National Electric Power Regulatory Authority (NEPRA) is considering to cut the buying rate of electricity per unit through solar-installed consumers from Rs. 19.32 per unit to Rs 9 per unit.
NEPRA has announced setting new tariff for the net-metering consumers who have installed solar-powered systems in their houses. This new tariff might not affect their bills, the decision in this regard is yet to be finalized.
This was highlighted by chairman NEPRA Engr. Tauseef H. Farooqi while presiding over the public hearing on the amendment to Net Metering Regulation 2015.
Chairman NEPRA remarked that in case the regulatory authority brings any amendment to net metering regulations, it would set a new tariff for the solar-installed consumers. At the moment, the solar net-metering tariff stands at Rs. 19.32 per unit. However, the proposal is to reduce this tariff to Rs. 9 per unit. The proposed tariff will not cause any loss to the net-metered consumers, he said.
Chairman NEPRA stated that the decision regarding amendment in the regulations is not taken yet. He also mentioned that out of total 3.6 million electricity consumers in Pakistan, the number of net-metered consumers currently stands at 20,700. While highlighting the NEPRA’s jurisdiction, he said that the regulatory authority has the prerogative to issue unilateral decisions; however, in spite of that, NEPRA has held a public hearing to discuss the subject matter.
He stated that Pakistan was facing severe challenges in the power sector when solar net-metering tariff was given; however, the situation has changed now as Pakistan has an installed capacity of approximately 41,000 MW.
Chairman NEPRA also remarked that it’s totally up to solar-installed consumers to decide whether to give power to the grid or not. If consumers feel that they are suffering losses by providing power to national grid, they are free not to supply power to the grid. NEPRA’s sole effort is to provide relief to the consumers. He also highlighted that Pakistan is currently producing 5 percent of electricity through renewable sources including sun, wind, and bagasse. However, the government is looking to develop Pakistan’s electric system on modern lines.
During the hearing, the solar-installed consumers expressed reservations regarding proposals, with several consumers mentioning that NEPRA’s intent appears to be discouraging solar installation.
The public hearing was attended by a large number of citizens including power sector stakeholders, business organizations representatives, and journalists. NEPRA members including Engr. Rafiq Ahmed Sheikh and Engr. Maqsood Anwar Khan were also present in the hearing.
