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ERC proposes voluntary scheme for net metering

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January 12, 2025
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ERC proposes voluntary scheme for net metering
ROBERT LINDER-UNSPLASH

THE Energy Regulatory Commission (ERC) said it is proposing to make the installation of renewable energy certificate (REC) meters voluntary.

This was among the amendments the ERC is proposing to Resolution No. 6, Series of 2019, or the Resolution Adopting the Amendments to the Rules Enabling the Net-Metering Program for Renewable Energy.

“The installation of the REC meter shall be voluntary. The DU (distribution utility) shall be entitled to an RE certificate resulting from the net-metering arrangement,” the commission said.

It said that an REC must be based on the gross generation as measured through the REC meter and must be credited as compliance with the DU’s obligations under the Renewable Portfolio Standards (RPS).

RECs are issued to participants in the RPS scheme, indicating the energy sourced, produced, and sold or used is from eligible RE systems.

Net metering allows power users that generate their own electricity via RE to sell some of their excess output to the grid, with the proceeds credited against their power bills.

Under RPS, DUs, electric cooperatives, and retail electricity suppliers are required to source a portion of their energy supply from eligible RE sources.

Among other key amendments being considered by the ERC are allowing the banking of net-metering credits for transfer in case property ownership changes.

In such instances, the credits accrued by the original property owner will be transferred to the new owner, provided they are compliant with the requirements, which may include a new net-metering agreement with the DU.

“To improve transparency, the ERC also proposes to mandate DUs to prominently display on their websites an itemized breakdown of their generation charges, along with their hosting capacities. These capacities must be delineated on both a substation and per-feeder basis, using a format prescribed by the Commission,” the commission said.

The ERC is inviting comment on the draft amendments by Jan. 17. — Sheldeen Joy Talavera

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