Newly amended Electricity Rules and rooftop solar power
Feb. 26, 2024

Why in news?

  • Recently, the Ministry of Power has notified amendments to the Electricity (Rights of Consumers) Rules, 2020.
  • In order to accelerate the installation of rooftop solar projects and empower consumers, the amendment contains provisions on connections in residential societies and solving complaints on meter readings.
  • The amendments came a week after PM Modi launched PM Surya Ghar: Muft Bijli Yojana earlier this month.
    • This scheme will provide households with a subsidy of up to 40% to install rooftop solar panels.

What’s in today’s article?

  • Key highlights of the amendment

Key highlights of the amendment

  • Installing rooftop solar made easier and faster
    • Earlier, DISCOMs were required to conduct a feasibility study for rooftop solar projects within 20 days of an application being filed, and then intimate the outcome to the applicant.
    • A technical feasibility study determines whether a property is physically and financially suitable for the installation of solar panels.
    • The latest amendments have reduced that period to 15 days. Moreover, if the study is not completed by then, it shall be presumed that the proposal is technically feasible.
      • In other words, DISCOMs are no longer required to complete a technical feasibility study before accepting an application to begin the installation of solar panels.
    • The rules also note that solar PV systems up to a capacity of 10 kilowatts shall be deemed accepted without requiring a study.
    • DISCOMs can also include expenditure on strengthening distribution infrastructure for rooftop solar projects (with a capacity of up to 5 kilowatts or higher) in its revenue requirement.
      • The exact maximum capacity shall be prescribed by each state electricity regulatory commission.
      • In other words, the costs of strengthening distribution infrastructure for rooftop solar projects with a capacity of up to 5 kilowatts will be borne by DISCOMs, and this can be covered through its operations.
  • Empowering consumers in residential societies
    • The new rules that allow people living in residential societies to choose between having separate connections for each household or having one connection for the entire society.
      • This choice will be made through a fair voting process organized by the distribution company.
    • If the owners opt for a single-point connection for the whole premises, then the association overseeing a residential society will be responsible for metering, billing, and collection of the amount due on a no-profit-no-loss basis.
      • In the case of individual connections, the DISCOM will be responsible for those tasks.
    • The amendments also require DISCOMs to install an additional meter in case a consumer complains of meter readings not reflecting actual consumption.
      • If the meter is found to be inaccurate, the excess or deficit charges shall be adjusted in the subsequent bills, as per existing rules.
  • New electricity connections to be provided more quickly
    • The amended rules have reduced the period for obtaining a new electricity connection or modifying an existing one in metropolitan areas from seven to three days.
    • In other municipal areas, this has reduced from 15 to seven days, and in rural areas from 30 to 15 days.
    • In rural areas with hilly terrain, however, the period will continue to remain 30 days.
  • Electric Vehicles mentioned for the first time in the rules
    • DISCOMs are required to provide a separate connection for the supply of electricity to an EV charging point if requested by a consumer and within the revised period as mentioned above.
    • In other words, EV owners in New Delhi, Bangalore, or other metropolitan cities can now get a new electricity connection to charge their cars in three days.