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Does Net Metering Work in Pakistan – Is it Really Profitable?

Last Updated On July 27, 2023 By John Thomas

The net metering policy in Pakistan enables customers who own or plan to build renewable energy sources to produce their own electricity and to sell any excess back to the national grid during off-peak hours.

During other times when the electricity produced by these facilities is insufficient to meet the consumer’s needs.

The consumer’s utility bill will either be reduced or they will receive payment for the use of the energy that is exported to the grid.

Since September 2015, the NEPA has released net-metering regulations that permit the DISCOs in Pakistan to buy excess power generated by customers and offset it against the consumption of electricity from the grid.

These laws permit the use of the net-metering facility for small-scale renewable energy projects (1kW to 1MW) by any national grid customer (with a three-phase connection). It offers a reliable supply of energy.

Solar PV systems can deliver reasonably priced electricity for the duration of the system. Switching to renewable energy (RE) will lower electricity costs for both residents and companies which will be reflected in their LESCO or MEPCO Bills etc.

Net Metering in Pakistan

The solar power production policy in Pakistan for customers who already possess or intend to construct renewable energy installations is known as net metering.

National Grid Station Producing Electricitity Through Net-Metering

They can use solar energy to generate electricity for their personal purposes as well as to supply excess electricity to the national grid according to the government’s electricity strategy.

Excess electricity is consumed at off-peak times or when the plant isn’t producing enough electricity whenever the RE facility can’t meet client demand.

Useful Link: How to Buy a Solar system for Net Metering | Overview of the Mechanics

What is Net Metering in Pakistan?

The net metering power policy in Pakistan is applicable to customers who currently own renewable energy plants or have plans to do so.

The national grid can profit from this approach since it enables them to use solar energy to sell excess electricity in addition to producing electricity for their own consumption.

This extra electricity is consumed during periods of low usage or when the RE plant cannot provide the consumer with adequate power.

Net Metering Policies in Pakistan

Consumer compensation is the responsibility of the applicable DISCO in accordance with the contract. In September 2015, a new NEPRA regulation came into effect allowing Pakistani DISCOs to purchase extra power generated by customers in order to offset grid use.

These regulations allow each three-phase-connected Pakistani grid user to establish a small-scale net metering system for renewable energy, ranging from 1kW to 1MW. It has long been possible to use renewable energy.

Throughout the system’s lifespan, solar PV technology offers access to affordable electricity. consumers can use RE (Renewable Energy), which lowers electricity costs for both commercial and residential consumers.

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