Net Metering in Pakistan: What to Check Before Solar

Net metering is one of the most searched solar topics in Pakistan, and also one of the most misunderstood, because the rules and the terms for exported electricity have been revised in the past and may be revised again. This guide explains the idea in plain language and lists what to check with the authorities before you decide, instead of quoting terms that may be out of date.

Key takeaways

• Net metering lets a grid-connected solar system export surplus power and import power when the sun is not available, with the two recorded by a bi-directional meter.
• The conditions (system size limits, the value given to exported units and the application process) are set by regulators and distribution companies and can change.
• Always confirm the current rules and the process with your distribution company (DISCO) and the regulator before you finalise a design.
• A system designed to use most of its output on site is less affected by changes in export terms.

What is net metering?

A normal electricity meter measures the units you take from the grid. With net metering, a bi-directional (or two-register) meter records the units you import and the units your solar system exports. At the end of the billing period the two are compared and the bill reflects the result, according to the rules in force at that time.

How a grid-connected solar system works with the grid

During the day your solar system supplies your loads first. If it produces more than you use, the extra power flows into the grid and is counted by the meter. In the evening and at night you draw power from the grid, which is also counted. Because a standard grid-tied system must disconnect when the grid fails, it does not work during a power cut; see on-grid vs hybrid vs off-grid.

What the process usually involves

The details vary, and the distribution company that supplies your area (for example LESCO in Lahore) is the authority to confirm them with. In general the steps look like this:

1. Design and documents. An installer prepares a design, a single-line diagram and equipment datasheets, and you supply the documents the company asks for, such as proof of identity and ownership and a recent electricity bill.
2. Application. An application is submitted to your distribution company with the required documents and fees.
3. Review and inspection. The company reviews the design and may inspect the installation before approval.
4. Agreement and meter. An agreement is signed and a bi-directional meter is installed or the existing meter is changed.
5. Commissioning. After approval the system is connected and energised.

How long each step takes, and what each costs, depends on the company and the period. Your installer should be able to tell you what is currently needed.

What to check before you invest

• The current rules. Ask the distribution company and check the regulator’s published rules for how exports are measured and what value they are given. Terms have changed before.
• System size limits. Limits are generally linked to your sanctioned load. Check yours and what is allowed.
• Equipment requirements. The inverter and protection devices may need to meet specific standards and settings. Ask which approvals the company requires.
• Meter arrangements. Find out who supplies and installs the meter and what it costs.
• Timeline. Plan for the approval process, which can take longer than the installation itself.

Does net metering still make sense for you?

That depends on how much of your solar output you use yourself and how exports are valued. A site that uses most of its production during the day, such as an office, a shop or a factory working in daytime shifts, gets most of its benefit from self-consumption, and changes to export terms matter less. A home that is away in the day and uses power in the evening gets more value from the export and import arrangement, or from batteries that store the daytime surplus for evening use; see solar batteries: lithium vs lead-acid.

When you compare options, calculate the saving on two bases: the units you use directly, and the units you export under the terms currently in force. Our guide to how to calculate the right solar system size and the article on what decides the cost of a solar system help with the numbers.

Questions to ask your installer

• Which approvals and documents are needed for my connection, and who will handle them?
• What size of system is allowed at my sanctioned load?
• What happens to my design if export terms change?
• Is the inverter approved for grid connection with the settings the company requires?
• What are the costs and the expected timeline for the application?

Planning your system with us

We can help you size a system, choose equipment and understand what is needed to connect it. Send your bills and site details through the quotation form, and see our solar solutions for homes, shops and factories.