Delays in gas market reforms stall net metering plan

Despite being finalized by the Ministry of Environment, Energy & Climate Change, a ministerial decision for the implementation of renewable energy source (RES) self-production and a net metering plan cannot be signed until a draft bill for the liberalization of the gas retail market is first ratified in Parliament.

This effectively means that the ministerial decision’s authorization cannot be expected imminently, sector officials have explained to energypress.

Net metering enables electricity consumers who generate their own power from an eligible on-site facility and deliver it to local distribution facilities to offset the electric energy provided by the utility during an applicable billing period.

Although a deadline for public consultation procedures concerning the gas retail market’s liberalization has long expired, the process is still in the making. Moreover, compensation details for the country’s gas supply companies (EPA), in exchange for their loss of regional monopolies, have yet to be determined. Also pending are details concerning the cost of gas for industrial consumers.

It all boils down to meaning that individuals interested in installing roof-mounted photovoltaic facilities for self-produced electricity, as well as sector professionals, are all currently stranded by the delayed progress of gas retail market liberalization reforms.

The draft bill includes a provision to exempt self-consumed electricity from an Emission Reduction Tariff (ETMEAR). Sector officials representing self-producers had also pushed for the removal of Public Service Compensation (YKO) surcharge paid by self-producers on the energy they produce and consume. This demand has not been met.

Even so, energypress sources said that, overall, the ministerial decision will come as a pleasant surprise that will serve as a catalyst for renewed development in the installation of roof-mounted photovoltaic systems.