The National Electric Power Regulatory Authority (NEPRA) has withdrawn its earlier decision to impose a licensing requirement and fee on small-scale solar consumers, following strong public backlash over the policy.
In a notification issued on Tuesday, NEPRA said it has abolished, from the outset, the requirement of obtaining a licence and paying a fee of Rs. 1,000 per kilowatt for solar net-metering consumers with systems up to 25kW capacity.
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The move comes days after the federal Power Division directed the regulator to review the policy amid criticism that the government was effectively “taxing sunlight.”
Earlier this month, NEPRA had introduced a major policy shift by making licensing mandatory for solar users and imposing a Rs. 1,000 per kW fee, increasing the upfront cost of installing solar systems.
The regulator said the revised rules will now exempt small-scale “prosumers” from licensing requirements, while consumers with higher capacity systems will continue to pay a one-time fee of Rs. 1,000 per kilowatt.
The notification added that the amended regulations will take effect from February 9, 2026.
The development marks a partial rollback of recent changes to Pakistan’s solar net-metering framework, which had already faced criticism for raising costs and discouraging adoption of rooftop solar systems.
Pakistan has seen rapid growth in solar adoption in recent years, driven by rising electricity prices and falling panel costs, making net-metering policies a key area of public and policy focus.
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