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Govt Likely to Change Solar Net Metering Policy to Extend Payback Period

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The federal government is expected to change the Solar Net-Metering Policy to adjust the buyback rate for net metering to the average energy cost and to increase the payback period from three to five years.

This proposal was discussed during an online seminar organized by the German development agency GIZ, reported Business Recorder.

Currently, excess energy units from net-metered systems are carried forward for three months before being converted to monetary value and adjusted against peak consumption. Some experts and DISCOs suggested limiting this period to one month to promote self-consumption and reduce the installation of oversized solar PV systems. They also recommended establishing a central cell within DISCOs to oversee net metering activities, including the integration of rooftop solar PV systems and hosting capacity analysis.

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