data loggers with Machine-to-Machine (M2M) SIM-based communication. This follows MNRE requirements for SIM-enabled data loggers to improve the accuracy and efficiency of generation data reporting.

The amendment also supports the smooth implementation of national and state schemes like PMSGY. It clarifies that rules under specific schemes will take priority over the existing Net Metering Order if there is any conflict, making it easier for consumers to receive benefits under subsidized programs.

The OERC has mandated that all inverters, including the newly permitted hybrid models, must be sine wave inverters and comply with MNRE safety standards, including islanding protection. The order also states that the cost of related equipment, metering, connectivity, and setup must be paid by the eligible consumers, under the supervision of the distribution company.

These updates are expected to boost rooftop solar growth in Odisha by enabling more advanced technology, flexible monitoring, and smoother policy implementation.