In a significant policy shift that could impact thousands of solar energy users across Pakistan, the federal government is preparing to replace the existing net metering system with a new gross metering framework. The move is part of a broader effort to reform the renewable energy sector and address financial imbalances within the national power grid.

According to sources in the Power Division, a new solar energy policy is in its final stages, with formal approval pending from the National Electric Power Regulatory Authority (NEPRA) and the federal cabinet. The revised policy proposes a gross metering system that would allow solar energy producers to sell all generated electricity to the national grid at a fixed rate of Rs11.33 per unit.

This marks a sharp departure from the current net metering setup, where solar users offset their own consumption and sell excess power at a significantly higher rate of Rs27 per unit. Notably, existing net metering consumers will remain exempt from the new rules and continue to benefit from the higher rate.

The proposed policy also includes a mechanism that pegs future solar buyback rates to one-third of the prevailing consumer electricity tariff, establishing Rs11.33 per unit as a baseline rate moving forward. Under this plan, the government intends to integrate as much as 8,500 megawatts of solar energy into the national grid.

Officials justify the policy change by citing financial strain caused by net metering. They estimate that the current system has shifted a burden of Rs159 billion onto other consumers, with Rs103 billion of that stemming from the difference in purchase and retail rates.

By moving to gross metering, the government aims to ease these financial pressures while still encouraging solar adoption in a more sustainable and equitable manner. However, the policy has sparked concern among solar advocates, who fear it could dampen investment and reduce incentives for future adopters.

The final decision now rests with the federal cabinet, which will determine whether this controversial change becomes national policy.