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Prosumers not exempted from payment of fixed charge, says Electricity Regulatory Commission

Prosumers not exempted from payment of fixed charge, says Electricity Regulatory Commission

The Hindu11-05-2025

Prosumers are not exempted from the payment of fixed charges to the distribution licencee based on their connected load, the Kerala State Electricity Regulatory Commission has said.
The commission's stand on the issue came in a reply to an appeal filed under the Right to Information (RTI) Act.
In the case of a prosumer, even though part or full energy requirement is met from solar plant, the 'power requirement' during non-solar hours is fully met by the licensee, in this case, the Kerala State Electricity Board.
Therefore, grid-connected solar prosumers are also bound to pay the fixed charge/demand charge based on their connected load/ contract demand, the Commission noted in a reply given to Asokakumar K., of TKS Puram, Kodungallur.
This condition is applicable even if their net consumption (net drawal from the grid) is zero or even when the prosumer injects surplus energy to the grid.
Prosumers are consumers who also produce energy, mostly from solar plants, and supply the surplus to the grid.
'None of the orders of this Commission has exempted the prosumers from the payment of fixed charge based on their 'connected load/ contract demand' with the licensee,' the Commission said.
A consumer's electric power requirement is assessed based on his connected load/contract demand of the appliances or machinery connected to the system. Even if the consumer has zero consumption during a month, the consumer is bound pay fixed charge based on the connected load/contract demand.

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