• By Best Solar Company PK
  • 06 Aug, 2026
  • Net Metering
  • 8 min read

If you installed rooftop solar in the last few years, your **net metering contract expiry** is the single most important date on your energy calendar. Under Pakistan's new rules, existing net metering users are protected—but only until their 5–7 year agreement runs out. After that, your DISCO (LESCO, K-Electric, IESCO, MEPCO and others) will move you to **net billing**, and the value of every unit you export to the grid drops sharply.

This guide explains the 2026 policy shift, gives you a clear timeline for when your protection ends, and shows concrete, practical ways to protect your solar savings before your contract converts.

What changed: net metering vs net billing in 2026

In February 2026, NEPRA notified the **NEPRA (Prosumer) Regulations, 2026**, which stopped offering classic net metering to *new* rooftop solar applicants and moved them to a **net billing** model instead.

The difference is fundamental:

  • **Net metering** nets your exports against your imports unit-for-unit. One unit you push to the grid at noon cancels one unit you pull back at night—effectively worth the full retail tariff (often Rs 45–65 per unit in higher slabs).
  • **Net billing** decouples the two. You are billed for *every* imported unit at the full government tariff, while your exported units are bought back at a low, fixed rate—reported around **Rs 8–13 per unit** depending on the DISCO and the National Average Energy Purchase Price.

That gap is the whole story. Exported solar that was worth Rs 50+ under net metering becomes worth roughly Rs 10 under net billing.

The rules didn't cancel your savings overnight—they put a countdown timer on them.

Are existing net metering users safe—for now?

Yes. Following an intervention by Prime Minister Shehbaz Sharif, NEPRA confirmed that consumers with **valid net metering agreements as of 9 February 2026** keep their original terms until their contracts expire. An attempt to retroactively cut export rates for existing contract holders was blocked.

So there is no immediate reduction. Your grandfathered rate and unit-for-unit offset stay intact for the remaining life of your agreement. The catch is what happens on expiry—and one trap that can end your protection early.

Your net metering contract expiry timeline

Older net metering agreements were signed for a **7-year term**. New net billing agreements now run for **5 years**, renewable by mutual consent. Your protection ends on the anniversary written on your signed DISCO agreement, not on a national deadline.

Here is a simple way to see where you stand:

| When you signed (7-yr term) | Protected until | What happens next | | --- | --- | --- | | 2019 | 2026 | Convert to net billing at expiry | | 2021 | 2028 | Convert to net billing at expiry | | 2023 | 2030 | Convert to net billing at expiry | | 2025 | 2032 | Convert to net billing at expiry | | New applicant (2026, 5-yr) | 2031 | Already on net billing |

At expiry, the DISCO does **not** buy out your system or compensate you for the lost benefit. You simply move onto the prevailing net billing terms, or you renegotiate a fresh agreement under whatever rules exist then.

**The early-conversion trap:** any *material modification*—most commonly adding panels or increasing your sanctioned capacity—can trigger an immediate switch to net billing, forfeiting your protected rate before your term is even up. Think very carefully before expanding a grandfathered system.

How much will your savings actually drop?

Consider a Lahore household exporting 300 surplus units a month.

  • **Under net metering:** those 300 units offset 300 imported units worth roughly Rs 50 each = about **Rs 15,000** of avoided billing.
  • **Under net billing (≈Rs 10/unit):** the same 300 exported units earn about **Rs 3,000**, while every imported unit is billed at full tariff.

That's a swing of around **Rs 12,000 a month**, or well over **Rs 100,000 a year**, for a mid-sized home. For a commercial user with a larger array, the annual difference easily runs into several hundred thousand rupees.

The lesson is blunt: after conversion, exporting to the grid is no longer where your money is made. **Self-consumption is.**

How to protect your solar savings before your contract expires

You can't stop the rules from changing, but you can front-load your returns and re-engineer how you use solar. Here's a practical playbook:

  • **Recover your payback while you're still protected.** Most residential systems pay for themselves in 3–5 years. If your contract runs to 2028–2030, you likely recover the full investment *before* net billing ever touches you.
  • **Shift heavy loads to daylight.** Run air conditioners, water pumps, washing machines and EV charging between roughly 9 a.m. and 4 p.m. Every unit you self-consume is worth the full retail tariff—not the Rs 10 buyback.
  • **Add battery storage before expiry.** Under net billing, a battery that stores cheap midday solar for the 6–10 p.m. peak is worth far more than exporting. Banking 8–10 units a day for evening use can be worth Rs 400+ daily versus a few dozen rupees of export credit.
  • **Do not add panels to a grandfathered system.** A material modification can convert you to net billing early. If you need more capacity, get written confirmation from your DISCO first.
  • **Diarise your exact expiry date.** Pull out your signed agreement, note the meter energisation date and the term, and set a reminder 6–9 months ahead so you can plan the transition, not scramble through it.
  • **Right-size at renewal.** When your term ends, a system tuned to your daytime load (plus storage) beats an oversized array that dumps cheap units to the grid.

**Original insight from the field:** the economics literally invert at expiry. During net metering, oversizing to maximise export was smart. Under net billing, the winning move is a *hybrid inverter and battery* that pushes self-consumption toward 70–80% of your generation. Homeowners who add storage a year before conversion barely feel the switch; those who wait see their bills jump the very next cycle.

For deeper background, see our explainers on how net metering works in Pakistan, the full NEPRA net metering rules for 2026, and our solar battery storage buyer's guide. You can also verify the regulations directly with NEPRA and read independent coverage of the shift at pv magazine.

Frequently Asked Questions

**When exactly does my net metering contract expire?** Your term is fixed in the agreement you signed with your DISCO—historically 7 years from the date your bidirectional meter was energised. Newer net billing agreements run 5 years. Check the signed copy; there is no single nationwide expiry date.

**Will my export rate be cut before my contract ends?** No. NEPRA and the Prime Minister confirmed that valid agreements held on 9 February 2026 keep their original terms until expiry. The only common way to lose protection early is a material modification, such as adding panels or increasing sanctioned capacity.

**What is the net billing buyback rate in Pakistan?** Reported figures cluster around Rs 8–13 per unit, tied to the National Average Energy Purchase Price and set by NEPRA/DISCOs. Meanwhile, every unit you import is billed at the full retail tariff, so the 1:1 offset you enjoyed under net metering is gone.

**Is solar still worth it after conversion to net billing?** Yes—but the value shifts from exporting to self-consuming. With load-shifting and a battery, a well-designed system still slashes bills. The reader who plans the transition early keeps most of their savings intact.

The bottom line

Your **net metering contract expiry** is a deadline, not a disaster. You have years of protected, high-value savings still to bank—so recover your payback, maximise daytime self-consumption, and add storage before your DISCO moves you to net billing. Plan the switch now and solar stays a smart investment in 2026 and beyond.

Want a free expiry-date review and a battery-readiness plan for your home or business? Talk to our solar experts at Best Solar Company PK and protect your savings before the countdown ends.

Best Solar Company PK designs and installs reliable solar systems in Rawalpindi, Islamabad, Lahore, Multan, Taunsa Sharif and Karachi. Contact us for a free survey and the best advice for your home or business.