Key Points
- Net metering rooftop solar generation up 173% in 2024, reaching 726 million units
- Grid electricity draw remains largely unchanged despite solar expansion
- CPPA proposes 2026 power purchase price revisions ranging Rs25.95–26.53/unit
- Industrial users warn high energy costs continue to hurt competitiveness
- Government stresses grid stability amid rising distributed solar adoption
ISLAMABAD: Pakistan’s government has said that the rapid adoption of rooftop solar panels through net metering has so far not negatively impacted the national electricity grid, despite concerns from some energy experts.
Rehan Akhtar, CEO of the Central Power Purchasing Agency (CPPA), told the National Electric Power Regulatory Authority (Nepra) that while solar generation is rising, consumer draw from the national grid has remained largely stable.
“Their withdrawal from the grid is almost unchanged,” he said, adding that future trends are harder to predict.
The CPPA, responsible for procuring electricity from various sources for distribution companies, reported that net metering contribution jumped 173% to 726 million units in 2024, compared with 266 million units in 2023.
In contrast, power distribution companies saw only a 1% increase in grid-supplied electricity, while K-Electric increased offtake by 9.4% as it resumed drawing full capacity of 2,050MW.
The hearing also addressed CPPA’s request for revising the power purchase price (PPP) for 2026, presenting scenarios ranging from Rs25.95 per unit under a favorable scenario to Rs26.53 in the event of currency devaluation. Fuel costs are expected to remain generally stable, with minor risks of global price fluctuations.
Industrial representatives, however, voiced concerns that high energy prices are hurting competitiveness, leading to the closure of some factories and continued cross-subsidization of Rs131 billion to other consumers. They noted that tariff reductions announced by the government had largely disappeared.
Analysts say the rise of solar adoption reflects growing energy cost pressures, but the government insists that the national grid remains resilient despite the surge in distributed solar power.
