Daily Times

Around 5I Renewable Energy (RE) power projects of 2634 MW capacity have been completed so far and are supplying electricity to national grid to meet growing power needs. The government is actively promoting and facilitating development and deployment of renewable energy projects across the country as RE based power generation projects are being pursued in IPP mode through private sector investors under policies.

In a written reply during question hour session of National Assembly here on Friday, Minister for Energy (Power Division), Khurram Dastagir Khan informed that utilization of solar energy technology at consumer ends across domestic, commercial, industrial sectors is also being encouraged. Several other initiatives are being taken for fast-track development of RE projects. The House was further informed that net-metering based installations are being done under National Electric Power Regulatory Authority (Alternative & Renewable Energy) Distributed Generation and Net Metering Regulations, 2015 announced on September 1, 2015.

These regulations provided the framework for implementing net-metering installations using solar and wind generation of up to I MW capacity.

Alternative Energy Development Board (AEDB) has also been carrying our certification of service provider/installers of solar systems under AEDB (Certification) Regulations for safe, secure and quality-assured supply of solar and wind energy generation projects, products and systems and installation and servicing thereof for small-scale industrial, agricultural, commercial and residential installations.

The AEDB revised its regulations in 2021 with objective to simplify same while ensuring consumer protection. The number of AEDB certified installers has reached up to 23 1. The number of net-metering based solar installations has reached up to 35,029 with a cumulative capacity of 591.65 MW.

It was further informed that in order to facilitate domestic consumers in installation of solar systems, the government has already set in place a Financing Scheme for Renewable Energy through State Bank of Pakistan (SBP) which was launched in June, 2016. Under this financing scheme, concessional loans at rate of six (6) per cent interest are being provided by commercial banks under different categories.

Moreover, the AEDB has actively been facilitating public and private sector stakeholders in removal of difficulties faced by consumers with regards to solar installations.

Owing to the current financial crunch, the imports of solar equipment including solar PV panels and investors were facing impediments as banks are not able to open Letters of Credit (LCs) for import transactions due to a shortage of foreign exchange. This resulted in shortage of solar equipment in market compared to a huge demand of consumers. Furthermore, the consumers also faced delays at times from DISCOs in approval and connectivity of net-metering based systems.

National Electric Power Regulatory Authority (NEPRA) has recently sought to amend its Net-Metering Regulations 2015 through which the price payable by a Distributed Company for net kWh shall be the national average energy purchase price of Distribution Company instead of national average power purchase price.

By virtue of the proposed amendment, each surplus unit supplied by Distributed Generator, which was previously being adjusted against half of peak units consumed by Distributed Generator (i.e. two (02) off-peak units supplied adjusted against one (01) peak unit consumed), will now be adjusted at a ratio of 1:3.7 (i.e. 3.7 off-peak units supplied adjusted against one (01) peak unit consumed), as per prevailing tariffs.

NEPRA also held a public hearing on September 27, 2022 for obtaining feedback/comments on proposed amendment. The decision on the proposed amendment by NEPRA is still to be made.

Furthermore, the House was further informed that the DISCOs have been directed by Power Division to ensure timely approval and interconnection of net-metering based solar installations and timely availability of meters for the same.