The federal government is expected to change the Solar Net-Metering Policy to adjust the buyback rate for net metering to the average energy cost and to increase the payback period from three to five years.
This proposal was discussed during an online seminar organized by the German development agency GIZ, reported Business Recorder.
Currently, excess energy units from net-metered systems are carried forward for three months before being converted to monetary value and adjusted against peak consumption. Some experts and DISCOs suggested limiting this period to one month to promote self-consumption and reduce the installation of oversized solar PV systems. They also recommended establishing a central cell within DISCOs to oversee net metering activities, including the integration of rooftop solar PV systems and hosting capacity analysis.
The seminar addressed the financial and technical challenges of net metering and explored solutions to create a balanced approach for the government, the solar industry, and consumers.
Pakistan has installed 2,000 MW of net-metered capacity by April 2024, with over 130,000 systems generating 3 TWh of energy annually. However, technical issues such as high consumer voltage, distribution transformer overloads, and increased reverse power flow due to unauthorized rooftop solar installations were highlighted as significant challenges during the seminar.
The seminar proposed reducing the net metering capacity limit to match the sanctioned load, similar to practices in Bangladesh, Saudi Arabia, and India, to prevent transformer overloads. Smart meters and enhanced network monitoring are needed to manage the impact of net metering systems more effectively.
DISCOs were urged to conduct hosting capacity analysis using GIS mapping to provide transparent information about their network’s capability to integrate solar PV.
A suitable tariff mechanism was also suggested, along with fixed charges for all consumers.
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The advertisements within the content on each post comes and goes causing the text to shift. This is VERY bothering when reading as suddenly the text shifts away and you have to scroll to search for where you were. It is a UX disaster. Please fix this or either move the advertisements to the bottom of the page.
Can we stop with this nonsense ?
Why net metering which btw allows people to escape the hell of load shedding to exist as it is.
What do they mean by oversized ? These are made so more electricity is provided to everyone .
Since govt is so incompetent to provide better electricity to everyone .
In Peshawar we experience 8 hours of load shedding despite solar panels. All bcz we don’t have batteries .
Mental psychopaths are sitting in government policy making can’t see people living in peace even after investing so much amount they are worried how to keep people in trouble. Colonial mentality is still in practice in so called government
Fixed charges for giving electricity ? That is generated by ourselves ?
Tariff on what ? What are u going to tax the sun now ?.
Pakistan is going to be bankrupt this way . No saving it . U saw what happened in Bangladesh right ?
Learn from it .
Govt.can’t come to the conclusion that how they get from people without paying them.hahaha
Only solution to defeat this IPPs mafia is to go solar + lithium batteries.
I am writing to express my concern regarding the recent discussions on altering the Solar Net-Metering Policy in Pakistan. While I anticipated such changes might be proposed, I believe this direction is fundamentally flawed for several reasons.
Firstly, reducing the buyback rate for excess energy to the average energy cost will disincentivize solar adoption. Homeowners and businesses have invested significantly in solar systems with the understanding that their surplus energy would yield a fair return. Changing this mid-course undermines their financial planning and erodes trust in government policies.
Secondly, extending the payback period from three to five years further complicates the economic viability of solar investments. The longer payback period reduces the attractiveness of solar projects, slowing down the transition to renewable energy—a critical step in combating climate change and ensuring energy security.
The suggestion to limit the carry-forward period for excess energy units to one month also poses issues. This change will penalize consumers during low consumption periods and discourage the installation of solar systems that can significantly contribute to the national grid during peak periods.
While I understand the technical challenges such as high consumer voltage and transformer overloads, these should be addressed through technological advancements and infrastructure upgrades rather than policies that hinder solar growth. The proposal to reduce the net metering capacity limit is also a step backward and could stifle innovation and adoption.
Pakistan has made remarkable progress with 2,000 MW of net-metered capacity, contributing significantly to our energy mix. We should build on this momentum with supportive policies rather than regressive measures that could slow down our renewable energy transition.
I urge the government to reconsider these proposed changes and instead focus on creating an environment that fosters the growth of solar energy, benefiting all stakeholders in the long run.
Sincerely,
LAAKH .. if you have capacity and generation issues on account of high tariff contracts with IPPs … your fault why do you blame the people for installing solar system… its not your investment
The whole story & suggestions being presented on different forums by govt reps is to protect the IPPs owner’s interest & stop the public going solar.Confused,as this is also clashing with their own interest where Solar importers are their dear ones.
We saw the government panicking when Careem and Uber started providing ride-sharing services to the common people in Pakistan. They were freaked out because the common person was being benefited without any tax being paid to the government. They did not improve the public transport network on their end, instead, they applied a tax on every ride. Similarly, with solar power, the government increased taxes and base tariffs to accumulate more money from consumers. Now, they are scratching their heads over how to tax solar rooftop users.
Good joke, lets sell the surplus power generated through solar to the neighbours
One one side Federal Government is trying to reduce buyback price and increase payback period. On other side Punjab Government is launching delivery of free solar panels. What a remarkable coordination between Federation and province. Burden would be passed on to consumers in shape of excessive bills.
First of all to mitigate with the issues, the Free Units & Direct lines to the DISCO employees & their relatives & those who pay monthly bribe should be discontinue, also strict action should be taken against those Employees & Officials involved in such crime.
– Free unit policy, if any, is given to Govt. Officials should be dissolved.
Or simply They should work on the privatisation of DISCOS.
Much better than Demoting Net-Metering / Solar PV individuals, & Stop Supporting IPPs Mafia.
Baki Govt IMF k talwey Chatti Rahi to ye Sara Mulk hi sell karedengy, Awam Ko Faida dena ino ne. Inko to Awam Ka Solar Panel pr Shift Hona inhy andar se Takleef de Raha hai
Solar consumer has to install heavy capacity panels to avoid the expensive rate charged by the DISCOs. It is wastage of solar investment and loss if any month units exports is less than import in any month. Why don’t they think to provide electricity to the solar consumer at a reduced rate so the people would not go for oversized solar PV systems??
The main issue is that of Capacity
Charges.If the government is sympathetic towards the people, it should
a stop paying capacity charges to the IPP ‘s forthwith.
b. Revise the agreements to the effect that in future all the payments by the GoP to the IPP’s will be made in Pak Rupees instead of US Dollars.
c.Any IPP not adhering to the above terms & conditions should be told to pack up come what may.
The rising cost of IPPs push each Industry and house in Pakistan to get rid of high bills of electricity.
Why not DISCO do seminar on IPPs to reduce the cost and close all those IPPs who had effects the people of Pakistan and not producing energy.
Each government get votes from public not from IPPs.
There is need to try to transform Pakistan into a most cheap electric producing countries that invester should come and establish industry.
Instead of cutting ties with IPPs Government is mistreating green energy. If we raise our voice and highlight this matter to Europe Union they will threaten our cheap government.
God gave us sun to create energy
Govt wants to tax what God created . Sun is not part of earth . It’s a celestial body. Even if earth stopped existing the sun will stay where it is.
Govt should learn their place
Slavery Government is determined not to allow people to get relief even by installing solar energy from their pocket as they don’t want to get rid of IPP’s and intends to feed IPP’S from the pockets of public one way or the other. Government policy is nothing but to tax the public at large to ensure their luxurious spendings
As always, our governments will never think beforehand. They’ll always work on solving problems instead of planning ahead and mitigating risk.
But that’s only because they have limited knowledge and vision, always looking for making quick bucks putting the burden on people who are finding ways on their own to survive the shit storm these goons have created.
Infact this will always be the case as long as we have only parades and salutes rather than science and books making decisions for us.
Actual issue of licence of IPPs or renue. Those plants are 30 years old. They get price of unit+price of land in first 3 years.
Why govt grant capacity charges to them.