Govt to revise buyback rate for solar users

(Web Desk): The federal government is set to reduce the buyback rate for excess electricity generated by solar users while raising the electricity prices they pay. According to sources, the government will revise the buyback tariff for solar users from Rs27 per unit to Rs8-9 per unit. This move is designed to ensure that the cost of electricity is distributed more equitably among all consumers.

The number of solar net metering users has risen significantly, from 224,000 in October 2024 to 283,000 in March 2025. This surge has placed a financial burden of Rs159 billion on non-solar consumers, mainly benefiting wealthier households. Although the solar policy initially helped early adopters, it has created an unfair financial burden on nearly 40 million electricity users, who are now paying an additional Rs1.5 per unit to subsidize solar users.

Despite the tariff adjustments, solar power investments will still be financially viable, though the payback period will extend from two years to about four to five years. This ensures that the adoption of solar energy remains practical while reducing the financial strain on non-solar consumers.