Net Metering to Net Billing: What Actually Changed for Solar Owners
This is genuinely the single most important thing to understand before installing solar in Pakistan right now, the entire economics of a rooftop system changed in early 2026, and the old "install as much as possible and export the rest" logic that made sense for years no longer applies to new installations.
NEPRA's Prosumer Regulations 2026, effective for applications submitted after February 9, 2026, replaced net metering (where exported and imported units were valued equally) with net billing, exported solar electricity is now bought back at a considerably lower rate, roughly Rs 8 to 11 per unit depending on final notification, while imported electricity is still charged at the full retail rate, commonly Rs 55 to 65 per unit or higher, existing agreements signed before that date are generally grandfathered under the old terms until their contract expires.
How net metering used to work
Under the old system, your meter effectively ran backward when your solar system produced more than you were using, every unit you exported was credited at the same rate as a unit you imported, at the end of your billing cycle, you only paid for your net usage, this meant a larger system that exported significant surplus during the day was still a genuinely good investment, since that surplus offset your usage at full value.
What net billing changes about this calculation
Under net billing, exported and imported units are no longer valued equally, you still pay the full retail tariff for every unit you import from the grid, but the electricity you export is now bought back at a separately set, considerably lower rate, this fundamentally shifts the economics, a unit of solar electricity you consume yourself is now worth far more to you than a unit you export and buy back later at night.
The actual buyback rate and why it's worth confirming directly
Reported figures for the new buyback rate have varied across sources during the transition, commonly cited in the range of Rs 8 to 11 per unit, compared to the previous roughly Rs 26 per unit under net metering, since this was still subject to a public consultation process and final notification as the policy rolled out, confirm the current, officially notified rate directly with your DISCO or NEPRA's official announcements rather than relying on a figure from an article that may predate the final rate.
Whether your existing system is protected
If you signed a net metering agreement before the February 9, 2026 cutoff, your existing contract terms are generally intended to continue at the old rate until your agreement's expiry, this grandfathering was specifically confirmed following public pushback on the initial policy change, if you're unsure whether your specific agreement date and terms qualify, confirm directly with your DISCO rather than assuming protection automatically applies.
What this means if you're planning to install solar now
The practical shift is from "produce as much as possible and export the surplus" to "size your system to maximize your own consumption of what you produce," this changes both how large a system makes financial sense and how much battery storage becomes worth the additional cost, covered in more detail in our dedicated system sizing and battery storage guides, don't plan a new system using the old economics, since the numbers genuinely don't work the same way anymore.
Talking to your installer specifically about how they're accounting for this shift
A genuinely knowledgeable, current installer should be able to explain clearly how their proposed system design and sizing recommendation specifically account for net billing economics rather than simply presenting a generic proposal, if an installer can't clearly articulate this distinction, treat that as a signal to seek a second opinion before committing. Our guide on Solar System Sizing for Your Home covers a closely related question, worth checking if it applies to your situation. The same general approach extends to Solar Battery Storage Guide, covered in its own dedicated guide.
Frequently asked questions
This distinction matters considerably, having a signed, dated agreement before the cutoff is the key protection, not simply having panels installed, confirm your specific agreement status directly with your DISCO.
Many in the industry maintain that solar remains worthwhile given persistently high and rising grid tariffs and frequent load shedding, but the design approach needs to shift toward maximizing self-consumption and battery storage rather than assuming a large exporting system pays for itself as quickly as before.
Yes, this was already adjusted once following public and political pushback shortly after initial notification, treat any specific rate as subject to further revision and confirm current terms close to when you're actually making a decision.
Rushing a major financial decision purely to beat a possible future change carries its own risk, make sure any system you install is genuinely well-sized for your needs under current rules rather than installing hastily based on fear of further change.