Draft regulations on renewable energy lays stress on energy storage

The draft regulations on ‘renewable energy and related matters’ issued by the Kerala State Electricity Regulatory Commission (KSERC) on Friday places emphasis on promoting energy storage systems in Kerala’s rapidly growing renewable energy sector.

Among other things, the draft introduces virtual net metering (VNM) and group net metering (GNM) alongside existing metering and billing options for prosumers. It also has provisions for virtual power plants (VPP) which allow renewable energy producers, including small rooftop solar plant owners and storage service providers, to trade in the power market through an aggregator, and peer-to-peer trading (P2P) where prosumers can engage in energy trading through an online P2P platform.

The Draft KSERC (Renewable Energy and Related Matters) Regulations, 2025, are based on the recommendations of a discussion paper floated by the commission, headed by T.K. Jose, some months ago and the feedback from stakeholders.

Storing surplus energy

If in the initial stages policies and regulations placed thrust on promoting renewable energy use, there is now added emphasis on storage systems, be it battery energy storage systems (BESS) or pumped storage projects (PSP). This is due to a growing need to store the surplus energy generated during daytime, especially from solar plants, which can then be used to meet the high demand during the peak consumption hours.

On virtual net metering and group net metering, the draft observes that it will “enhance accessibility for community and institutional solar projects. These frameworks will allow multiple consumers to benefit from a single solar installation, increasing participation in renewable energy adoption.”

On existing metering and billing systems, the draft notes that all consumers/prosumers billed under agriculture, domestic and industrial tariffs are eligible to opt for net metering, net billing and gross metering, subject to conditions.

Vehicle-to-grid tech

The draft also sets out the requirements and eligibility criteria for vehicle-to-grid (V2G) technologies which allow the export of electrical energy stored in batteries of electric vehicles to the grid during peak hours. The draft also calls for the introduction of a special time-of-use (ToU) tariff to encourage V2G participation, offering incentives for energy export during peak demand periods.

The commission said that it would finalise the regulations, available on its website, only after holding a public hearing and getting the feedback from stakeholders. The date of the hearing will be announced in due course.

Published - May 30, 2025 09:00 pm IST