Net Metering Reprieve: Pending Applicants Keep Old Terms in Pakistan (2026)

• By Best Solar Company PK
• 27 Oct, 2026
• Solar Policy
• 6 min read

If you filed a net metering application earlier this year and have been anxiously watching the rules change around you, there is finally some good news. On 22 October 2026, Prime Minister Shehbaz Sharif's intervention produced a partial rollback that protects **net metering pending applications** submitted before the cut-off — letting them keep the older, far more generous retail-rate terms instead of being pushed onto the new net-billing regime.

This is one of the most consequential solar policy decisions of the year for Pakistani homeowners and businesses. Below we break down exactly who qualifies, the hard numbers involved, and why you should confirm your paperwork before the window closes.

What PM Shehbaz Actually Decided on 22 October

The decision had two moving parts, and it helps to separate them.

First, the Prime Minister directed the **Power Division and NEPRA** to re-verify the proposed buyback tariff and assess its system-wide impact before anything is finalised. In short, the headline rate cut is now under formal review rather than locked in.

Second — and this is the relief that matters most today — the Power Minister ordered all electricity distribution companies (DISCOs), including K-Electric, to process every rooftop solar net-metering application **submitted before 8 February 2026** under the previous, more favourable net-metering rules.

That is a meaningful carve-out. If your file was in the queue before the deadline, you are no longer at the mercy of the new net-billing math.

Net Metering vs Net Billing: Why the Difference Is Huge

To understand why grandfathering matters, you need to see the gap between the two systems.

Under the old **net metering** model, every unit you exported to the grid was netted against the units you imported at roughly the same retail tariff — effectively worth **Rs 22–27 per unit** for most consumers. One exported unit cancelled one imported unit.

Under the new **net billing** framework in the NEPRA Prosumer Regulations 2026, that one-for-one deal disappears. Your exported electricity is bought back at a separately-set, market-linked rate — the Power Division proposed around **Rs 11.30 per unit** (some notifications have cited figures as low as Rs 9.80) — while the electricity you draw from the grid is still billed at the full retail tariff, which exceeds **Rs 50 per unit** for many households in higher slabs.

Here is the comparison at a glance:

| Feature | Old Net Metering (grandfathered) | New Net Billing (2026) | |---|---|---| | Export value | ~Rs 22–27/unit (retail-rate netting) | ~Rs 9.80–11.30/unit (buyback rate) | | Import charge | Standard retail tariff | Standard retail tariff (Rs 50+/unit) | | Netting | 1:1 offset | Gross buy/sell, separate rates | | Agreement term | 7 years | 5 years | | Who gets it | Pre–8 Feb 2026 applicants | New applications |

The practical effect: a grandfathered system can pay back its cost in roughly **4–6 years**, while the same system under net billing can stretch payback well beyond **7–9 years** because surplus units are worth less than half as much.

Who Exactly Qualifies for the Old Terms

You fall under the protected category if **both** of these are true:

• Your net-metering application was **submitted to your DISCO before 8 February 2026**.
• Your application is still pending (not rejected or withdrawn).

Separately, consumers who already hold a valid net-metering licence issued **before 9 February 2026** keep their 1:1 netting and buyback rate until their existing 7-year contract expires — they were never in doubt.

If you applied **after 8 February 2026**, your connection will be processed under the new net-billing rules. There is no retroactive relief for those files under this directive.

Why You Should Act Before the Window Closes

The grandfathering is a clean-up of the existing backlog — it is **not** an open-ended invitation to keep filing under the old regime. Three reasons to move quickly:

1. **The review could go either way.** NEPRA and the Power Division are re-examining the buyback tariff. A favourable outcome is not guaranteed, and any new notification will apply to fresh applications. 2. **DISCO processing is the bottleneck.** With 5,165 files being cleared at once, documentation errors cause delays. Confirm your load-sanction letter, CNIC, paid bill, and single-line diagram are complete. 3. **Every month on net billing costs real money.** For a typical 10 kW home system exporting surplus during the day, the rate gap can mean **Rs 8,000–15,000 a month** in lost export value versus the old terms.

If you are still planning a system, speak to an installer now and verify your application date on record with your DISCO. Our guide on net metering vs net billing in Pakistan walks through the sizing maths, and our solar panel price update covers current PKR costs per kilowatt.

How to Confirm Your Application Status

A quick practical checklist from the field:

• Call or visit your DISCO's net-metering cell and ask for your application's **reference number and submission date**.
• Get written confirmation (email or stamped receipt) that your file is being processed under pre–8 February rules.
• Keep a copy of every document you submitted; incomplete files are the number-one cause of rejection.
• If you used an installer, ask them for the DISCO acknowledgement — they usually hold it.

Frequently Asked Questions

**Does the 22 October rollback mean net metering is back for everyone?** No. It only protects already-submitted applications filed before 8 February 2026, plus licences issued before 9 February 2026. New applications still fall under net billing unless the ongoing NEPRA review changes that.

**What is the cut-off date to qualify for the old terms?** Your application must have been submitted to your DISCO **before 8 February 2026**. Files lodged after that date are processed under the new net-billing framework.

**How much lower is the new buyback rate?** The proposed net-billing buyback is around **Rs 9.80–11.30 per unit**, versus the roughly **Rs 22–27 per unit** of retail-rate netting under old net metering — less than half the value for your exported electricity.

**Is the new buyback tariff final?** Not yet. On 22 October 2026 the Prime Minister ordered the Power Division and <a href="https://www.nepra.org.pk/" target="_blank" rel="noopener">NEPRA</a> to verify the rate and study its impact before finalising it, so the figure may still be revised.

**How long is the contract under each system?** Grandfathered net-metering agreements run for **7 years**. New net-billing agreements are shortened to **5 years**, renewable by mutual consent.

The Bottom Line

The October 2026 partial rollback is a genuine win for the thousands of households stuck in the net metering pending applications queue — but it is a backlog clean-up, not a permanent reopening. If you filed before 8 February 2026, confirm with your DISCO that your file is tagged for old-rule processing, and complete any missing paperwork now. If you are still deciding, lock in your decision before the NEPRA review reshapes the rules again.

**Need help checking your application status or sizing a grid-tied system?** Talk to our team at Best Solar Company PK for a free net-metering eligibility review.

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.