Solar Association opposes government’s decision to reduce net metering rates

LAHORE: The Solar Association has strongly criticised the government’s decision to reduce solar net metering rates, calling it a move that could negatively impact the solar energy sector in Pakistan.

During a press conference, the Chairman of the Solar Association, Adil Mahmood, condemned the decision, stating that it undermines years of investment and efforts to promote renewable energy. He expressed concerns over the sudden shift in policy, pointing out that the president and prime minister had previously encouraged solar investments but are now backtracking on their commitments.

“For the past two to three years, they have been urging investments in solar energy, and now they are offering electricity at Rs54 per unit while expecting solar providers to sell at Rs10 per unit,” he remarked, highlighting the financial strain this decision would place on investors.

The chairman further stated that billions of rupees have been invested in the solar sector, and this policy change threatens its sustainability. He also voiced disappointment over the lack of consultation with key stakeholders, noting that the association was not taken into confidence while draughting the new solar policy.

The Solar Association has called for the restoration of previous net metering rates to maintain growth in the sector. Adil Mahmood urged the government to reconsider its decision, ensuring that the renewable energy industry remains viable and that investments are safeguarded.