ISLAMABAD – Solar systems have been mushrooming across Pakistan, transforming houses, and promising cheaper, cleaner energy. But this rapid growth created a strain on the grid. With several hurdles, National Electric Power Regulatory Authority (Nepra) proposed a major shift, replacing the familiar net metering system with gross metering.
In recent times, Pakistanis heard a lot about Gross metering in which all electricity produced by a rooftop solar installation is sold directly to grid ata fixed feed-in tariff. Unlike net metering, where consumers offset their own electricity usage with solar power, gross metering separates generation and consumption completely.
Gross Metering
Under gross metering, all solar power goes to the grid and every unit generated is measured and exported. There is fixed buyback rate as utility pays predetermined price per unit.
Electricity from the grid is billed at the standard retail tariff, independent of how much solar energy is produced.
Difference Between Gross and Net Metering
Net Metering: Solar users consume part of their own electricity and export any excess. The grid “credits” them for surplus electricity, often at a high rate.
Gross Metering: All electricity is exported to the grid, and household consumption is billed separately. Users lose the benefit of self-consumption but the system is more sustainable for the overall grid.
For new rooftop solar users, this could mean lower buyback rates for surplus electricity, while conventional grid consumers finally get some relief from rising costs.
The move comes as authorities warn that the current system is creating massive burden on non-solar grid users, who subsidize rooftop solar consumers. According to draft Nepra Prosumer Regulations (NPR), newly installed rooftop solar systems will be paid Rs11.30 per unit for electricity exported to the grid under gross metering, compared to Rs22 per unit currently offered under net metering. Existing net metering users with valid contracts, however, will continue at the older rate until their agreements expire.
The proposed five-year contracts under gross metering would be renewable by mutual agreement. Nepra invited feedback from stakeholders and consumers within 30 days and may hold a public hearing before finalizing the rules.
Officials warn that unchecked rooftop solar expansion already drained grid of 3.2 billion units in FY2024 alone, causing nearly Rs101 billion in revenue losses for distribution companies and pushing tariffs up by Rs0.9 per kWh for other consumers. By FY2034, losses could escalate to 18.8 billion units, translating into a Rs545 billion financial impact and a potential Rs5–6 per unit tariff increase.
Record Solar Import and Concerns
Authorities flagged operational concerns. With winter demand cut, excessive daytime solar generation threaten grid stability. Misuse has also been reported, with consumers exporting more power than their sanctioned load. To combat this, Discos are installing smart meters for real-time monitoring and export control.
Solar energy consumption in Pakistan overtaken the national grid, showing dramatic shift in country’s energy landscape. According to PRIED report, during the summer, 33 GW of electricity came from solar, outpacing 28–30 GW from the grid.
Punjab led the surge, followed by Sindh, KP, and Balochistan, with more than two third of users now relying on solar power. Experts warn, however, that this solar boom is driven more by high electricity prices than environmental consciousness. Structural problems such as inefficient operations, expensive fuel contracts, and rising circular debt continue to plague the grid.
