'No poor applicant in net metering system'

ISLAMABAD: Federal Minister for Energy Awais Leghari told the National Assembly on Wednesday that applications for net metering were continuing at the same pace after changes were made to the policy, adding that "there is no poor person in net metering, and no injustice has been done to anyone."

He was responding to a calling attention notice moved by Syed Naveed Qamar and other lawmakers regarding revisions in the net metering policy for solar consumers and the proposed 18% tax on solar panels.

Leghari said the revised framework had first been cleared by the Economic Coordination Committee and was later approved by the federal cabinet after consultations with all stakeholders.

He told the house that Pakistan sourced 74% of its electricity from local resources last year and was aiming to raise that share to 96% over the next four years. He added that the government was promoting renewable energy and shifting imported coal-based power plants to Thar coal in an effort to bring down electricity costs.

The minister said net metering rules were initially introduced during the PML-N government in 2017-18 and that the rates had been adjusted from time to time. He said falling international prices of solar infrastructure had turned net metering into a profitable and environmentally beneficial business in Pakistan.

According to Leghari, the country is currently producing between 23,000 and 24,000 megawatts of solar electricity. Of that total, he said, 14,000 to 16,000 megawatts are off-grid.

He also said tax incentives and concessions had supported the expansion of solar energy in the country, and maintained that no foreign country had helped Pakistan in making this transition.

New rate for future prosumers

Leghari said consumers already using net metering would not be affected by the revised policy. However, electricity purchased from new prosumers would now be bought at Rs9.80 per unit, which he said was equal to the cost of other renewable energy sources.

He further said that a person investing Rs100,000 in solar energy would be able to recover that amount within three years under the new prosumer regulations.

The minister’s statement came amid parliamentary discussion over the impact of the revised net metering policy and the proposed tax on solar panels, with the government defending the changes as part of its broader energy strategy.