Government Plans to Reduce Net Metering Rates for Solar Users
Web Desk
03 November, 2025 10:42
Government Plans to Reduce Net Metering Rates for Solar Users
The federal government of Pakistan is considering reducing net metering rates for solar panel users due to lower electricity demand in winter and excess power generation during daylight hours.
According to reports, officials are reviewing a proposal to cut the net metering rate from Rs22 per unit to Rs11.30 per unit. Prime Minister Shehbaz Sharif has instructed authorities to reassess the current pricing structure.
Government sources said the rapid growth of rooftop solar systems has caused a decline of 3.2 billion units in power sold through the national grid, leading to an estimated Rs101 billion loss for distribution companies. To recover this, the electricity tariff was increased by 0.9 rupees per kWh.
The Power Division warned that if this trend continues, the shortfall could reach 18.8 billion units by 2034, potentially impacting electricity prices by Rs545 billion. Consumers may face an increase of Rs5 to Rs6 per unit as a result.
Officials say the final decision will be made after detailed consultations with all stakeholders.
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