The National Electric Power Regulatory Authority (Nepra) has released a draft of the Solar Regulation 2026, inviting public feedback within 30 days. The regulator said the draft amendment to the Nepra (Prosumer) Regulations, 2026 is available on its official website, and comments can be submitted to the Nepra registrar within the stipulated period.
Nepra clarified that existing solar net metering consumers will not be affected; their current agreements will remain valid until expiry. Approvals, licences, and agreements issued under previous regulations will continue under the old terms, and distributed generators with valid contracts will be billed according to the prior mechanism until their agreements end. The draft regulation is deemed effective from February 9, 2026.
The reform ends the one-to-one offset model, requiring power utilities to purchase surplus electricity from prosumers at the national average energy price while selling back electricity at the applicable consumer tariff. Contract terms are now shortened to five years, renewable by mutual consent, replacing the previous seven-year standard.
The amendment fundamentally reshapes distributed generation economics, affecting households, businesses, and industries generating up to one megawatt, while ensuring that surplus electricity payments are either adjusted in future bills or paid quarterly, enhancing transparency and predictability for prosumers.
