Net metering allowed solar users in Pakistan to send surplus electricity to the grid and offset it against the electricity they used from the grid. It was introduced through NEPRA's Distributed Generation and Net Metering Regulations of 2015 and became extremely popular as solar panel prices fell. In February 2026, NEPRA notified the Prosumer Regulations 2026, which replace net metering with net billing for new and renewed connections. Existing net metering agreements continue until their term ends.
This guide explains how net metering works, what existing users should check, and what changed.
How net metering works
A solar system produces electricity during the day. Your home uses some of it directly. If production is more than your use, the extra goes to the grid. A bidirectional (green) meter records two numbers:
- Import units: electricity you took from the grid (mainly at night or on cloudy days).
- Export units: electricity you sent to the grid.
Under net metering, exported units were set against imported units. If you imported 500 units and exported 400 units, you were essentially billed for the difference, subject to the rules of your agreement. Surplus credit was settled periodically at a rate set by the regulations.
Who could apply
Net metering was available to residential, commercial and industrial consumers with a three-phase connection, generally for systems from 1 kW up to 1 MW, and limited by sanctioned load. Applications were submitted to the DISCO, which checked technical feasibility, installed the bidirectional meter and signed an agreement. NEPRA also issued a generation licence.
What existing net metering users should check
- Agreement end date: your existing terms continue until the agreement expires. Renewal will be under the new framework.
- Import and export readings on each bill — confirm they match your meter.
- Taxes: GST and other taxes apply to imported electricity according to current rules.
- Fixed charges that may apply under your tariff category.
What changed in 2026
According to news reports on the notification in February 2026, the new prosumer regulations:
- Replace one-to-one offsetting with net billing: exports are bought at a rate linked to the national average energy purchase price (reported at around Rs 11 per unit), while imports are charged at the normal consumer tariff.
- Apply to new connections and renewals; existing contracts continue until expiry.
- Set new agreements at five years, renewable.
- Cap generation at the consumer's sanctioned load and up to 1 MW.
- Stop new connections on a transformer when solar generation reaches 80% of its capacity.
Policies in this area have changed quickly and may be revised again, so always confirm the current rules with NEPRA and your DISCO.
Is solar still worth it?
Yes, for many homes, but the economics have shifted. Under net billing, the most valuable unit of solar is the one you use yourself during the day. Tips:
- Run ACs, water pumps, washing machines and irons during sunny hours.
- Size the system to your daytime consumption rather than to maximise export.
- Consider batteries if night-time consumption is high.
How solar appears on your bill
On a net-metered bill you will see import and export readings, net units, cost of electricity on billed units, adjustments and taxes. Read our Net Billing guide and our comparison article to understand the differences in detail.