ISLAMABAD:

Pakistan’s power regulator is considering new fixed monthly charges for small electricity consumers, including those on the protected tariff category, after recent changes to net metering rules.

The proposal, discussed during a hearing at the National Electric Power Regulatory Authority (NEPRA) on a request filed by the Power Division, would introduce fixed charges ranging from Rs200 to Rs675 depending on monthly consumption.

Read: Govt draws Senate flak over net metering reversal

It also includes a proposal to reduce subsidies and extend fixed charges to protected consumers, who currently receive discounted rates for low usage.

Protected consumers

Non-protected consumers

• Up to 100 units/month: Rs275

• Up to 200 units/month: Rs300

• Up to 300 units/month: Rs350

• 301–400 units/month: Rs400

• 401–500 units/month: Rs500

For higher-use categories, the fixed charge is proposed at Rs675, with adjustments described as follows:

• 600 units/month: fixed charge raised by Rs75 to Rs675

• Up to 700 units/month: fixed charge reduced by Rs125 to Rs675

• Above 700 units/month: fixed charge reduced by Rs325 to Rs675

The proposals are still under consideration, and NEPRA has not announced a final decision.

The Nepra had earlier abolished the net metering system and replaced it with a net billing framework under the Prosumer Regulations 2026.

Under the new rules, utilities will purchase excess electricity from prosumers at the national average energy purchase price while selling electricity to consumers at the applicable consumer tariff, effectively ending one-for-one unit exchange under net metering, Nepra said. The buyback rate for surplus generation has been discussed at about Rs11 per unit, while consumers continue to pay grid tariffs that can exceed Rs40 per unit. The regulator has also reduced the standard contract term from seven years to five.

The regulations apply to solar, wind, and biogas systems and cap the maximum size of a distributed generation facility at 1 megawatt, with system capacity limited to the consumer’s sanctioned load. Nepra has introduced a technical restriction that bars new connections if generation on a transformer reaches 80% of its rated capacity, and facilities of 250kW and above must undergo a mandatory load-flow study, the report said. Existing prosumers will remain under their current agreements until expiry.

Financial and operational obligations also shift under the new framework: prosumers will bear interconnection costs, including meters and grid upgrades, Nepra said, and the regulator has introduced a non-refundable concurrence fee of Rs1,000 per kilowatt. Metering must support two-way measurement, either through a single bi-directional meter or dual meters. Nepra has retained powers to revise purchase rates during the life of agreements and to issue binding directions.