Solar Adoption Under Pressure
Solar adoption in Pakistan has suffered its first big blow in a long time as net metering units fell 27.2 percent month over month in August 2026, with dependence on the national grid showing a sudden increase.
According to data from Arif Habib Limited, net metering units declined 27.2 percent from July to August. However, net metering’s share of total power generation increased by 10 basis points year-on-year during August.

Overall power generation rose 5.1 percent year over year in August, while the National Electric Power Regulatory Authority (NEPRA) expects power demand to grow 1.0 percent year over year in calendar year 2026.
The monthly decline in net metering units comes amid a broader shift in the contribution of solar power to Pakistan’s electricity supply. The latest figures indicate a drop in net metering output compared with July, although its share of total generation remained higher than a year earlier.
Pakistan’s rooftop solar market has expanded rapidly as households and businesses seek relief from high grid electricity costs. However, changes to net metering rules have altered the financial benefits of selling surplus electricity to the grid.
In February 2026, the National Electric Power Regulatory Authority introduced new prosumer regulations that replaced the previous net metering system with net billing, under which exported electricity is credited separately from electricity purchased from the grid.
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