The Power Division is preparing a new proposal to extend the solar net metering payback period from 1.5 years to 2–3 years, aiming to balance the energy market and reduce unjustified profits from rooftop solar setups. The plan, set to be presented to the federal cabinet within two weeks, comes amid rising surplus electricity on the grid.
Federal Power Minister Awais Leghari clarified that while the move won’t directly reduce electricity tariffs in Pakistan, it will help control future price hikes. He assured that net metering users won’t face penalties, but highlighted that current returns are unsustainable and could burden the system over time.
The minister also confirmed that a summary regarding wheeling charges has been sent to the cabinet, marking a key step in reshaping the energy pricing framework.
In a strategic shift, the government is negotiating with the IMF to sell 5,000–6,000MW of surplus power at marginal cost to high-energy industries like data centers and crypto mining. This move could bring new revenue streams while reducing excess capacity strain.
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Meanwhile, the federal government has officially informed provinces that power distribution companies (Discos) will no longer collect electricity duty on behalf of provinces. Only one province has replied so far, with the matter heading to the cabinet once all responses are received.
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On the operational side, Leghari reported progress in reducing inefficiencies. Losses from billing and technical issues at Discos dropped significantly—from Rs. 591 billion in FY24 to Rs. 399 billion in FY25—marking a step toward better grid management.
