CREG self-generation rules

Regulation & Policy, Renewables    Jan 14, 2022 2:48 PM

The Energy and Gas Regulatory Commission (CREG) issued Resolution 174 of 2021, which updates the rules for small-scale self-generation and distributed generation.

The entity said that this resolution streamlines and clarifies the operational and commercial aspects of the grid connection process, according to a press release.

Self-generators can be residential, commercial and industrial users, located in rural or urban environments.

“The Resolution allows a distributed generator to have a nominal installed capacity of less than 1MW. This to incentivize this type of generators,” the CREG highlighted.

The entity explained that the new rules seek greater concurrence of self-generating users and distributed generators, and greater transparency in the allocation of connections.

“Users will continue with the possibility of becoming energy self-generators, turning to unconventional and renewable sources such as solar photovoltaic, hydraulic and wind energy, among others,” the CREG said.

According to the new regulation, if a user that generates its own energy wishes to provide surplus to the National Interconnected System, it must comply with some steps divided into stages, ranging from the delivery of the documentation, the technical review and the request for entry into operation.

“The steps are easy to follow, which will be done initially through an online processing system on the website of the energy company operating the network, and subsequently, through a single window managed by the UPME,” the entity said.

The CREG added that if at any time a user produces surplus energy that exceeds its consumption, it can deliver it to the grid to be accounted for and used to cover part of its consumption on the bill.

Bottom-Line: Having clear rules on this type of generation will be fundamental so that more Colombians are encouraged to bet on new energy sources and can generate savings in their energy consumption.

These rules should be streamlined as much as possible within the limitations of safety of the system. In other countries, hooking up a solar panel to the electrical grid is not a difficult bureaucratic process.

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