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Virtual Net Metering: A Turning Point for Solar Adoption in Karnataka

The Old Solar Model Is Breaking

For years, rooftop solar was seen as the clean-energy solution - but it came with limits. Only property owners with viable rooftops could participate. Tenants, small businesses in rented spaces, and shaded buildings were left out.

Virtual Net Metering (VNM) changes that equation. It allows solar energy generated in one place to be virtually shared among multiple users within the same distribution license area. In simple terms: one solar plant, many beneficiaries - each receiving their share of credits directly on their electricity bills. See how our Virtual Net Metering model works in detail.

“Virtual Net Metering Arrangement (VNM): … energy generated from a solar plant with or without storage shall be exported to the grid and the credits may be allocated/adjusted to the electricity bills of multiple consumer-service connections of the same category under the same distribution licence area.”
- KERC Order PDF

Why This Matters

1. Energy Equity

With VNM, clean energy becomes inclusive. Apartment residents, institutions, and co-operative housing societies can all subscribe to a shared solar plant - even if they don’t own a rooftop.

Karnataka’s latest Distributed Solar PV (DSPV) policy broadens the definition of “rooftop” to include façade-mounted and elevated structures, giving consumers more freedom to install or join solar capacity.Read DSPV reform summary

2. Smarter Infrastructure

VNM runs on digital transparency. Smart meters record exports, and online dashboards allocate credits automatically. Platforms like BESCOM’s SRTPV portalsimplify application processes.

This integration of IoT devices, AI analytics, and smart billing systems represents the next stage in India’s data-driven energy transition.

3. Policy Certainty and Tariff Clarity

Under KERC’s 2025–26 tariff order, Virtual and Group Net Metering projects have clear financial guidelines:

CategoryTariff (₹/kWh)Provision
Domestic (1–10 kW)₹3.86Virtual or group connections allowed
Non-Domestic₹3.08Applicable for institutional/commercial use
VNM Surplus75% of applicable tariffPurchased by DISCOM

The clarity and stability of this framework encourage developers, RESCO operators, and cooperatives to invest confidently.Read TeamLease summary

A New Solar Economy

This isn’t just a new tariff - it’s the foundation for a distributed, investor-friendly renewable network. Developers can now design central solar parks serving multiple consumers, while end-users enjoy predictable savings without installation costs. Explore Renowatt’s cloud solar energy solution.

Karnataka’s updated DSPV Order (effective July 2025–June 2026) sets a stable horizon for growth.View KERC order

The Future Is Shared

Imagine an apartment complex or local business network sharing the output of a 500 kW solar plant located a few kilometers away. No rooftop panels, no individual maintenance - just clean, shared power flowing through the grid.

Virtual Net Metering is not just an update to solar policy - it’s a new operating system for equitable, digital energy.

“Solar energy shouldn’t depend on where you live - only that you choose to use it.”
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Virtual Net Metering in Karnataka | Tariffs, Policy Order & Shared Solar