Move is following the Power Division’s request to review the rules following concerns about the impact on consumers
The National Electric Power Regulatory Authority (Nepra) on Tuesday scrapped charges and restored a license exemption for solar consumers with systems below 25 kilowatts (kW).
According to an announcement issued today, under the revised framework, no fee or license will be required for solar consumers with systems below 25kW.
However, users installing systems above this threshold will be subject to a one-time fee of Rs 1,000. per kW. The announcement stated that the decision would apply retroactively from 9 February this year.
The move comes after the Power Division formally approached Nepra on Sunday, seeking a review of its rules and calling for removal of fees and licensing requirements for small solar consumers. The request followed a directive from Energy Minister Awais Leghari.
Read: Power Division urges Nepra to scrap fee for solar energy users below 25kW
The Power Division noted that it had earlier flagged the negative impact of the new rules and urged the regulator to align them with the previous framework.
Leghari said the government was “pro-solar, pro-consumer and committed to clean energy,” adding that there were efforts to remove unnecessary barriers, reduce costs and provide maximum relief to the public.
As per the 2015 rules, solar installations with a capacity of 25kW or less did not require a Nepra license. Applications in this category were processed directly by distribution companies without fees, providing a significant financial incentive for domestic consumers.
However, the subsequent “Prosumer Regulations” centralized the approval authority with Nepra, even for small installations, and introduced application fees.
The proposed rules drew criticism from consumers and industry stakeholders, with the Private Power and Infrastructure Board also warning against the regulatory change.
