NEPRA Retains Net Metering for Existing Solar Consumers

Pakistan’s energy regulator, the National Electric Power Regulatory Authority (NEPRA), has decided to retain net metering for existing rooftop solar system users, ensuring continuity in billing arrangements for consumers already connected under the programme. The move comes as stakeholders await the outcome of pilot programs designed to inform a revised net metering framework.

Under the retained regime, residential, commercial, and industrial consumers with installed solar capacity will continue to receive credit for surplus generation exported to the grid. This allows users to offset their electricity bills against excess energy produced on-site, a policy that had been under review amid changes in national energy planning.

What Remains Under Consideration

NEPRA noted that pilot projects conducted by distribution companies are ongoing to evaluate technical, financial, and regulatory considerations for a new net metering framework. These pilots are focused on load patterns, grid stability, credit settlement mechanisms, and integration of distributed solar generation into the broader system.

Officials clarified that the current net metering arrangements will remain valid for all consumers connected under the existing programme until the regulator formally announces any new framework. Any future changes, including potential adjustments of credit rates or eligibility criteria, will follow consultations with relevant stakeholders, including utilities and consumer groups.

Background: Net Metering in Pakistan

Net metering in Pakistan was introduced to encourage rooftop solar adoption by allowing consumers to feed surplus energy back to the grid and receive billing credits. The policy has supported growth in distributed solar installations, particularly among residential and small business segments seeking to reduce reliance on expensive grid electricity.

In recent months, discussions about reforming the net metering regime have intensified amid concerns over grid balancing, cost allocation, and the sustainability of credit mechanisms under evolving energy demand conditions. Pilot programmes were launched to test alternative technical and commercial models before a broad regulatory shift.

Implications for Solar Consumers

For existing solar system owners, NEPRA’s decision brings certainty and continuity. Consumers will continue to benefit from net metering credits under the terms they originally signed up for, protecting the value proposition of their solar investments.

Industry representatives welcomed the retention of the existing system, saying that premature changes could have deterred rooftop solar adoption and undermined investor confidence in distributed renewable energy markets.

Looking Ahead

NEPRA has reiterated that any future changes will be communicated with adequate notice and after comprehensive stakeholder engagement. The outcome of pilot evaluations and related consultations will shape the structure of the forthcoming net metering framework, which aims to balance consumer incentives with grid management needs.

As Pakistan expands its renewable energy capacity, solar distributed generation remains a key component of efforts to alleviate energy costs and increase resilience. NEPRA’s interim retention of net metering for existing users ensures short-term stability while longer-term reforms are assessed.