Net Metering Emerges As Pakistan’s Lowest-Cost Energy As Solar Leads

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Net Metering Emerges As Pakistan’s Lowest-Cost Energy As Solar Leads

Pakistan’s power companies have sharply increased their purchase of electricity generated through Net Metering, reflecting strong growth in consumer-based solar production. Official documents reviewed by ProPakistani show that distribution companies procured a total of 573.7 million units from Net Metering consumers during the last four months. This increase comes at a time when proposals to revise the Net Metering tariff are still under discussion.

The rising supply of low-cost solar energy has had a direct impact on monthly Fuel Charge Adjustments (FCA). Because the fuel cost of Net Metering electricity is effectively zero, NEPRA has included this cost advantage in its latest FCA calculations. Officials confirmed that the growing share of Net Metering units has helped reduce overall fuel expenses for the power sector and provided financial relief to consumers across different categories.

Month-wise data shows consistent growth. In July, DISCOs purchased 115.095 million units, followed by 111.4 million units in August. The number increased to 142.6 million units in September, while October recorded the highest monthly procurement during the reviewed period. This trend indicates steady expansion in consumer solar generation and its rising role in the national energy mix.

Among individual companies, MEPCO made the highest purchases at 157.764 million units. IESCO followed with 139.7 million units, and LESCO came next with 134.255 million units. GEPCO procured 57.6 million units, while FESCO secured 46.5 million units from Net Metering users.

Other companies also recorded notable activity. PESCO bought 26 million units, HESCO purchased 37 million units, and an additional 39 million units entered through HESCO’s Net Metering network. SEPCO acquired 16.5 million units, QESCO recorded 17.4 million units, and TESCO purchased 590,000 units during the same period.

In other related news also read Government Plans to Replace Net Metering with Gross Metering for Solar Users

The data shows that Net Metering is becoming a key contributor to Pakistan’s electricity supply. Its zero-fuel-cost advantage continues to support lower FCAs and ease financial pressure on power companies and consumers alike. This growing trend also highlights the increasing shift toward distributed solar energy across the country.

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