NEPRA amends solar rules to protect existing users

ISLAMABAD:

In a major policy clarification for solar consumers, the National Electric Power Regulatory Authority (NEPRA) on Thursday amended its Solar Regulations 2026, ensuring protection for existing net meter users while tightening rules for those looking to expand their systems.

The notice states that “nothing shall affect any approvals issued, licenses issued or concurrent agreements and agreements executed under the repealed rules,” which effectively safeguard previously approved solar installations and their contractual terms.

NEPRA made it clear that any distributed generator operating under a valid agreement “shall be billed in accordance with the rate and mechanism specified in the repealed rules until the expiry of the term of such agreement”, ensuring continuity for existing consumers amid broader policy shifts.

However, the regulator took a hard line on system changes, warning that the financial benefits associated with previous arrangements will not apply if there is a “substantial change to distributed generation facilities that results in a change in peak electrical output.”

The announcement further clarified that the amended provision “shall be deemed to have entered into force on 9 February 2026”, giving the amendments retroactive legal coverage from that date.

The latest change comes in the wake of NEPRA’s earlier decision to scrap the unit-by-unit net metering system and move to a net billing system for both new and existing solar users, a move that had sparked concern among consumers and industry stakeholders.

By maintaining existing agreements while limiting future changes, the regulator appears to be balancing investor confidence with shifting energy policy priorities as Pakistan navigates rising electricity costs and a growing shift towards distributed renewable generation.

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