The Power Division has formally approached the National Electric Power Regulatory Authority (NEPRA) to eliminate application fees and licensing requirements for solar consumers installing systems with a capacity of up to 25 kilowatts, following directions from Federal Minister for Power Sardar Awais Ahmed Khan Leghari.
According to official correspondence, the ministry has asked the regulator to revisit the recently introduced framework governing small-scale solar installations and align it with earlier rules that encouraged residential renewable energy adoption.
Under the Distributed Generation and Net Metering Regulations of 2015, solar systems with a capacity of 25kW or below were exempt from licensing requirements. Distribution Companies (DISCOs) handled approvals directly without charging application fees, a mechanism that significantly supported rooftop solar growth among households and small businesses.
However, the new Prosumer Regulations transferred approval authority to NEPRA and introduced application charges even for smaller systems. The Power Division warned that these changes could discourage investment in distributed solar generation and slow the country’s transition toward alternative energy sources.
The ministry noted that the Private Power and Infrastructure Board (PPIB) had earlier raised concerns about the policy shift, recommending that the approval process for systems up to 25kW remain consistent with the previous regime.
During public consultations, several industry stakeholders — including the Pakistan Solar Association, Primage (Pvt) Ltd, the Pakistan Alternative Energy Association, and Siddiq Renewable Energy (Pvt) Ltd — opposed the revised rules. They argued that centralizing approvals with NEPRA would add procedural delays and unnecessary bureaucracy for small-scale consumers.
Acting on the minister’s directive, the Power Division has now urged NEPRA to restore the earlier fee-free and license-exempt approval system for solar installations up to 25kW, emphasizing that easing regulatory barriers is essential to sustain momentum in Pakistan’s renewable energy expansion.
