Govt commits to continuing solar net-metering policy

Govt commits to continuing solar net-metering policy

LAHORE: Federal Minister for Energy Awais Ahmad Khan Leghari assured on Sunday that the government has no intention of ending the solar net-metering policy. The statement came in response to media reports suggesting a shift to a new gross-metering mechanism.

During a press conference at the Lahore Electric Supply Company (LESCO) headquarters, Minister Leghari stressed that the net-metering policy, introduced by PML-N supremo Nawaz Sharif in 2017, remains a priority. Net metering allows consumers to sell excess electricity produced by their solar systems to power distribution companies, significantly reducing their monthly electricity bills.

Contrary to net metering, gross metering would feed electricity generated by consumers’ rooftop solar systems into the national grid, which they would then buy back from the distribution company, potentially reducing financial benefits.

Minister Leghari dismissed the media reports about abandoning net metering and reiterated the government’s commitment to promoting solar power. “The PML-N introduced this scheme in 2017, and we will continue encouraging net metering as it is a policy close to the heart of PM Shehbaz Sharif,” he stated. He added that the party is “proud” of the scheme, which has benefitted a large number of people.

Read More: Pakistan to end rooftop net metering for solar panels

Assuring consumers who already have net-metering contracts, Mr Leghari said they “would not be affected at all.” Future policy changes would involve consultations with all stakeholders, he added.

Highlighting the scheme’s success, the minister noted that the number of consumers applying for net-metering licenses has increased significantly since 2017, with a 125 per cent rise in 2023-24 alone. He stated that 0.3 per cent of total electricity consumers now have rooftop solar net-metering connections, totaling 113,000 connections.

Addressing broader issues in the power sector, Minister Leghari mentioned an 8 per cent reduction in electricity demand due to a decline in industrial growth. He also directed the LESCO CEO to address system constraints to prevent overloading during hot weather.

Without directly naming the Khyber Pakhtunkhwa government, the minister criticised one province for politicising the issue of power theft. He expressed hope that the KP Chief Minister would present a viable plan within the next 15 days to tackle power theft.

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