The Ministry of Energy has introduced new regulations making it compulsory for consumers installing solar power systems to obtain a licence from the National Electric Power Regulatory Authority (Nepra), according to official sources.
The revised policy is aimed at increasing regulatory oversight of the country’s rapidly expanding solar energy sector and creating a more standardised framework for distributed electricity generation.
Under the updated rules, consumers will now be required to secure a generation licence from Nepra based on the capacity of their installed solar system. Previously, electricity distribution companies were authorised to issue licences for solar systems up to 25 kilowatts, and in many cases, these approvals were granted without any fee.
Officials said the new amendments, introduced by the Power Division under the Ministry of Energy, have changed the approval process significantly. Applicants must now submit a pay order in Nepra’s name, with the licensing fee determined according to the size of the installed system.
Sources said consumers will be charged an additional Rs1,000 per kilowatt, replacing the earlier arrangement under which systems up to 25kW could receive licences free of cost through distribution companies.
The policy also includes provisions for consumers seeking connections under the net billing project. This will allow solar users to export surplus electricity to the national grid under regulated conditions, helping them recover part of their investment while contributing to the overall power supply.
However, officials clarified that consumers using hybrid solar systems will remain exempt from the licensing requirement, providing some relief for users operating systems that combine solar generation with battery storage or backup power sources.
The decision is being seen as a major shift in Pakistan’s solar energy policy, particularly at a time when residential and commercial consumers are increasingly turning to solar solutions due to rising electricity prices and frequent power shortages.
Energy experts say the move could improve monitoring, compliance, and technical safety standards across the sector. However, some consumers may view the added licensing cost as an additional financial burden, especially for small-scale solar users.
