During the ongoing talks with an International Monetary Fund (IMF) mission, the government has shared a plan with regard to purchase of power from net metering users.
According to the plan, electricity from net metering users is proposed to be to be bought at Rs10 per unit. Previously, electricity generated by net metering consumers was being purchased at Rs27 per unit. This means Rs17 per unit reduction in rate.
The IMF had questioned how the issue of off-grid consumers leaving the main grid would be addressed. The government has not yet provided a clear response or plan on this matter.
Discussions with the IMF also included negotiations regarding power companies. The IMF has suggested utilizing financial space to reduce circular debt, sources report.
Net metering is a billing mechanism that allows consumers who generate their own electricityusually through solar panelsto sell excess power back to the grid. This reduces their electricity bills and provides an incentive for renewable energy use.
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