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KSERC Approves Time-of-Day Tariff and Solar Energy Incentives for EV Charging Stations

EV

May 20, 2025

The Kerala State Electricity Regulatory Commission (KSERC) has introduced a new time-of-day tariff structure to encourage electric vehicle (EV) charging during solar hours (9 AM to 4 PM). Under the approved structure, EV charging during solar hours will cost 30% less than the standard tariff, set at 0.7 times the average ruling rate. Conversely, charging during non-solar hours will incur a 30% premium (1.3 times the average tariff).

Additionally, KSERC has approved single-part tariffs for EV charging stations, exempting them from fixed or demand charges. Charging stations with solar installations can adjust the energy exported between 9 AM and 4 PM against their imports within the same billing cycle without incurring any grid-related charges. A similar provision applies to non-solar hour imports and exports.

A key feature of the policy is the cross-time adjustment mechanism, where surplus solar energy exported during solar hours can be used to offset non-solar hour imports, albeit at a conversion factor of 13:7. No extra charges will be applied to this conversion. Any unutilized energy after adjustments will be banked and carried forward within the fiscal year, subject to 5?nking charges and applicable grid support fees. Final settlement of excess solar energy will be based on the average pooled power purchase cost or other rates set by the Commission.

EV charging stations are also allowed to integrate battery storage systems to store surplus solar power. The Ministry of Power has reiterated that establishing and operating EV charging stations remains a de-licensed activity, open to any entity. This progressive framework is expected to incentivize solar-based EV charging and optimize grid load management.