NEPRA Revises Electricity Billing Model – Key Changes Explained

By: Team CM Punjab

On: Wednesday, February 11, 2026 6:32 PM

NEPRA Revises Electricity Billing Model - Key Changes Explained
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In February 2026, National Electric Power Regulatory Authority (NEPRA) introduced sweeping reforms in Pakistan’s electricity billing structure. The revised model impacts solar users, residential consumers, and industries, with immediate effect nationwide.

EPRA has officially replaced net metering with net billing, introduced fixed monthly charges for domestic users, and revised unit rates—reshaping electricity bills across Pakistan.

Here’s a clear and simplified breakdown of what has changed.

1️⃣ Net Metering Replaced with Net Billing

One of the biggest reforms is the end of the traditional one-to-one net metering system.

🔹 What Has Changed?

  • Unit exchange abolished – Exported and imported units are now treated separately

  • Buyback rate – Surplus solar electricity purchased at National Average Energy Purchase Price (around Rs10–11/unit)

  • Import rate – Electricity from grid charged at full retail tariff (Rs37–55/unit depending on slab)

  • Contract term reduced – New agreements limited to 5 years (previously 7 years)

Existing solar users will remain under current contracts until expiry.

2️⃣ Fixed Monthly Charges Introduced for Domestic Users

For the first time, NEPRA has added fixed monthly charges across most residential categories.

Consumer Category Monthly Units Fixed Charge (PKR)
Protected Up to 100 Rs. 200
Protected 101–200 Rs. 300
Non-Protected Up to 100 Rs. 275
Non-Protected 101–300 Rs. 350
Non-Protected 301–400 Rs. 400
Non-Protected 401–500 Rs. 500
High Usage 601+ Rs. 675

🔹 Lifeline consumers (up to 100 units under special category) remain exempt.

This means even low-usage households may now see a base charge added to monthly bills.

3️⃣ Relief for Industrial & High-Usage Consumers

To offset fixed charges, NEPRA adjusted some per-unit rates.

🔹 Industrial Sector Relief

  • Reduction of approximately Rs4.04 to Rs4.58 per unit

🔹 Domestic Slab Relief

  • Consumers using over 300 units may see reductions between Rs0.49 to Rs1.53 per unit

However, overall bill impact depends on total usage and slab category.

4️⃣ Technical & Financial Conditions for Solar Users

The updated framework also introduces stricter compliance rules:

  • Maximum system size capped at 1 MW

  • Capacity limited to sanctioned load

  • No new connections if transformer load reaches 80%

  • Load-flow study required for systems above 250 kW

  • Interconnection costs to be borne by consumer

  • Rs1,000 per kW non-refundable concurrence fee

NEPRA also retains authority to revise buyback rates during contract periods.

5️⃣ Why NEPRA Revised the Billing Model

Officials argue the changes were necessary due to:

  • Revenue losses from rapid rooftop solar expansion

  • Tariff burden shifting to non-solar consumers

  • Grid instability during low-demand hours

  • Financial stress on DISCOs

However, critics believe the move may slow Pakistan’s clean energy transition and reduce rooftop solar growth.

FAQs – NEPRA Electricity Billing Changes 2026

When did the new electricity billing model take effect?
The revised regulations took effect on February 9, 2026.

Has net metering been completely abolished?
Yes, for new users. It has been replaced with a net billing system.

Will existing solar users lose their benefits?
No, they will remain under current contracts until expiry.

Who will pay fixed monthly charges?
Almost all domestic consumers except lifeline category users.

Is solar still financially viable after these changes?
Yes, especially for users who consume most of their generated electricity during daytime.

Final Analysis

NEPRA’s revised electricity billing model marks a structural shift in Pakistan’s power sector. While the move aims to stabilize finances and improve grid management, it significantly alters savings for solar users and introduces fixed costs for households. Going forward, careful energy planning and smart consumption will be essential for consumers to manage rising electricity expenses under the new framework.

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