Federal Minister for Energy Awais Ahmad Khan Leghari announced on Thursday that the government has finalized a revised net metering policy, which is set to be issued within a month following approval from the federal cabinet.

Speaking at a workshop in Islamabad, Leghari explained that the policy overhaul was carried out in accordance with cabinet directives to promote a sustainable transition to renewable energy and lower electricity costs for consumers.

The minister acknowledged that recent increases in monthly fuel adjustments were driven by expensive fuel-based electricity generation, a consequence of poor water availability. However, he emphasized that overall electricity prices in Pakistan have been trending downward.

Leghari highlighted a series of government initiatives aimed at providing relief to consumers, including significant reforms in the power sector over the past year. “Electricity prices are continuously coming down. A major shift to solar energy has taken place in both the agricultural and industrial sectors,” he said, noting that industrial tariffs have been reduced by 30 percent in the last year alone.

He added that the government is focused on achieving long-term reductions in power tariffs by adopting alternative energy sources instead of relying on costly imported fuels. “A revolution in alternative energy has begun in Pakistan. We now have a surplus of 7,000 megawatts due to declining electricity demand over the past two to three years,” Leghari stated. This surplus, he said, has paved the way for the establishment of a competitive electricity market.

The minister also revealed that nearly 3,000 MW of furnace oil-based generation capacity has been phased out to reduce environmental impact and dependence on imported fuels. He assured that the government is working to ensure that inefficiencies, such as transmission losses, do not become a financial burden for consumers.

“Power plants based on imported fuel are being transitioned out not just for economic sustainability but also to protect the environment,” Leghari added.