Pakistan Overhauls Rooftop Solar: NEPRA Ends Net Metering, Introduces Net Billing Under Prosumer Regulations 2026
Big change just hit Pakistan's renewable energy scene. On February 9, 2026, the National Electric Power Regulatory Authority (NEPRA) notified the Prosumer Regulations 2026, effectively replacing the old net metering system with a new net billing framework.
This shift applies immediately to all prosumers — households, businesses, or industries generating their own power (mainly through rooftop solar, but also wind or biogas) up to 1 MW capacity.
What Was Net Metering?
Under the old rules (from 2015), if your solar panels produced more electricity than you used, the excess units were credited 1:1 against your bill at the same consumer tariff rate. It made rooftop solar super attractive — basically offsetting high grid costs and paying back quickly.
What's Net Billing Now?
- Excess power you export to the grid is bought by the distribution company (Disco) at the national average energy purchase price (around Rs11 per unit, based on recent reports).
- When you draw from the grid, you pay the full applicable consumer tariff (often Rs37–55+ per unit, depending on slab and location).
- No more one-to-one unit exchange — it's a financial settlement: credits at low buy rate, charges at high sell rate.
- Contract terms shortened to 5 years for new setups (down from 7).
- Existing net metering agreements transition to net billing (some reports say immediately for billing, with credits limited to one month instead of three; check your Disco for exacts).
- Systems limited to your sanctioned load — no oversizing beyond that for net billing benefits.
The goal? NEPRA says it's to protect grid stability, manage rising solar penetration, and ensure fair compensation without overburdening the already strained power sector.
But it's sparked criticism — many experts, politicians, and solar users argue it will slow down rooftop solar adoption, hurt payback periods, and discourage investment in clean energy at a time when Pakistan needs more renewables to cut imports and loadshedding.
For everyday folks in Lahore or elsewhere installing panels to beat high bills, this means recalculating ROI. Solar still saves on self-consumption (what you use directly), but exporting surplus now pays much less.
Key Points at a Glance
- Applies to: Solar, wind, biogas ≤1MW
- New prosumers: Net billing from day one
- Existing: Shifted to net billing (verify with your utility)
- Buy rate: ~Rs11/unit (national average)
- Sell rate: Full consumer tariff
Disclaimer: This post is for informational purposes only. Stand For Pakistan is not responsible for any claims. All information is based on publicly available sources (NEPRA notifications, Dawn, Tribune, ProPakistani, etc.). Readers are strongly advised to verify details through official NEPRA channels or your Disco — rules can have nuances!
Pakistan's energy future is evolving fast. Is this a necessary grid fix or a setback for green growth? Share your thoughts below — especially if you've got solar already!
🇵🇰 Stand For Pakistan
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