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Solar Net Metering Agreement

This document outlines an agreement between an eligible consumer and a power distribution company for connecting a solar rooftop system to the grid under net or gross metering. It specifies the eligibility requirements, technical specifications for interconnection, metering processes, and implementation guidelines. Key points include the capacity limits, safety and power quality standards, metering point determination by the discom, and exemption from transmission charges for internal evacuation infrastructure.

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Logesh Kumar
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0% found this document useful (0 votes)
312 views7 pages

Solar Net Metering Agreement

This document outlines an agreement between an eligible consumer and a power distribution company for connecting a solar rooftop system to the grid under net or gross metering. It specifies the eligibility requirements, technical specifications for interconnection, metering processes, and implementation guidelines. Key points include the capacity limits, safety and power quality standards, metering point determination by the discom, and exemption from transmission charges for internal evacuation infrastructure.

Uploaded by

Logesh Kumar
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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ANNEXURE C 1 (Individual Consumer)

Solar Rooftop Net/Gross Metering Connection Agreement


(On Non-Judicial stamp paper worth Rs. 10/-)

This Agreement is executed and entered into at (location) _______ on this (date)___ day of ____(month)
_____(Year)between the Eligible Consumer, M/s/Mr./Mrs. _________________ S/o, D/o, W/o
_______________ residing at _____________(address) ________ ___________ _____________________which
means their/his/its/ theirs, successors as first party AND AP EASTERN Power Distribution Company
Ltd. (herein after called as Discom) and having its registered office at P&T Colony ,Seethammadhara ,
Visakhapatnam-530013(address) as a DISCOM incorporated under the provisions of Companies Act 1956
consequent to the AP Electricity Reforms Act, 1998 (Which means its authorized representatives assigns,
executors and its successors) as other party herein after called the ‘Discom’. Whereas, the eligible consumer
has taken the responsibility to set up or facilitate the requisite Photovoltaic system and injection of Power
into the Discom’s grid And whereas, the Discom agrees to benefit the eligible consumer for the electricity
generated and as per conditions of this agreement and Solar rooftop guidelines amended from time to time
by APEPDCL/APERC/GOAP.
Both the party hereby agrees to as follows:

1. Eligibility

1.1 Eligible consumer is required to be aware, in advance, of the standards and conditions his system
has to meet for being integrated into grid/distribution system.
1.2 Eligible consumer agrees that connection of Photovoltaic system to Discom’s distribution system
shall be bound by requirements of state Distribution Code and/or Discom’s conditions of service.
The grid shall continue to perform with specified reliability, security and quality as per the Central
Electricity Authority (Grid Standard) Regulations 2010 as amended from time to time.
1.3 All registered companies, Government entities, partnership companies/ firms, individuals and all
consumers of APDiscom(s) will be eligible for setting up of Solar Power Projects within the State
for sale of electricity/captive use, in accordance with the Electricity Act, 2003 and Andhra Pradesh
Solar Power Policy, as amended from time to time.
1.4 Group of persons/societies will also be eligible for setting up Solar Rooftop Projects (SRP) for sale of
electricity to Discom/captive use or for self-consumption.

2. Capacity of the SPV Plant and Maximum Contracted Load of the premises

2.1 The Eligible Developer/ consumer is proposing to install rooftop solar power plant of _____kWp
capacity under Solar _________(Net/ Gross) metering facility at D.No.____, Street____, ___(V),
____(M),_____(Dist) having electrical service Connection No. ____, Category _______,
Distribution______ for a contracted load of ____kW/HP/KVA. The Eligible Developer have
requested Discom to provide grid connectivity/ necessary permissions to connect rooftop solar
power plant and supply solar energy into the distribution network of Discom at_______ voltage
level which shall be extended for a period of 25 years or for such time period as amended by
APERC/GOAP .
3. Governing Provisions

The Eligible developer hereby undertake to comply with all the requirements of the
Electricity Act, 2003, the Rules and Regulations framed under, provisions of the tariffs, applicable charges
and General Terms and Conditions of Supply prescribed by the Discom with the approval of the Andhra
Pradesh Electricity Regulatory Commission herein after called as “Commission” from time to time and
agree not to dispute the same.

4. Technical and Interconnection Requirements

4.1 Eligible consumer agrees that he will install, prior to connection of Photovoltaic system to Discom’s
distribution system, an isolation device and agrees for the Discom to have access to and operation
of this, if required, for repair and maintenance of the distribution system.
4.2 Eligible consumer agrees that in case of a power outage on Discom’s system, photovoltaic system
will shut down, unless special transfer and isolating capabilities have been installed on
photovoltaic system. The Discom shall not be obligated to accept and may require the Eligible
Developer to interrupt or reduce deliveries when necessary with a reasonable notice to the Eligible
Developer.
4.3 The Eligible Developer shall strictly adhere to the standards specified by CEA/MNRE and
installations of electrical equipment must comply with Indian Electricity rules, 1956.
4.4 The Eligible Developer can install SPV on building walls, roofs of the buildings and also in the open
areas within the premises of the consumer.
4.5 Prior approval of Chief Electrical Inspectorate General (CEIG) is required in case of an SRP
connected at LT level of distribution network with more than 10 kW capacity.
4.6 Eligible consumer agrees that Discom will specify the interface/inter-connection point and metering
point.
4.7 Eligible consumer agrees to adhere to following power quality measures as per International or
Indian standards and/or other such measures provided by Commission/Discom.
a. Harmonic current: Harmonic current injections from a generating station shall not
exceed the limits specified in IEEE 519.
b. Synchronization: Photovoltaic system must be equipped with a grid frequency synchronization
device.
c. Voltage: The voltage-operating window should minimise nuisance tripping and should be under
operating range of 80% to 110% of the nominal connected voltage. Beyond a clearing time of 2
seconds, the Photovoltaic system must isolate itself from the grid.
d. Flicker: Operation of Photovoltaic system shouldn’t cause voltage flicker in excess of the limits
stated in the relevant sections of IEC standards or other equivalent Indian standards, if any.
e. Frequency: When the Distribution system frequency deviates outside the specified conditions (50.5
Hz on upper side and 47.5 Hz on lower side), the Photovoltaic system shouldn’t energize the grid
and should shift to island mode.
f. DC Injection: Photovoltaic system should not inject DC power more than 0.5% of full rated output
at the interconnection point or 1% of rated inverter output current into distribution system under
any operating conditions.
g. Power Factor: While the output of the inverter is greater than 50%, a lagging power factor of
greater than 0.9 should operate.
h. Islanding and Disconnection: The Photovoltaic system in the event of voltage or frequency
variations must island/disconnect itself within IEC standard on stipulated period.
i. Overload and Overheat: The inverter should have the facility to automatically switch off in case of
overload or overheating and should restart when normal conditions are restored.
j. Paralleling device: Paralleling device of Photovoltaic system shall be capable of withstanding 220%
of the nominal voltage at the interconnection point
k. The maximum penetration limits at the LT level of distribution network is 80% (Ratio of aggregate
installed SRP capacity under the DTR to the DTR capacity )
4.8 Eligible consumer agrees to furnish all the data such as voltage, frequency, and breaker, isolator
position in his system, as and when required by the Discom.
4.9 Grid Connectivity and Evacuation facility:
The power generated from a Solar Power Project shall be injected at an appropriate voltage at the
sub-station and/or interconnection point of the APTransco / Discom(s). The Eligible
Developer shall bear the entire cost of construction of power evacuation facilities from the project
up to the interconnection point and/or up to APTransco / Discom(s) substation.
The Eligible Developer shall abide by the orders, rules, regulations and terms and conditions as
approved by the Commission from time to time for operation of Solar Power Projects, power
evacuation, transmission and wheeling of energy. Solar Power Projects will be exempted from
paying the Supervision charges to APTransco/Discom(s) towards the internal evacuation
infrastructure within the project site and up to interconnection point. Any upstream system
strengthening requirement shall be borne by APTransco/ Discom(s) on a priority basis.
4.10 It is imperative to seek the technical details of the installation infrastructure from the supplier at the
time of system installation and retain with the Eligible developer/ consumer.

5. Implementation Process:

Implementation of solar rooftop net/ gross metering facility will be as per the following guidelines:
i) Under Net metering, Power is first sent to the appliances and lights in the house, and if excess
remains, it is exported to the outside electricity network and its quantum recorded.
ii) Under Gross Metering, all solar electricity generated is exported to the outside electricity network
through an independent meter.
iii) Eligible Developers are allowed to avail the relevant subsidies and incentives from MNRE and from
other Departments.
iv) The eligible subsidy may be processed through DISCOM /MNRE, GOI. The sanction and release of
the subsidy will be as per the guidelines issued by MNRE from time to time.
v) Incentives/ Other Charges/Administrative Fee - No Distribution losses and charges will be collected
from the Eligible Developers /Group /Society /Individuals by the DISCOMs. All other charges shall
be applicable as per the Tariff Order amended from time to time. The registration and facilitation
fees shall be paid by Eligible Developer to Nodal agency/DISCOM as specified in the Policy.
5.1 Request for Connectivity
The Eligible Consumer will submit the required information in the prescribed format to the
DISCOM and get the proper acknowledgement and shall also provide related interconnection
equipment as per the DISCOM’s technical requirements, including safety and performance
standards. To prevent a Solar Rooftop Consumer from back-feeding a de-energized line, the Eligible
Consumer shall install an isolator switch that is accessible to Company personnel at all hours. The
inverter/PCU shall have anti Islanding protection feature. The Customer shall not commence
parallel operation of the Solar Rooftop metering facility until the Customer has received approval to
operate from the competent authority of DISCOM. Modifications or changes made to a Generator
shall be evaluated by the DISCOM prior to modifications/changes. The Eligible Consumer shall
provide detailed information describing the modifications or changes to the DISCOM in writing
prior to making the modification to the generating facility. The DISCOM shall review the proposed
changes to the generating facility and provide the results of its evaluation to the Eligible Consumer
within forty- five (45) calendar days of receipt of the Customer’s proposal. Any items that would
prevent parallel operation due to violation of applicable safety standards and/or power generation
limits shall be explained along with a description of the modifications necessary to remedy the
violations.
5.2 Metering and Synchronization:
All meters must be Smart Meters as per the standards specified by the CEA regulations as amended
from time to time. Eligible Developers shall be free to procure Meters, Current Transformers (CT),
and Potential Transformer (PT) either from open market or DISCOM. If the metering equipment is
purchased by the Developer, the same is to be tested at standard laboratory with consumer’s
expenses. Meter reading shall be done as per the prevailing Discom procedure. The applicable
customer charges shall be payable to Discom. Billing process shall start within one month/next
billing cycle after synchronizing the SRP plant.
5.3 Energy Settlement and Billing/Invoicing:
Energy settlement shall be done on a monthly basis. Group of persons/societies setting up SRP’s
will be treated as collective generation for supply of power to the households of each society /group
member. In case of Apartments/Group Houses, common meter may be used for net/Gross metering
Net Metering: The energy generated from SRP shall be adjusted against the consumption of energy
from the DISCOM by the Eligible Developer/ consumer every month. In case of Groups/Societies,
the energy generated shall be prorated as per the installed capacity share indicated in the Agreement
between the group/society and DISCOM. This computed energy share shall be adjusted against the
consumption of energy for each consumer every month.
In case of excess generation (after energy adjustment) in any month, payment shall be made by the
Discom for the net energy computed at the rate which shall not exceed “ difference of pooled
variable cost and balancing cost or the applicable tariff at the time of commercial operation
date(CoD) which ever is less” or the tariff as determined by APERC/GOAP from time to time and
the applicable tariff at the time of COD will be paid for a period of 25years or for such period as
amended by APERC/GOAP. In case of excess consumption in any month, payment shall be made
by the Eligible Developer /Group /Society for the net energy at the applicable tariff as determined
by APERC every year.
Gross Metering: The payment for energy generated from SRP will be computed at the rate which
shall not exceed“ difference of pooled variable cost and balancing cost or the applicable tariff at the
time of commercial operation date(CoD) which ever is less” or the tariff as determined by
APERC/GOAP from time to time and the applicable tariff at the time of COD will be paid for a
period of 25years or for such time period as amended by APERC/GOAP. This shall be adjusted
against the total billing demand for consumption of energy for the Eligible Developer/ consumer
from the DISCOM every month. The balance amount after adjustment for the month shall be made
by the Discom.
A limit shall be defined for all Eligible Developers in terms of energy, beyond which no payment
shall be made by APDISCOM. Please refer example in Annexure-E of AP SRT policy 2018.

6. Access and Inspection:


6.1 The DISCOM’s personal may enter the Eligible consumer’s premises to inspect the Eligible
consumer’s protective devices and read or test the meter.
6.2 DISCOM personnel reserve the right to inspect the SRP routinely at any time during the term of the
Agreement. As part of the inspection, DISCOM officials have to ensure to check the following
aspects
 All protective equipment of the SPV system is functioning as per specifications.
 The SPV system including the panels, inverters, etc continue to meet the requirements of
MNRE/Indian & IEC standards post installation till contract completion.
6.3 An Eligible Developer, found indulging in theft of electricity or unauthorized use of electricity, shall
pay the additional charges as may be levied by the DISCOM as per provisions of Electricity Act 2003.
DISCOM may levy additional charge besides disconnection of electricity supply.

7. Safety
7.1 Eligible consumer shall comply with the Central Electricity Authority (Measures Relating to Safety
and Electricity Supply) Regulations 2010 as amended from time to time.
7.2 Eligible consumer agrees that the design, installation, maintenance and operation of the photovoltaic
system are performed in a manner conducive to the safety of the photovoltaic system as well as the
Discom’s distribution system.
7.3 Due to Discom’s obligation to maintain a safe and reliable distribution system, eligible consumer
agrees that if it is determined by Discom that eligible consumer’s photovoltaic system either causes
damage to and/or produces adverse effects affecting other distribution systems’ consumers or
Discom’s assets, eligible consumer will have to disconnect photovoltaic system immediately from
the distribution system upon direction from the Discom and correct the problem at his own expense
prior to a reconnection.

8. Clearances and Approvals


8.1 All the approvals/clearances required to avail the metering facility shall be disposed by the
respective Discom within 14 days (7 working days) from the date of application
8.2 The eligible consumer agrees to attain all the necessary approvals and clearances before connecting
the photovoltaic system to the distribution system.
8.3 Approvals shall be given only to those Eligible developer with maximum allowable capacity under
single-phase service is 3 kWp and maximum allowable SPV plant capacity under LT category is 56
kWp either at LT or HT potential. For HT Service, consumer shall be responsible to match the SPV
plant capacity with the DTR Capacity and shall be limited to the CMD of that service.
8.4 The SRP capacity should be up to 1000 KWp at a single location.

9. Injection of Solar Power


The Solar power produced shall be injected in to the DISCOM network only after obtaining prior
approval from DISCOM and meeting all the requirements of departmental standards, viz.,protection
switchgear, metering, feasibility approval etc.

10. Liabilities
10.1 Eligible consumer and Discom will indemnify each other for damages or adverse effects from either
party’s negligence or intentional misconduct in the connection and operation of photovoltaic system
or Discom’s distribution system.
10.2 Discom and eligible consumer will not be liable to each other for any loss of profits or revenues,
business interruption losses, loss of contract or loss of goodwill, or for indirect, consequential,
incidental or special damages, including, but not limited to, punitive or exemplary damages,
whether any of the said liability, loss or damages arise in contract, or otherwise.
10.3 Discom shall not be liable for delivery or realization by eligible consumer for any fiscal or other
incentive provided by the central /State government.
11. Commercial Settlement

11.1 All the commercial settlement under this agreement shall be made according to Solar rooftop
guidelines and regulations of Electricity Regulatory Commission.

12. Connection Costs


12.1 The eligible consumer shall bare all costs related to setting up of photovoltaic system including
metering and interconnection costs.
12.2 Cost for interconnection equipment including the isolators, meters etc. are also to be borne by the
eligible consumer.

13. Date of enforceability of the Agreement


This agreement will be in a force for a period of 25 years or for such period as amended by
APERC/GOAP or up to the tenure of the project whichever is earlier from the date of
commencement of this agreement, until the Eligible consumer meet all the requirements, rules and
conditions of this Agreement and the system and its operation is in accordance with the Andhra
Pradesh Solar Power Policy – 2018, and its future amendments, if any.

14. Dispute Resolution


If at any time the Discom reasonably determines that either the Eligible consumer may endanger the
Discom’s personnel or other persons or property, or the continued operation of the consumer’s
generator may endanger the integrity or safety of the Discom’s electric system, or the Consumer is
not operating the system in compliance with the terms and conditions of this agreement the Discom
shall have the right to disconnect and lock out the SPV Generator facility from the Company’s
electric system until the Discom is reasonably satisfied that the SPV Generator can operate in a safe
and complain manner.
Any other disputes arising under/ out of this agreement shall be resolved promptly in good faith
and in an equitable manner by both the parties. Failing resolution of the dispute, party may
approach the commission under Section 86 (1) (f) of EA 2003.

15. Termination
15.1 The SRP shall be installed within three (3) months from the date of Agreement. In case of any delay
beyond three months, one time extension of 15 days shall be provided after which the agreement
shall be deemed terminated without any reason.
15.2 The eligible consumer can terminate agreement at any time by providing Discom with 90days prior
notice.
15.3 Discom has the right to terminate Agreement on 30 days prior written notice, if eligible consumer
breaches a term of this Agreement and does not remedy the breach within 30 days of receiving
written notice from Discom of the breach.
15.4 Eligible consumer agrees that upon termination of this Agreement, he must disconnect the
photovoltaic system from Discom’s distribution system in a timely manner and to Discom’s
satisfaction.
16. Re-Sale of Electric Power: The Eligible consumer shall not sell electricity generated under this agreement
without the sanction in writing obtained from the DISCOM.

17. Obligation of Consumer to pay all charges levied by DISCOM The Eligible Consumer shall abide by the
rules and shall pay the Maximum Demand Charges, energy charges, surcharges and other charges, if
any, to the DISCOM in accordance with the notified Tariff besides the applicability of the General
Terms and Conditions of Supply prescribed by the APERC from time to time.

18. Theft of electricity or unauthorized use of electricity The Eligible consumer, found indulging in theft of
electricity or unauthorized use of electricity shall pay the penal/additional charges as may be levied by
the DISCOM besides disconnection of supply as per the provisions of IE Act 2003 and General Terms
and Conditions of supply. In the witness, where of Mr. _________ for an on behalf of ________________
(Eligible consumer) and Mr. _________ for and on behalf of __________________ (Discom) agree to this
agreement.

Signature of the Developer/ Consumer Signature of the DISCOM Representative


Date: Date:

Witness 1: Witness 2:
Signature: Signature:
Name & Address: Name & Address:
Date: Date:

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