Nepra issues notice to K-Electric over net-metering violation

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has issued a show cause notice to K-Electric (KE) over repeated non-compliance with directives regarding net-metering applications.

The decision, announced on Wednesday, follows KE’s failure to provide detailed information on rejected net-metering cases due to system overloads, a violation that Nepra deems inconsistent with its regulations and the Nepra Act.

The issue arose after numerous net-metering applications were reportedly declined by KE, citing the overloading of its common distribution system and Pole-Mounted Transformers (PMTs).

Nepra initially directed KE to submit specific data regarding these rejections in May 2024, but the utility provider requested an extension and failed to meet compliance standards within the stipulated timeline.

Following an explanation letter from Nepra in July, KE provided partial information, stating that net-metering requests exceeding 80 per cent of transformer capacity required upgrades at the applicants’ expense.

However, NEPRA deemed KE’s submission unsatisfactory, noting that it did not adhere to the requirements for transparency and timely consumer access to net-metering services. The Authority has now formally determined KE’s response inadequate, issuing the show cause notice under Nepra’s fine regulations. The notice compels KE to address the non-compliance and submit a comprehensive explanation for its actions regarding the handling of consumer applications for net-metering, a key program supporting renewable energy adoption in Pakistan. K-Electric has yet to respond to the notice.