Net Metering to Net Billing: What Changed in 2026 and What It Means for You

NEPRA updated the rules governing how solar owners in Pakistan are credited for the electricity they export to the grid. If you're planning a solar system now, understanding this change matters more than it did a year ago — it directly affects how you should size your system.

What changed

Under the older net metering rules, electricity you exported to the grid was credited back to you unit-for-unit — send one unit, get one unit off your bill. Under the new net billing rules that NEPRA introduced in 2026, exported units are now bought back at a separate, lower rate — while units you import from the grid are still charged at the full retail rate. This means the financial return on a solar system now depends much more heavily on how much of your own generation you actually use yourself, rather than exporting it.

What this means for sizing your system

• Systems sized to closely match your daytime consumption (rather than oversized to export heavily) now give better returns under net billing.
• Adding battery storage lets you shift solar generation to evening use instead of exporting it at the lower buyback rate — this makes hybrid systems more attractive under the new rules than they were before.
• If you're mainly home in the evenings, a hybrid system with battery will usually outperform a larger on-grid-only system financially.

Basic eligibility and requirements

• Three-phase electricity connection (single-phase users must upgrade first)
• No outstanding bill arrears on your account
• System capacity must not exceed your sanctioned load
• Inverters and panels must be on NEPRA's approved equipment list
• Installation must be carried out by an AEDB-registered installer
• A bi-directional (green) meter is installed by your DISCO after approval

The application process, in short

Your installer conducts a site survey and prepares a technical schematic, then submits your application to your local DISCO (LESCO, K-Electric, IESCO, etc.) along with your CNIC and electricity bill. The DISCO reviews technical feasibility, and once approved, forwards the case to NEPRA for a generation license. After the license is issued and any applicable fees are paid, your DISCO installs the bi-directional meter and your next bill reflects both import and export units. The full process typically takes a few weeks to a couple of months depending on your DISCO's current backlog.

Policy details reflect NEPRA's 2026 net billing framework as publicly reported. Rules and buyback rates can be revised — confirm current terms with your DISCO or your installer before finalizing your system design.

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