Solar net metering to offer free power consumption

Net metering is a billing mechanism that allows consumers to set up a renewable energy facility to produce solar electricity and supply the excess units to the national grid. As per the mechanism, the consumers will pay either reduced electricity bills or get paid for the exported electricity to the national grid. 

In Pakistan, as per the electricity policy, consumers are permitted to generate electricity by solar energy for their consumption and also supply excess power units to the grid stations. This additional electricity is consumed during high-consumption hours or when the RE facility doesn’t produce enough electricity to satisfy consumer needs.                                                                                                                                   

In 2015, NEPRA issued its first net metering regulations that allow the Power Distribution Companies (DISCOs) to purchase the excess units of electricity produced by the consumers and net them off against the units consumed from the grid. According to the regulations, any consumer can install photovoltaic solar panels in their homes and avail of the net metering facility. 

Renewable energy is a long-term power solution. Solar Photovoltaic (PV) technology provides access to affordable electricity supply during the system’s life. Consumers (residential and commercial) can transfer their electricity load to renewable energy (RE) and reduce their power bills.

This technology offers ample consumer benefits, including reduced power bills, assistance to small businesses and increased employment opportunities. It also helps the government eliminate huge overheads, the recurring cost of hydropower dams, and the persistent problem of circular debt attached to IPPs.

The energy generated through solar panels is clean and acceptable to society and the global community as it does not create global warming. Hence, installing solar photovoltaic technology will help Pakistan to fulfil Sustainable Development Goal (SDG-7). It will also fulfil Pakistan’s obligation under the Paris Agreement and United Nations Framework Convention on Climate Change (UNFCCC) and Pakistan’s response to Agenda 2030 to increase renewable energy in its energy mix.