Govt reduces solar net-metering buyback rate to Rs10 per unit

The government has reduced the buyback rate for solar net-metering electricity from Rs27 per unit to Rs10 per unit, citing the financial impact of a rising number of solar consumers on the national grid.

The Economic Coordination Committee (ECC), chaired by Finance Minister Senator Muhammad Aurangzeb, approved amendments to net-metering regulations, the Finance Division announced on Thursday.

The move aims to ease the financial burden on grid consumers as solar net-metering users surged to 283,000 by December 2024 from 226,440 in October 2024.

Installed capacity also grew from 321 MW in 2021 to 4,124 MW by the end of 2024.

The revised framework, however, will not apply to existing net-metering consumers with valid agreements under NEPRA regulations.

These agreements will remain effective until expiration.

Additionally, the ECC approved a new settlement mechanism, treating imported and exported electricity separately.

Exported units will be bought at Rs10 per unit, while imported units will be billed at peak/off-peak rates, including taxes and surcharges.

NEPRA has been authorized to periodically revise the buyback rate to align with market conditions.