The Power Division, on orders of Energy Minister Awais Leghari, has formally asked the National Electric Power Regulatory Authority (NEPRA) to abolish fees and licensing requirements for solar power consumers using systems of 25 kilowatts or less.
In a statement issued on Sunday, the Power Division said the request seeks to revise existing regulations requiring small-scale solar users to obtain approval from NEPRA and pay application fees under updated “prosumer regulations.”
Officials said the division had previously warned NEPRA about the adverse impact of these changes and urged a return to earlier rules. Under regulations introduced in 2015, solar systems with a capacity of up to 25 kilowatts did not require licensing from NEPRA. Applications in this category were processed directly by electricity distribution companies without fees, providing a significant financial incentive for household consumers.
However, the revised framework from earlier this year centralizes approval authority with NEPRA and imposes application fees even on small-scale solar installations.
The Power Division noted that the Private Power and Infrastructure Board had also expressed concern over the changes and called for maintaining the earlier approval mechanism for smaller systems.
During public hearings, several stakeholders, including the Pakistan Solar Association, Premier Energy (Private) Limited, the Pakistan Alternative Energy Association, and Siddiq Renewable Energy (Private) Limited, formally opposed the revisions. They argued that shifting approval authority away from distribution companies creates unnecessary bureaucratic hurdles for consumers.
Acting on the minister’s instructions, the Power Division has now urged NEPRA to restore the previous framework, warning that the current system could hinder national efforts to promote renewable energy adoption.