Pakistan has revised its net metering policy for solar power consumers nationwide, with the changes approved by the Ministry of Energy following extensive consultations with key stakeholders. The updated framework replaces the existing net metering system with a net billing mechanism, aiming to streamline solar energy transactions and provide clearer terms for consumers.
Under the revised policy, solar power purchase agreements with consumers will now have a fixed duration of five years. Instead of the additional surcharges previously applied under net metering, consumers will receive a per-unit exchange rate for the electricity they feed into the grid, with the proposed net billing rate expected to be around Rs12 per unit.
Another major change affects licensing requirements. Consumers with a connected load of less than 25 kilowatts will now be required to obtain a license from the National Electric Power Regulatory Authority (NEPRA), whereas previously domestic, industrial, and commercial consumers with loads up to 25 kilowatts were exempt from such requirements.
Officials from the Ministry of Energy stated that the policy revision, completed in coordination with distribution companies (DISCOs) and NEPRA, was necessary after several months of consultation and review. The ministry also informed the federal government that continuing under the old policy was not feasible. Energy officials clarified that the determination of solar tariffs will continue to remain under NEPRA’s regulatory authority, ensuring independent oversight of pricing.
