ISLAMABAD: The federal government has decided to end the current net metering system in Pakistan and to impose fixed monthly charges, sources said on Wednesday.
Prime Minister Shehbaz Sharif has directed to submit a summary outlining both proposals on high priority, instructing the preparation of dual rates for the purchase and sale of solar-powered electricity.
The government will impose monthly fixed charges on consumers installing solar systems.
Sources further suggested that the federal govt plans on amending the Net Metering Regulation and introducing a separate tariff category.
According to the sources, besides that, the government announced setting up a 600 MW solar power plant in collaboration with investors from Saudi Arabia.
The solar power plant will be set up on an intergovernmental basis without the bidding of Saudi Arabia, it added.
If approved, the new position on solar net metering is expected to take full effect in the upcoming fiscal year.
Power Division opposes reports
However, the Ministry of Energy, Power Division in an official statement, denied reports circulating about the government’s plan to end Net Metering Policy.
“There is no truth in the news regarding the end of the net metering policy and imposition of monthly fixed charges,” Power Division said
Furthermore, the statement said that no instructions were received from the Prime Minister regarding the Net Metering Policy.