NEPRA Unveils New Regulations for Net Metering Users

Separate meters necessary for the purchase and supply of electricity; users will not sell their excess electricity to other consumers

KARACHI:

The National Electric Power Regulatory Authority has unveiled a new set of rules and regulations aimed at managing the process of purchasing and supplying electricity for net metering users.

The regulations bring significant changes that will affect both new and existing users of distributed generation facilities, such as solar, wind and biogas power systems.

Under the new rules, net metering users – known as “prosumers” – will face separate tariffs for purchasing electricity from the grid and for supplying it to the grid. The power company will purchase electricity from prosumers at the national average energy purchase price, while providing electricity to users based on prevailing tariffs.

In addition to these changes, the regulation introduces several new requirements and definitions. A key change is the introduction of a new term, “Prosumer”, for net metering users.

These users will now be subject to more specific rules regarding the amount of electricity they are allowed to produce, with NEPRA retaining the power to review their production capacity.

The new regulations also require separate meters for the purchase and supply of electricity for net metering users. Additionally, users will not be allowed to sell their excess electricity to other consumers, ensuring that the electricity produced will only be used for their own consumption or sold back to the grid.

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For those already signed up to net metering agreements, these new rules will apply once their current contract expires. Existing users will not be able to transfer or sell their excess electricity to other consumers, representing a major change from previous guidelines.

Additionally, the new rules stipulate that no user can produce more electricity than their carrying capacity, ensuring efficient energy production and consumption.

The implementation of these new rules is part of NEPRA’s ongoing efforts to better manage Pakistan’s growing net metering sector and ensure fair and efficient electricity transactions.

The developments aim to regulate Pakistan’s growing net metering sector, helping to standardize the operations of distributed generation systems and maintain the stability of the national grid.

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