Govt proposes major cut in net metering electricity purchase rate

ISLAMABAD: In ongoing discussions with the International Monetary Fund (IMF), the government has presented a proposal related to purchasing electricity from net metering users.

Under the new plan, the government suggests buying power at Rs10 per unit, a significant drop from the previous rate of Rs27 per unit, marking a reduction of Rs17 per unit.

The IMF has raised concerns about how the government plans to handle the issue of off-grid consumers who are opting out of the main power grid.

So far, the government has not provided a concrete solution or strategy in response to this query.

The negotiations with the IMF have also touched on the performance of power companies. Sources reveal that the IMF has recommended the government use any available financial space to address the growing issue of circular debt.

Net metering is a system that allows consumers, typically those generating solar power, to sell excess electricity back to the national grid.

This arrangement not only lowers their utility bills but also promotes the use of renewable energy sources.

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