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Majority of rooftop solar users to retain net metering benefits until 2031

Published on: February 11, 2026 12:15 PM

ISLAMABAD – Around 80-85% of Pakistan’s existing rooftop solar prosumers will continue to benefit from the current net metering regime until 2030-31, officials told The News on Wednesday. These prosumers, mostly approved in FY2024-25, will be able to sell surplus electricity to the national grid at Rs25.32 per unit under a seven-year contract.

Read More: Net metering policy threatens solar energy growth

However, new rooftop solar users under the revised policy will be placed on a net billing mechanism. Under this system, they can sell electricity to the grid at Rs10–11 per unit on a five-year contract while purchasing electricity at slab-based rates ranging from Rs34 to Rs60 per unit, depending on consumption.

Globally, utilities compensate consumers at lower rates for exported solar electricity. 🇵🇰 has now adopted this necessary policy.

98% of the public without solar net metering will experience no negative impact.

Current outcry is largely for the 1-2% of net-metered solar users. pic.twitter.com/Asl1wthf1M

— Muhammad Umar Aziz (@umar_aziz_khan) February 11, 2026

Officials explained that the updated structure will extend the investment recovery period for new prosumers to three to five years, compared to the previous 18 months. At the same time, it will reduce financial pressure on grid-dependent consumers and ensure the grid is compensated for providing storage and system support.

Rapid adoption of rooftop solar caused a 3.2 billion unit decline in grid electricity sales in FY2024, resulting in an estimated Rs101 billion revenue loss for power distribution companies. Projections indicate that by FY2034, lost grid sales could rise to 18.8 billion units, translating into Rs545 billion in potential financial impact and a Rs5–6 per unit increase in electricity tariffs.

Read More: Pakistan’s Solar Energy Surge Forces Call for New Power Tariffs

On-grid rooftop solar capacity has increased from just 5MW in 2017 to 6,975MW in 2026 and is expected to reach 14,319MW by 2034. Off-grid solar capacity has already crossed 13,000MW and could rise to 18,944MW by 2034.

Officials emphasized that unchecked net metering would have resulted in a cumulative financial impact of Rs4,360 billion during 2025–34. The revised mechanism is projected to reduce this burden to Rs2,134 billion, striking a balance between renewable energy growth and grid sustainability.

Filed Under: Business, Pakistan Tagged With: electricity tariffs, Latest, net metering, Pakistan, Power sector, renewable energy, rooftop solar

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