As Pakistan moves towards sustainable energy solutions, IESCO net metering rates play a crucial role for homeowners and businesses investing in solar power. Net metering allows consumers to generate their own electricity and sell excess energy back to the grid, creating savings while supporting renewable energy growth. Understanding the latest rates and procedures can help maximize your return on investment.
What Is Net Metering?
Net metering is a system where solar energy producers feed surplus electricity into the national grid. In return, they receive credits or payments based on the energy supplied. This system benefits both the consumer and the electricity provider by promoting clean energy, reducing reliance on fossil fuels, and encouraging energy efficiency.
IESCO Net Metering Rates for 2025
For 2025, IESCO net metering rates are structured as follows:
Residential Users: PKR 19.32 per kWh
Commercial Users: PKR 20.48 per kWh
Industrial Users: PKR 21.50 per kWh
These rates are periodically reviewed by NEPRA to reflect energy market conditions, fuel costs, and seasonal electricity demand. Staying updated ensures that solar producers receive the best possible compensation for their excess electricity.
How to Apply for IESCO Net Metering
Install a NEPRA-approved solar system with capacities ranging from 1 kW to 1 MW.
Submit a net metering application to IESCO along with required documentation.
Undergo a site inspection and have a bidirectional meter installed to measure energy imported and exported.
Start generating savings by exporting excess electricity and earning credits on your electricity bill.
Following these steps ensures a smooth process from installation to activation, helping you make the most of your solar system.
Financial Benefits and ROI
Investing in solar energy with IESCO net metering offers significant financial returns:
5 kW System: Approx. PKR 900,000, payback period 3.5–4.5 years
10 kW System: Approx. PKR 1,500,000, payback period 3–4 years
20 kW System: Approx. PKR 3,000,000, payback period 2.5–3.5 years
These figures vary depending on electricity consumption, solar system efficiency, and changes in tariff rates. Proper planning ensures maximum cost savings over the system’s lifespan.
Policy Updates and Future Outlook
The government is proposing updates to the net metering framework:
Reduction in buyback rates for certain user categories
Limits on maximum system sizes eligible for net metering
Transition from net metering to net billing, with separate rates for exported and imported electricity
Staying informed about policy changes is essential for anyone planning to invest in solar energy under the IESCO scheme.
Conclusion
IESCO net metering rates provide a valuable opportunity for households and businesses to save on electricity bills while contributing to a sustainable energy future. With careful planning, proper system installation, and awareness of policy updates, solar energy investments can yield both financial and environmental benefits.
