DERC issues draft amendment for group and virtual net metering for renewable energy

The Delhi Electricity Regulatory Commission (DERC) issued a public notice on 17 December 2025 proposing the Draft Delhi Electricity Regulatory Commission (Group Net Metering and Virtual Net Metering for Renewable Energy) (Seventh Amendment) Guidelines, 2025. The draft, uploaded on the Commission website, invites stakeholder comments. The amendments modify the existing 2019 Guidelines under powers drawn from the Electricity Act, 2003 and related regulations.

Expansion of virtual net metering applicability

A key change expands the scope of the Virtual Net Metering framework. Guideline 3(2) is amended to state that the framework applies to all consumers in the National Capital Territory of Delhi, including consumers with single point of supply. This widens participation in VNM within Delhi.

Greater flexibility for consumers

The amendments provide additional operational flexibility for consumers under VNM. A revised Guideline 9(2)(b) allows consumers to revise the allocation of electricity credits or add new participating service connections to an existing VNM arrangement twice during a financial year, with a two-month advance notice.

Another revision to Guideline 9(2)(d) changes the timing reference for energy crediting, replacing “off peak time block” with “normal time block.”

Distribution licensee obligations for infrastructure costs

A major proposal relates to network expenditure. A new Guideline 3(6) requires distribution licensees to bear and facilitate capital expenditure for Service Line cum Development and network augmentation for Renewable Energy projects under Group Net Metering and Virtual Net Metering. These costs will be allowed as pass-through in Aggregate Revenue Requirement.

The waiver applies only to the 11 kV and below network and is limited by cumulative capacity caps of 110 MW for BRPL, 100 MW for TPDDL, 30 MW for BYPL, and 10 MW for NDMC. Licensees must also submit quarterly progress reports on all net metering schemes to the Commission and the concerned government department.

Effective date and validity

Once finalized, the guidelines will be called the Delhi Electricity Regulatory Commission (Group Net Metering and Virtual Net Metering for Renewable Energy) (Seventh Amendment) Guidelines, 2025. They will take effect from the date of their upload on the Commission website and will remain operational until further amendments are issued.

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