The Energy Regulatory Commission Amends the Net-Metering Rules for Renewable Energy

The Energy Regulatory Commission (ERC) through Resolution No. 15, Series of 2025, adopts the “2025 Amended Rules Enabling the Net-Metering Program for Renewable Energy.” The Resolution revises and enhances the 2019 rules to align with recent Department of Energy (DOE) issuances and stakeholder feedback. In line with the State policy to accelerate the development and use of renewable energy (RE) resources, the amended rules aim to expand end-user participation, streamline permitting processes, and improve the integration of on-grid RE systems into existing distribution networks. Qualified End-Users (QEs) include all customers in good credit standing, including new ones, who install eligible RE technologies such as solar, wind, or biomass systems.

The amendments introduce key operational and financial provisions designed to benefit QEs. All Net-Metering Credits—the peso value of excess electricity exported to the grid—must now be banked, rolled over, and applied to a QE’s power consumption in the current or subsequent billing periods. The standardized rate for exported energy is based on the Distribution Utility’s (DU) monthly generation charge, calculated from its blended generation cost, excluding other adjustments. The installation of a Renewable Energy Certificate (REC) meter is now optional. If waived, RE generation for Renewable Portfolio Standards (RPS) compliance will be determined using prescribed capacity factor formulas for each RE technology. DUs remain responsible for providing and installing the required bi-directional meter, with existing end-users covering only the cost difference between their old and new meters.To ensure efficient implementation, the rules set out specific obligations for Distribution Utilities. DUs must complete the interconnection process within twenty (20) working days from receipt of a QE’s letter of interest, provided all necessary permits are in place. They must also transmit the executed Net-Metering Agreement (NMA) to the ERC within five (5) days to support the Certificate of Compliance (COC) application. Additionally, DUs are required to promote transparency by posting their Net-Metering programs, application procedures, and hosting capacities on their websites on a quarterly basis. The ERC has also issued template NMAs for systems with and without an REC meter (Annexes A-2.1 and A-2.2). Any failure or unjust refusal by a DU to implement the Net-Metering program will be subject to penalties and fines under existing regulations.