NEPRA Overhauls Net Metering: 2026 Regulations Introduced Nationwide

ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) on Monday introduced a nationwide net billing system under new regulations, ARY News reported.

NEPRA has officially issued the Net Metering Regulations 2026 notification.

These updated rules will now extend to biogas consumers as well. Under this system, bills will be issued at the end of each billing cycle.

According to the new regulations, electricity will be purchased from net metering consumers at the national average energy price.

Consumers who provide additional electricity to the national grid will be paid on a quarterly basis.

The agreement duration for net metering has been set at five years.

Upon expiration, the agreement can be renewed for another five-year term. With the introduction of these new rules, the Net Metering Regulations of 2015 have been suspended.

Earlier in January, Federal Minister for Power Sardar Awais Ahmad Khan Leghari has taken notice of net metering consumers not receiving credit for their units. Following the Minister’s intervention, the Power Planning and Monitoring Company (PPMC) conducted a prompt review and resolved the matter.

In a Facebook post, the Ministry clarified that the PPMC issued an immediate review upon the Minister’s orders.

The Ministry noted that some net metering consumers had installed systems exceeding their approved capacity.

Consequently, some of these consumers did not receive credit for electricity sold to the grid last month.

The Power Division has now clarified that the previous procedure was incorrect. Under the newly reviewed instructions, only units generated beyond the approved capacity will remain uncredited.

All units sent to the grid within the approved limit will now be credited, and formal instructions have been issued to all Power Distribution Companies (DISCOs).

The Ministry further assured consumers that any credits missed last month will be applied to next month’s billing.

The Minister reiterated that electricity consumers will not be deprived of their legal rights.

Earlier, Pakistan’s Energy Minister Awais Leghari said that efforts being made to resolve the issue of circular debt.

Addressing in an event of the Pakistan Business Council in Islamabad, power minister said that the government has introduced number of reforms to improve the efficiency of power sector.

The Minister said those much-needed reforms include introduction of competitive energy market, de-politicization of power sector, and effective circular debt management.

The Minister highlighted that the alternate energy sources are increasing and the government is actively working on clean and renewable energy projects that includes hydel and solar energy sources.

He said 19,000-megawatt solar energy is being generated in country.

He said the government had also taken difficult decisions. “Past contracts with Independent Power Producers (IPPs) were lacking transparency and required re-negotiations on terms and conditions.

He said, now the government would not directly purchase electricity. He mentioned that the reforms process ongoing and outcome of these reforms would have positive impact.