Bad News For Solar Users, Net-Metering Tariffs Likely To Be Reduced To 10 Rs/Unit
The government of Pakistan has presented a report to IMF in which government has proposed to reduce the price of net-metering tariffs to 10 Rs per unit. Currently, the government purchases this surplus power at 27 rupees per unit.
The federal government has presented a plan to the IMF mission, currently in Pakistan for an economic review under the $7 billion loan agreement, to buy surplus electricity generated from rooftop solar energy systems at reduced rates.
However, the IMF has raised concerns about how the government plans to handle individuals who have installed solar panels but choose to remain off-grid instead of connecting to the national grid. Reports indicate that the solar net metering system has become a financial burden, costing billions for consumers connected to the grid. While there have been discussions about ending net metering and introducing fixed charges for solar users, the Power Division has denied such plans.
The IMF has expressed serious concerns over the rapid increase in solar energy installations across the country, a trend expected to grow significantly in the coming months and years. This surge could pose challenges for the overall performance of Pakistan’s electricity sector.
