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IISLAMABAD - The government, in order to promote alternative energy, has not just waived off duty on import of solar panels but has also decided to introduce net-metering system which would allow consumers to sell excess electricity so produced. Preliminary work such as drafting of rules and regulations has been completed; only feedback from the stakeholders is awaited before execution of the plan.
Under the scheme, consumers would install solar panels or wind-powered systems on their premises to generate electricity. The distribution company of the area would buy any surplus electricity for a payment. Any consumer could request for registration by completing a simple form along with Rs500 fee. After processing, the authority would forward the application to the power distribution company concerned. After inspection, the DISCO (distribution company) may install standard single or double meters to record how much electricity a consumer is taking from the distribution company and how much is fed into the system. In other words, one meter would be used for selling electricity to the DISCO and the other for purchasing it (if need be depending on the capacity of the alternative system of the consumer; standard alternative systems may only be sufficient for household use but in winter could generate surplus). At the end of each billing cycle, the distribution company would calculate the difference. Whoever owes, will pay.
There would also be option for the people to get the excess electricity credited into their accounts for future use if payment isn’t required. The distribution company would however make payments annually. Such electricity would not be sold privately – from a consumer-generator to the other consumers.
According to Nepra spokesperson Safeer Hussain, the authority has drafted the guidelines for this scheme technically called net-metering.
“It’s at the initial stages yet as we have completed the draft rules and regulations and invited all stakeholders’ comments,” said Hussain.
He said the plan would be finalised after consultations with the distribution companies.
“After one month we would hold a conference where all the stakeholders along with the distribution companies would be invited, as the success of this scheme depends upon the distribution companies to a great extent,” he said.
He further elaborated that under the scheme the consumer-generators would be able to sell up to IMW of electricity to the relevant distribution company, but the tariff has yet to be finalised.
“We have many proposals under consideration regarding tariff; one suggestion is to give same rate for electricity purchase as the consumer is paying to the distribution company for buying it; another suggestion is to apply same upfront tariff as the authority offered to 1MW to 10 MW solar producers recently, but the authority would finalise tariff after consulting the distribution companies.”
The spokesman said that authority was determined to make this scheme a success and it was a golden opportunity for small investors to make money and also serve the country. He said the authority would warmly welcome suggestions and comments from the general public, businessmen and any other stakeholders.
The energy-starved country where power outbreaks cross 12 hours a day in summers is environmentally best suited for alternative energy. The only investment is solar panels/batteries and wind turbines.
Not only 60km-long wind corridor from Gharo to Keti Bandar in Sindh and the coastal area of Balochistan are very fertile for wind projects, but with ample sunlight throughout the year and powerful wind in many parts, most of the country is considered very rich for solar and wind projects.
For solar panels, it is considered one time investment for up to 25 years, although their efficiency may depreciate with time (annually), but once these panels or wind turbines are installed, they would keep providing service for 25 years.
No wonder the scheme has been welcomed by the business community and renewable energy experts. The CEO of Ageco private limited company, the inventor of first solar car in the country, termed it a blessing. This is an amazing step to eliminate power crunch, a public-oriented scheme as anybody can who can invest Rs 250,000-300,000 can get a system which could produce up to 1KWh, sufficient to lit and run lights and fans in a small house, Azad said.
In Azad’s estimates, panel invertors, charger and basic batteries with two-hour backup were included. The cost may vary due to market competition and difference in technology and make.
This is not a new concept, many western countries, even India, have net metering in place. It is very welcoming that finally the government of Pakistan too has decided to implement the proposal.
It would defiantly help overcome energy crisis, Sohail Ahmed, a solar energy solution seller at College Road Rawalpindi said.
While a common man can earn money from a small investment, if the idea becomes popular it would help power plants to be optimised. If energy demand is fulfilled by the solar, the plants using high-cost fuel would be forced to consider the alternative, a Nepra official said.
“If the government spends half of general power subsidy on promoting solar equipment, the project would be adopted by many, which would eventually result in minimising loadshedding and electricity costs,” said an official of the Ministry of Water and Power.
Under the scheme, consumers would install solar panels or wind-powered systems on their premises to generate electricity. The distribution company of the area would buy any surplus electricity for a payment. Any consumer could request for registration by completing a simple form along with Rs500 fee. After processing, the authority would forward the application to the power distribution company concerned. After inspection, the DISCO (distribution company) may install standard single or double meters to record how much electricity a consumer is taking from the distribution company and how much is fed into the system. In other words, one meter would be used for selling electricity to the DISCO and the other for purchasing it (if need be depending on the capacity of the alternative system of the consumer; standard alternative systems may only be sufficient for household use but in winter could generate surplus). At the end of each billing cycle, the distribution company would calculate the difference. Whoever owes, will pay.
There would also be option for the people to get the excess electricity credited into their accounts for future use if payment isn’t required. The distribution company would however make payments annually. Such electricity would not be sold privately – from a consumer-generator to the other consumers.
According to Nepra spokesperson Safeer Hussain, the authority has drafted the guidelines for this scheme technically called net-metering.
“It’s at the initial stages yet as we have completed the draft rules and regulations and invited all stakeholders’ comments,” said Hussain.
He said the plan would be finalised after consultations with the distribution companies.
“After one month we would hold a conference where all the stakeholders along with the distribution companies would be invited, as the success of this scheme depends upon the distribution companies to a great extent,” he said.
He further elaborated that under the scheme the consumer-generators would be able to sell up to IMW of electricity to the relevant distribution company, but the tariff has yet to be finalised.
“We have many proposals under consideration regarding tariff; one suggestion is to give same rate for electricity purchase as the consumer is paying to the distribution company for buying it; another suggestion is to apply same upfront tariff as the authority offered to 1MW to 10 MW solar producers recently, but the authority would finalise tariff after consulting the distribution companies.”
The spokesman said that authority was determined to make this scheme a success and it was a golden opportunity for small investors to make money and also serve the country. He said the authority would warmly welcome suggestions and comments from the general public, businessmen and any other stakeholders.
The energy-starved country where power outbreaks cross 12 hours a day in summers is environmentally best suited for alternative energy. The only investment is solar panels/batteries and wind turbines.
Not only 60km-long wind corridor from Gharo to Keti Bandar in Sindh and the coastal area of Balochistan are very fertile for wind projects, but with ample sunlight throughout the year and powerful wind in many parts, most of the country is considered very rich for solar and wind projects.
For solar panels, it is considered one time investment for up to 25 years, although their efficiency may depreciate with time (annually), but once these panels or wind turbines are installed, they would keep providing service for 25 years.
No wonder the scheme has been welcomed by the business community and renewable energy experts. The CEO of Ageco private limited company, the inventor of first solar car in the country, termed it a blessing. This is an amazing step to eliminate power crunch, a public-oriented scheme as anybody can who can invest Rs 250,000-300,000 can get a system which could produce up to 1KWh, sufficient to lit and run lights and fans in a small house, Azad said.
In Azad’s estimates, panel invertors, charger and basic batteries with two-hour backup were included. The cost may vary due to market competition and difference in technology and make.
This is not a new concept, many western countries, even India, have net metering in place. It is very welcoming that finally the government of Pakistan too has decided to implement the proposal.
It would defiantly help overcome energy crisis, Sohail Ahmed, a solar energy solution seller at College Road Rawalpindi said.
While a common man can earn money from a small investment, if the idea becomes popular it would help power plants to be optimised. If energy demand is fulfilled by the solar, the plants using high-cost fuel would be forced to consider the alternative, a Nepra official said.
“If the government spends half of general power subsidy on promoting solar equipment, the project would be adopted by many, which would eventually result in minimising loadshedding and electricity costs,” said an official of the Ministry of Water and Power.
