Monday, September 14, 2015

Pakistan Approves Net Metering and Feed-in Tariffs for Solar and Wind

Pakistani power regulators have approved a regulatory framework for solar and wind energy for both commercial and residential installations. The framework includes feed-in tariffs for commercial power producers and net metering for residential applications of up to 1 MW.

Under the new Net Metering Law, NEPRA, the Pakistani power regulator, will grant power generation licenses to solar and wind system owners. The owners will need to register the critical equipment used, particularly the make and model of inverter and generator used. Among other technical considerations, the generator must also install a manual disconnect device to take the system off the network if necessary, according to details published by PV Tech publication.

Source: PV-Tech
Net metering is a billing mechanism that pays solar energy system owners for the electricity they add to the grid. It allows a residential customers with rooftop solar panels to generate more electricity than the home uses during daylight hours and sell it to the power supply company. It will require a bi-directional meter (or two separate meters) for implementation.

Pakistan has already introduced feed-in tariffs (FiTs) for larger renewable power systems to supply electricity to the national grid on a commercial scale.  It paved the way for a 1000 MW Quaid-e-Azam solar park being built in Bahawalpur.

Pakistan's renewable power policy and regulatory frameworks have drawn praise from international law firm Eversheds which has described the country as “one of the most exciting renewables markets globally, with an abundance of potential”. Alternative Energy Development Board (AEDB) of Pakistan's CEO, Amjad Ali Awan has said that "Pakistan’s renewable market is relatively new but it provides an attractive investment opportunity with compelling structures which make it bankable as well as marketable."

Net metering law is necessary but not sufficient to promote widespread use of renewable energy. It will take serious coordinated efforts of Pakistan power regulator NEPRA, the country's nascent solar industry and various utilities like K-Electric to start implementation. Meanwhile, consumers could install a stand-alone rooftop solar system that can be connected to the grid in future. They just need to make sure to select high-quality equipment, particularly inverter and switch, for this purpose which will most likely be acceptable to utilities.

Related Links:

Haq's Musings

Pakistan Deploys IT Apps to Improve Service in Public Sector

Solar Power For Pakistan Homes, Schools, Factories

Shakti Solar Model For Pakistan

Pakistan's New FIT Policy For Alternative Energy

Media & Telecom Revolution in Pakistan

Pakistan Building 1000 MW Wind Farms

Pakistan Launches Wind Farm Projects

Renewable Energy to Solve Pakistan's Electricity Crisis

Electrification Rates By Country

Wind Turbine Manufacturing in Pakistan

Pakistan Pursues Hydroelectric Power Projects

Solar Energy for Sunny Pakistan

Wind Power Tariffs in Pakistan

Pakistan's Twin Energy Shortages


Rameez said...

financing options r limited

Anonymous said...

Compared to india's existing solar installations and upcoming mega installations of 1000 megawatts with the biggest being 10000 megawatts Pakistan's solar plans are a drop in the ocean.
Have you compared the electricity usage per capita of India and Pakistan?
I think Pakistan will suffer economically big time and industries will shift to other parts of the world like China or Bangladesh.

Raza said...

So it requires an investment of almost PKR 100 for every solar Watt?

Kind of expensive in the beginning, but reducing dependency on the grid for in-house lighting will prove dead cheap in the long run.

Shahid said...

Need to promote solar energy in cities like Karachi and Lahore... I visited relative a year ago in village near Narowal and they had a roof top solar panels installed and they were not crying for load shedding at all.

Anonymous said...

The good news about Solar energy is that with each passing day the cost of producing electricity from Solar is going down. Hopefully, that day is not far when the solar energy will become efficient and the cheapest form of producing electricity.

I cannot wait for the day when home owners will be able to produce so much energy during the day that they can store it in batteries which is enough for many days and nights. when that happens, Electricity Utility companies will become passe and outdated as Telephone land lines did with the advent of mobile phones.

To conserve, you can replace your home lights ( energy Savers) with LED lights Or even SMD to run longer on batteries.

Riaz Haq said...

Anon: " Compared to india's existing solar installations and upcoming mega installations of 1000 megawatts with the biggest being 10000 megawatts Pakistan's solar plans are a drop in the ocean."

A 2013 joint World Bank and International Energy Agency report titled "Global Tracking Framework" identified India as the most deprived country in terms of access to energy: as many as 306.2 million of its people are still without this basic utility. The remaining 19 nations lacking access to energy, with the number of deprived people is as follows: Nigeria (82.4 million), Bangladesh (66.4 million), Ethiopia (63.9 million), Congo (55.9 million), Tanzania (38.2 million), Kenya (31.2 million), Sudan (30.9 million), Uganda (28.5 million), Myanmar (24.6 million), Mozambique (19.9 million), Afghanistan (18.5 million), North Korea (18 million), Madagascar (17.8 million), the Philippines (15.6 million), Pakistan (15 million), Burkina Faso (14.3 million), Niger (14.1 million), Indonesia (14 million) and Malawi 13.6 million).

Majumdar said...

Good development!


Anurag said...

Riaz you mean in India 900 million people have electricity supply.
The countries mentioned here does has many times less population in their country than India provide Power and Basic utilities.
Comparing Pakistan has only 200 Million population and yet 15 million without power.

Riaz Haq said...

Anurg: " India 900 million people have electricity supply....Comparing Pakistan has only 200 Million population and yet 15 million without power"

Since you seem to have not learned ratios and proportions in school, let me help you with it: 300 million Indians lacking electricity translates into 25% of the population with the basic utility, a lot higher than the 7.5% of Pakistanis (15 million out of 200 million) who have no connection to the grid.

Anonymous said...

Surprising industries are running away from Pakistan inspite of only 7.5% people not having electricity. Wonder why so many strikes and riots take place in Pakistan because of energy shortages whereas in India despite 25% people not having electricity you hardly hear any energy shortage related strikes.
What is the per capita energy consumpsion of the 2 countries?

Riaz Haq said...

Anon: "India despite 25% people not having electricity you hardly hear any energy shortage related strikes."

Poor downtrodden Indian Hindus are highly fatalistic as portrayed by Prof Godbole in EM Forster's "A Passage to India".

They resign themselves to their fate without protest.

Riaz Haq said...

In #Pakistan, #solar water heaters help a town move away from wood via @ReutersIndia

NATHIAGALI, Pakistan (Thomson Reuters Foundation) - For the past year, a steady stream of villagers has been visiting Muhammad Naeem’s home in this quaint mountain town in Pakistan’s northwestern Khyber-Pakhtunkhwa province.

They come for one reason: to see for themselves the benefits of his solar water heater.

"A solar geyser does not cause respiratory diseases, it reduces the burden of firewood collection, and it gets rid of kerosene expenses,” the roadside shop owner, 35, tells curious visitors. “My wife no longer burns fuelwood to heat water for cooking, bathing, and washing dishes or laundry.”

At least one of Naeem’s visitors walks away convinced.

"I don’t think anyone could resist owning a solar water geyser himself,” fruit farmer Ali Akbar told the Thomson Reuters Foundation. “It offers so many economic, health and environmental benefits.”

First introduced to Nathiagali six years ago, as part of an initiative by the World Wide Fund for Nature - Pakistan (WWF-Pakistan), roof-top solar water heaters are gaining popularity among the area’s villagers as a cheap, easy, and green alternative to wood and kerosene.

The heating systems comprise of a set of water-filled solar tubes, called collectors, connected to an insulated water tank above them.

The tubes absorb sunlight to heat the water inside them. As it heats, the water rises into the storage tank. At the same time, cooler water from the tank flows into the collectors to be heated, keeping hot water circulating through the system.

The units require no electricity to run, making them an affordable, convenient option for communities not on the power grid, experts say. Because they produce no smoke or fumes, solar heaters cut down on the respiratory illnesses associated with burning wood and kerosene.

And, crucially, the heating systems help conserve the trees in Nathiagali and three other towns surrounding Ayubia National Park, an area that is home to 4,000 families, most of whom rely on the local forests of oak, cedar and ​​coniferous pine for fuel.


The solar water heating technology first arrived to the towns around the park in 2009, as part of a $48,000 WWF-Pakistan Climate-Resilient Watershed Management Programme funded by the Coca Cola Foundation.

The aim of the project was to curtail deforestation in the area, where over 1,100 mature trees are cut down each year, local forest officials say.

According to Itzaz Mehfooz, a former sub-divisional forest officer, tree cutting has led to problems including soil erosion, landslides, and flash floods, particularly when torrential rains hit.

Anonymous said...

I am in Karachi , How can I install net metering at home , what will be the procedure ? I dont see any information from K-electric on net metering in karachi

Riaz Haq said...

Anon: "I dont see any information from K-electric on net metering in karachi "

Net metering law is necessary but not sufficient to make it happen. It will take serious coordinated efforts of regulator NEPRA, solar industry and utilities like K-Electric to start implementing.

Meanwhile, you could install a stand-alone rooftop solar system that can be connected to the grid in future. Just make sure you select high-quality equipment, particularly inverter and switch, for this purpose which will most likely be acceptable to K-Electric.

Here's an interesting article from Pro_Pakistan on installing solar:

Anurag said...


I am Graduate in Maths and my degree is not from AXACT, it is from reputed University in India.
and this page of wiki says ""
your knowledge is not upgraded. you are using your generation (your own architect 8086) CPU.

Kindly update you information,

Last 4 years in Indian Electricity Generation Growth percentage is 10% approx or more.

You figures are wrong, India yet have biggest percentage of share of Poor man, but Indian Has biggest percentage of rich man also and Per capita income is more than Pakistan.
it means every Indian citizen is in better position than Pakistani citizens.

Riaz Haq said...

Anurag: "it means every Indian citizen is in better position than Pakistani citizens. "

Your Math knowledge is not serving you well.

Do you know that, according to the World Bank figures, Pakistan has higher median income and lower poverty rates than India?

Riaz Haq said...

AGP’s report sees improvement in power generation to 16,890 MW 2015 in #Pakistan since 2013 via @ePakistanToday

The power sector in 2015 has shown significant improvement and has been able to utilise 90 per cent of its available generation capacity and recorded 16,890 MW electricity generation against 18,616 MW derated generation capacity previously.

This has been stated in the audit report submitted by the AGP to the president of Pakistan for the period 2012-13 of previous government tenure till 2014-15.

According to the report, domestic load shedding has been brought down from 8-11 hours to 6-8 hours while industrial load shedding has decreased from 8-12 hours to zero since November 2014, except during January and Ramzan.

The report said that cost minimisation and improvement in cash flow has been ensured by implementing the merit order dispatch – using economical plants first, introducing uniform load management, differentiated load management by identifying higher theft areas and brining all DISCOs collection to CPPA.

These measures have enabled the power sector to pay better and as a result the PSO has received 101 per cent of its outstanding during 2014-15 as compared to 77 per cent during 2013-14, IPPs received 102 per cent in 2014-15 as compared to 85 per cent during 2013-14 and gas companies 106 per cent in 2014-15 as compared to 104 per cent in 2013-14.

In the efforts to lower burden on national exchequer, the power sector has improved a lot. In 2012-13, 334 billion was the subsidy provided by the government accounting for 2.4 percent of GDP. Due to better fiscal management in 2013-14, the subsidy was brought down to 292 billion rupees making it 1.7 percent of the GDP. In the year 2014-15, the subsidy further decreased to 221 billion making it 0.76 percent of GDP. The ministry is further making efforts to further bring down the subsidy.

Similarly, the increase in circular debt in 2013-14 was 203 billion making it 0.7 percent of GDP while in 2014-15 it registered only 49 billion rupees increase accounting for only 0.17 percent of GDP.

For investment facilitation new polices have already been adopted, flexible and enabling security documents have been ensured and investors have been granted greater access and regular reviews of the potential power projects. These policies have been taken well and around 15,000 MW of power sector projects are now on fast tract and in different stages.

In 2013 the energy sector was faced with dual deficit dilemma – generation deficit of around 6,000 MW resulting in heavy industrial and domestic line losses and financial deficit resulting in heavy burden on public exchequer. Another problem being faced was the management deficit in terms of no load management plan resulting in unpredictable load shedding and no financial management plan resulting in burden on fiscal resources. Similarly, the national transmission system was highly risky and there were challenges for new investment in the power sector.

Riaz Haq said...

#Solar-powered emergency mobile network developed in #Pakistan - E & T Magazine …

A solar-powered portable mobile phone network that can be used if standard communication channels are down due to natural disasters has been developed by Pakistani researchers.
Called the Rescue Base Station (RBS) for Pakistan, the system, developed by a team from the Information Technology University (ITU) in Lahore in cooperation with the University of California, is the first of its kind supporting standard mobile phones.

"When the RBS is installed in a disaster-hit area, people automatically start receiving its signals on their mobile phones,” said Umar Saif, ITU vice chancellor and an adviser to the project. “They can manually choose it and then call, send messages and even browse (Internet) data free of charge."

The network is powered by a compact antenna fitted into a lightweight box equipped with a signal amplifier, battery and a solar panel. The whole system could be either carried by rescue workers or even dropped from a helicopter to re-establish communication channels in disaster-stricken areas.

According to Saif, people within three kilometres from the station would be able to receive the signal. All they would need to do is to register into the network by sending their name, occupation, age and blood group to a dedicated phone number.

"This helps generate an automatic database of people in distress, and eventually helps both the rescue and relief teams and the victims," said Saif.

The network has not yet been tested in a real-life scenario but the ITU hopes to run first experiments within the next six to eight months.

The network could save lives in disaster situations by enabling survivors to connect with rescue workers and the government authorities.

Users would be able to get the information they need in just a few seconds by sending a text message to specific numbers appearing on their mobile phone.

“For example, if a person needs to contact a fire brigade, they text the words ‘occupation: firefighters’ to the relevant number,” said Saif. “They will then receive names and contact details for local firefighters in just a few seconds and can call for help.”

Funded through the Google Faculty Research Award, the RBS network is based on open source software and cost about $6,000 to develop.

The researchers envision the technology would be procured by mobile phone network operators to bridge outages in their coverage in disaster situations before their normal services could be restored.

Riaz Haq said...

GE, Harbin to Provide Large, High-Efficiency Gas Power Plant to Meet Energy Demand in #Pakistan at Bhikki 1.1GW … Bhikki Combined-Cycle Power Plant Marks the First HA Order in the Middle East and North Africa Region and the 20th and 21st HA Orders Worldwide
New Project Furthers GE-Harbin Technical Collaboration in Providing Competitive Power Plant Solutions Worldwide
Punjab Government Creating What is Expected to be the Largest, Most Efficient Power Plant in Pakistan, Helping Area Meet Growing Power Demand
The Bhikki plant will be able to generate the equivalent power needed to supply more than six million Pakistani homes, and is likely to be the largest, most efficient power plant in Pakistan. It is expected to enter commercial operation in 2017. This project marks the first HA orders in the Middle East and North Africa region and the 20th and 21st worldwide. GE’s 9HA is the world’s largest, most efficient gas turbine.

“We are committed to meeting the growing demand for power to drive industrial growth and all-round economic progress as well as to promote the welfare of our people,” said Ahad Khan Cheema, CEO, Quid-e-Azam Thermal Power Limited, on behalf of the government of Punjab. “As part of this, we are not only investing in new plants but also strengthening public-private collaboration to ensure that advanced technologies are deployed to meet the growing demand. GE and Harbin are moving forward with an accelerated time frame to add additional power to the grid.”

Joe Mastrangelo, president and CEO, gas power systems at GE Power & Water added, “The Bhikki project is another testament to the long-term commitment of GE to serve as an active partner in helping to meet Pakistan’s development needs. We have established strong partnerships in the power sector, and the introduction of our HA gas turbines, a significant first for the region, underlines our focus on bringing the latest technologies to enhance the operational efficiency and productivity of power plants.”

“The Bhikki combined-cycle plant is a strong example of technical collaboration between GE and Harbin in providing the most advanced combined-cycle power plant solutions,” said Mr. Guo Yu, chairman of HEI. “Deploying GE’s advanced HA technology is a game changer for the industry as it supports the government’s goal to ensure affordable, reliable and efficient power generation to meet growing demand.”

With the Bhikki plant, 21 HA units have been ordered and 68 HA units have been technically selected1 by customers around the world. GE’s H-class technology has been embraced by customers in Korea, Japan, the United Kingdom, Brazil, the United States, France, Russia, Germany, Turkey, Egypt, Pakistan and Argentina.

GE’s HA gas turbines provide a combination of the most output, highest efficiency and best operational flexibility and lead the industry in total life cycle value. The 9HA.01 offers a net combined-cycle efficiency of more than 61 percent and leads the industry with cleaner, reliable and cost-effective conversion of fuel to electricity.

The 9HA gas turbine completed off-grid, full-speed, full-load validation testing in January 2015 at the world’s largest, most thorough gas turbine test stand located at GE’s manufacturing facility in Greenville, South Carolina. This testing facility has attracted industry visitors from around the world.

Among key agreements in the country, GE has signed a memorandum of understanding with the government to develop Pakistan’s energy resources to meet the projected demand of 54,000 megawatts by the year 2020. GE will assist the government in achieving its goals by engaging in Pakistan's energy, transportation and water sectors and will work to identify potential sources of funding and explore potential investment opportunities in those sectors.

Riaz Haq said...

#Pakistan power company Hubco signs deal with GE to digitize power plants | Business Wire …

GE (NYSE:GE) has signed a contract with Hubco to provide its digital industrial solutions for the 1,292-megawatt (MW) Hubco power plant in Baluchistan, Pakistan. Commissioned in 1997, the plant operates four 323-MW generating units. Additionally, it’s the largest independent steam power plant in Pakistan and exports power to the national grid.

“GE’s digital solutions are a game changer for the energy sector, and we are happy to be working with them,” said Khalid Mansoor, CEO of Hubco. “Once implemented at the Hubco Power Plant, these solutions will help us to enhance the reliability of our operations.”

Powered by Predix*, GE’s cloud-based operating system built exclusively for industry, GE’s Digital Power Plant includes a suite of software solutions that can enable Hubco’s power plant operators to analyze and monitor operations across all touchpoints in real time and help identify any maintenance issues ahead of time, leading to greater asset uptime and reduced unplanned downtime.

The Baluchistan Hubco power plant is equipped entirely with non-GE equipment, demonstrating the power of Predix to operate across different types of original equipment manufacturers.

“Energy is increasingly becoming digital, and we have been proud to support Pakistan’s energy sector for more than 50 years with both hardware and software solutions,” said Steve Bolze, president and CEO of GE Power. “This agreement with Hubco marks the sixth deployment of our advanced digital industrial solutions in the country, underscoring our commitment to provide Pakistan with our latest technology.”

Industry experts estimate that between now and 2025 there is $1.3 trillion in value creation for companies that embrace digitization and $90 billion is expected to be invested in the energy industry’s digitization by 2020.

“Pakistan is a leader in adopting new technologies to generate more power,” said Ganesh Bell, chief digital officer, GE Power. “This deployment of GE’s digital industrial solutions marks another chapter in our relationship with the country to deliver better productivity and outcomes for our customers.”

Riaz Haq said...

Pakistan proposes solar FiT revisions

Pakistan’s National Electric Power Regulatory Authority (NEPRA) has published proposed revisions to its feed-in tariffs (FiTs) for solar energy projects of between 1-100MW capacity.

The South region includes the whole of Sindh and Baluchistan Provinces and South Punjab while the rest fo Pakistan's provinces account for the North.

NEPRA will now consider whether to determine a new upfront tariff for solar power projects or to determine a benchmark levelized tariff for competitive bidding by the relevant agency, and whether the proposed costs are reasonable.

Stakeholders now have less than two weeks to provide an intervention to the proposals. A hearing will also be held on 21 July in Islamabad.

This article has been updated to say the FiTs account for projects between 1-100MW.

Riaz Haq said...

Incentives 17 Solarenergie in Pakistan -Waqas Bin Najib  An attractive tariff model with sound guarantee structures for the RE power projects  Additional guarantee structures being put up my multilateral agencies for RE power projects in the country  Guaranteed power purchase (100% of produced electricity is mandatory for Power Purchaser to off-take)  State Bank of Pakistan (SBP) has soft credit line for small renewable energy power projects  Zero rated import of all renewable energy plant, machinery, equipment, and spares (including electronics, batteries, and other machinery)  Exemption from income tax, including turnover rate tax and withholding tax on imports.  Repatriation of equity along with dividends freely allowed, subject to rules and regulations prescribed by the State Bank of Pakistan.

Riaz Haq said...

Solar tariffs decline to all-time low of of Rs 4.63 per kWhr: Piyush Goyal

Solar power tariff in India touched record low as US-based SunEdison won a contract to sell electricity from a 500 Mw project at Rs 4.63 per unit (Pak Rs. 7.19) , accelerating India's $160 billion clean energy drive and casting a shadow on fossil-fuel plants that pollute the air and sometimes charge a higher rate.

The winning tariff, for a project of NTPC, came in the Narendra Modi government's first round of auction under the solar mission. India has already attracted big-ticket solar energy investments. These include $3 billion plans of China's Sany group and $20 billion planned by Japan's SoftBank Corp along with Bharti Enterprises and Taiwan's Foxconn Technology. SunEdison's bid is about 15% cheaper than the industry average and about 8% less than the previous lows achieved a few months ago in India's solar energy space. It betters the previous lowest solar tariff in India — Rs 5.05 per unit (Pak Rs. 7.85) — quoted by Canadian SkyPower for a tender in Madhya Pradesh while current average solar tariff in the country is Rs 5.5-6 per kWh. Experts said the tariff offered under the Centre's National Solar Mission reflects the bidders' confidence on NTPC that called the bids and the solar parks where the plants would come up. Sources said SunEdison won the entire contract for 500 Mw solar power supply after an aggressive bidding among 28 companies, including Japan's SoftBank Corp, China's Trina Solar, ReNew Power, Reliance Power and First Solar, which were in fray for the NTPC tender for solar capacity to be developed in Ghani Solar Park at Kurnool in Andhra Pradesh.

The 28 companies had qualified for the reverse e-auction that started Tuesday afternoon and ended in the early hours of Wednesday. At least nine firms bid lower than Rs 5 per unit during the reverse auction, sources said. "Delighted that an all time low solar tariff has been achieved during reverse e-auction conducted by NTPC," renewable energy minister Piyush Goyal tweeted on Wednesday morning. The minister had earlier told ET in an interview that the country's energy investment thrust would clearly be skewed towards the renewable sector.

PricewaterhouseCoopers energy leader Kameswara Rao said the latest solar auction reflects continued decline in solar module prices. "But it owes as much to higher creditworthiness of the buyer, and to the concept of solar parks, which are relatively costlier but take out development risks," he said. The government has increased its thrust on renewable energy projects with an ambitious target of raising renewable energy generation to 175 GW by 2020.

Riaz Haq said...

Tariff revision poses threat to solar power project

Upset over the move by the National Electric Power Regulatory Authority (Nepra) to push the tariff down from 14.15 cents to 9.25 cents per unit from January 2016, Zonergy President Yu Yong has sent a letter to Punjab Chief Minister Shahbaz Sharif.

In the letter, he recalled that the company’s interest in setting up the solar power plant dated back to August 2013 when the first memorandum of understanding (MoU) was signed. The Punjab government and Zonergy signed another MoU on July 9, 2014 in Beijing for installation of the 900MW plant in Bahawalpur under the Quaid-e-Azam Solar Park project.

This was followed by a project commitment agreement on July 23, 2014 and both sides agreed on a tariff of 14 cents per unit excluding taxes and also reached agreement on associated conditions and the project implementation schedule.

This tariff, he claimed, was quite below the prevailing market standard as Nepra’s tariff at that time was 16.2 cents per unit, but the company accepted it in view of the economies of scale of the project.

Riaz Haq said...

#Pakistan first country to benefit from high-quality #solar maps: World Bank #renewables

Pakistan has become the first country to benefit from duly validated, high-quality solar maps under a global initiative, allowing it to tap into its renewable energy resources more effectively, the World Bank said in a press release on Tuesday.

The new solar maps for Pakistan were unveiled today at a workshop hosted by the Alternative Energy Development Board (AEDB) and the World Bank in Islamabad.

According to the World Bank, Pakistan is now part of a small group comprising mainly developed countries with access to sustainable and affordable sources of indigenous energy.

"With the costs of solar power having decreased significantly over the past couple of years, Pakistan now has the opportunity to unleash investment in solar energy without the need for subsidies," said Anthony Cholst, Acting Country Director for the World Bank, Pakistan.

"The World Bank stands ready to support the federal and provincial governments in realising this objective, alongside the support we are already providing for development of hydro-power sector reform and the strengthening of the transmission grid. It is time to realize the full potential of this clean and secure source of energy," he added.

"These new solar maps will definitely ensure qualified improvement vis-a-vis previous studies, and will underscore the tremendous solar potential that exists across Pakistan," said Amjad Ali Awan, Chief Executive Officer of AEDB.

Awan also appreciated the World Bank for its "valuable contribution" to Pakistan's "continued efforts towards scaling up of renewable energy in an affordable and sustainable manner."

Details of solar mapping project
Led by the Energy Sector Management Assistance Program, a multi-donor trust fund administered by the World Bank, the initiative will "facilitate investors in making more informed project decisions".

"The maps will help large solar power projects in obtaining commercial financing by reducing the resource risk," the press release further said.

The World Bank project on solar mapping in Pakistan includes field data being generated by nine solar measurement stations installed two years ago across the country.

"The project supports AEDB’s efforts to harness renewable energy in all the provinces by improving access to bankable data," the World Bank statement said. "The solar maps used the latest solar resource modeling techniques, based on 18 years of satellite and global atmospheric data from 1999-2016."

Riaz Haq said...

The arrival of clean energy in Pakistan

Clean energy is ramping up in Pakistan. Solar PV and LED lighting solutions are fast becoming pervasive in both rural and urban areas with thousands of small businesses signing up for clean energy.

For consumers, it is only logical to move beyond intermittent grid electricity which has proven to be both expensive and unreliable.

As per the latest International Energy Agency Report for 2016, clean energy accounted for 70pc of total electricity generation investment, sidelining investments in fossil-fuel based generation by a wide margin.

Clean energy investments are led by wind power (37pc), solar PV (34pc) and hydropower (20pc).

Amongst countries, China leads the global investment in clean energy generation and continues to invest roughly more than double its investment in clean energy as compared to fossil fuel generation, followed by the European Union, the United States and Japan.

Pakistan has taken a different approach towards energy security. The CPEC has shifted the bulk of the new additions to coal and nuclear. Despite this, solar, wind and micro hydro have all taken off.

What is really encouraging is the use of solar PV by small and medium businesses amid unreliable and expensive grid electricity.

The electricity regular, Nepra, must be given full credit for setting the right sectoral tone by introducing Wheeling, Net Metering and Distributive Generation regulations, all in a short span of time.

Consumers have realised that it is grid energy which is intermittent and expensive and not clean energy.

At the grid level, consumers are unnecessarily penalised with surcharges and taxes which include tariff rationalisation surcharge, debt servicing surcharge, Neelum Jhelum surcharge, FED, sales tax and other fees.

Through all this, the cost of grid electricity is being pushed much higher despite low crude oil prices.

Circular debt, as per media reports, is once again hovering in the range of Rs450 billion and the only plausible way to pay it off is via levy of another surcharge. It has become a norm in the sector that those who pay are only asked to pay more for those who don’t pay at all.

Pakistan needs to understand the business case for clean energy — primarily the impact on jobs and increase in business productivity.

As a country, we too will be adding roughly 1,000MW of clean energy (wind, solar and bagasse) in the next two years but will be adding substantially more from coal and nuclear power.

The government needs to realise that the tide has shifted. The old notions that clean energy is expensive and intermittent no longer holds true.

With changing times, incentives must be provided to help scale clean energy, provide it with the right eco-system, along with regulations to help consumers shift to improved technologies.

Now is the time for Pakistan to truly embrace its clean energy potential, make an early transition and reap the benefits of higher business productivity and increased job creation.

Riaz Haq said...

Pakistan updates net metering scheme, unveils clean energy investment program

Pakistan has updated its 2015 net metering scheme to make it more user friendly. The Government of Punjab, meanwhile, has unveiled a new Access to Clean Energy Investment Program, aimed at installing over 20,000 solar PV rooftop systems.

Pakistan has updated its net metering guidelines. Prime Minister Shahid Khaqan Abbasi officially launched the changes at a ceremony in Islamabad on January 3.

Overall, the framework is said to have been simplified, while net metering connections can now be gained in less than one month.

According to a statement on the Ministry of Information, Broadcasting & National Heritage Government of Pakistan website, Khaqan said issues of service and equipment quality had also been addressed.

He added that the key challenge now is to make the system “more efficient and reduce the cost of generation,” of which net metering is part of the plan.

Pakistan first introduced a net metering scheme on September 1, 2015. According to Net Metering Pakistan, as of last March 20, the Islamabad Electric Supply Company (IESCO) had connected 56 net metering systems and imported nearly 6 MWh of electricity.

Reducing the burden

The Government of Punjab is also looking to up the solar ante, having introduced The Access to Clean Energy Investment Program, aimed at reducing burden on the National Grid and improving environmental conditions through the implementation of off-grid, decentralized energy solutions.

It is looking to install solar PV rooftop systems on all basic health units (2,400), schools (20,000) and public buildings in the province.

In a document calling for expressions of interest (EOI), the government adds, “The program also includes conducting the energy efficiency audits on the public sector building, construction of a model net zero building and establishment of IT based Program Performance Monitoring System.”

Among the conditions required for project developers, are the criteria that they have completed at least two similar projects within the last 10 years, and have an annual turnover of Rs. 30.00 Million (around US$270,800) or higher.

To fund the program, the government has asked the Asian Development Bank for support to the tune of $87.69 million, which was already approved in November 2016.

“The ADB will support broader GoPb provincial government program for providing uninterrupted access to affordable and clean energy, as set out in the respective power sector master plan,” said the government.

Overall, two phases have been envisaged for implementing the plan: (i) solar PV rooftop systems on 10,861 schools in South Punjab; and (ii) systems on another around 9,700 schools in Northern and Central Punjab.

“The installed solar plants will provide electricity to more than 2.4 million students, including 30% girl’s schools,” said the government.

In addition, a 2.5 MW PV system will be installed at the Islamia University Bahawalpur in 
Punjab by Punjab Energy Efficiency and Conservation Agency (PEECA). And 2,400 basic healthcare units will receive solar PV rooftop installations.

According to Bloomberg New Energy Finance (BNEF), Pakistan will see PV installations increase 46% in 2017, up from 700 MW in 2016, to 1.020 GW.

Riaz Haq said...

Tea, haircuts and fish bones in off-grid #villages: Letting the #solar light into #Pakistan. #renewables

Nizam Bijli installs pay-as-you-go solar systems in homes and businesses, where customers pay 2,000 Pakistani rupees ($18) a month over 16 months for three bulbs, one fan and two USB slots to charge their mobile phones.


“Now I can eat fish and not worry about bones getting stuck in my throat,” Mohammad told the Thomson Reuters Foundation, describing how he enjoys a well-lit evening meal since his son, Ghulam Nabi, installed solar bulbs in his home three months ago.

For nearly a decade, chronic power shortages have hobbled Pakistan’s economy, leaving 144 million people without electricity or enduring lengthy blackouts, the World Bank says.

Globally, more than one billion people, or one in seven, lacked access to electricity in 2014 and many more suffer from poor supply, which keeps them trapped in poverty, reliant on wood, candles and kerosene, experts say.

These numbers may be grim but young entrepreneurs like Saad Ahmad see this as huge growth potential in Pakistan, which generates only two-thirds of its energy needs.

“There is massive opportunity for business,” said Ahmad, 26, chief executive of solar energy supplier Nizam Bijli, which has powered 1,300 homes since it started in 2016 and hopes to reach 1 million people by 2020.

“There is room for many companies to make a difference in the lives of these communities.”

“Now I can eat fish and not worry about bones getting stuck in my throat,” Mohammad told the Thomson Reuters Foundation, describing how he enjoys a well-lit evening meal since his son, Ghulam Nabi, installed solar bulbs in his home three months ago.

“There is massive opportunity for business,” said Ahmad, 26, chief executive of solar energy supplier Nizam Bijli, which has powered 1,300 homes since it started in 2016 and hopes to reach 1 million people by 2020.

“There is room for many companies to make a difference in the lives of these communities.”

A similar ‘off-grid revolution’ is afoot across Africa due to fast-dropping costs and plenty of sun.

Currently only four percent of Pakistani households tap into solar power due to lack of awareness, limited supply chains and a shortage of consumer financing for relatively high up-front costs, according to the World Bank.

Nizam Bijli installs pay-as-you-go solar systems in homes and businesses, where customers pay 2,000 Pakistani rupees ($18) a month over 16 months for three bulbs, one fan and two USB slots to charge their mobile phones.

Ahmad believes this is affordable as families spend a similar amount on kerosene and charging mobile phones in nearby towns. The average income in Pakistan is about $1,450, according to World Bank data.

Ahmad is certain the only way out of Pakistan’s energy crisis is to bypass the grid and leapfrog straight into low-carbon sources like wind and solar.

“The whopping costs associated with grid extension (and) low electricity consumption by rural communities dispersed over large swathes presents a barrier to investment,” he said.

Pakistan already has one major solar park in the eastern province of Punjab, built with Chinese investment. Meanwhile, the parliament in Islamabad switched to solar energy in 2016 and sells excess energy it produces back to the grid.

Allah Dino’s barber shop in Khorwah, 180 km (110 miles) east of Pakistan’s largest city, Karachi, is connected to the grid.

But intermittent power had forced him to close by sunset. Now he has solar, his business is open until close to midnight.

“There is never an idle moment and my men now work in shifts,” Dino said.

Next door in Bhittai roadside restaurant, solar has also been good for Mohammad Azeem. It allows truckers to stop by throughout the night to drink his tea, brewed on wooden stoves.

Riaz Haq said...

Special instruction issued for promotion of Solar Energy, Net-Metering

Power Division has issued special instructions to all DISCOs for promoting and further easing installation of net-metering in order to provide opportunity to all electricity consumers to curtail their monthly electricity bills besides optimal utilization of solar potential of the country.

The instructions were issued on Friday during one-point agenda on net-metering meeting of Central Power Purchasing Agency (CPPA).

As per the latest instructions, all the DISCOs have been directed to establish one window for interested net-metering electricity consumers. The appointment of focal persons will in this regard be ensured besides their active engagement on targets assigned by the Power Division.

Each officer at operational level will be assigned targets of net-metering which will be properly monitored. These targets and their results will count for greater points during their assessment for promotion and other benefits.

All the DISCOs are further directed to ensure proper briefing of consumers during open katcheris by the respective Superintending Engineers, XEN and SDOs.

All the DISCOs will also run a comprehensive awareness campaign for educating the consumers regarding benefits of net-metering.

The meeting while emphasizing the importance of net-metering in order to tap the solar energy potential of the country, also underscored the need to extend all out facilitation to the consumers by the DISCOs.

It was noted that although the rules and regulation for net-metering are adequate, however, the practical steps taken by DISCOs are not enough to promote it in order to fully and optimally utilize the potential.

It was further directed to strictly monitor all targets in this regard.

Earlier, the meeting was informed that a total of around 900 MW solar panels have been imported in the country. There are 1,190 electricity consumers with a cumulative capacity of 26MW who have installed net-metering so far.

Riaz Haq said...

State Bank of #Pakistan goes green, expands #renewable energy financing scheme under Category II for customers and Category III for vendors. The SBP has also launched a Shariah-compliant version of the scheme. #solar #wind - Profit by Pakistan Today

In an attempt to encourage clean energy in the country, the State Bank of Pakistan (SBP) has enhanced the scope of its Refinance Scheme for Renewable Energy, according to a statement issued on Wednesday.

The scheme allows financing under category III to solar and wind-based energy sale companies. After feedback received from stakeholders, the size of the project established by the vendor, supplier, or energy sale company has been increased from 1MW to 5MW. The cumulative financing limit has also been increased from Rs1 billion to Rs2 billion.

“This revision in the scheme is expected to not only attract fresh local and foreign investment in the sector but also facilitate production of clean energy in the country, helping in managing climate change,” the SBP said.

The SBP Financing Scheme for Renewable Energy was announced in June 2016, with an aim to help address the challenges of energy shortages and climate change in the country.

Initially, the scheme had two categories. Category 1 allowed financing for setting up of renewable energy power projects, with the capacity ranging from 1MW to 50MW for own use or selling of electricity to the national grid, or combination of both.

Category II allowed financing to domestic, agriculture, commercial and industrial borrowers to install renewable energy-based projects of up to 1MW to generate electricity for own use or selling to the grid and distribution company under net metering.

Later, in July 2019, the SBP introduced Category III for facilitating financing to vendors and suppliers to install wind and solar systems of up to 1MW. The SBP also launched a Shariah-compliant version of the scheme in August 2019.

Since the introduction of the scheme, total outstanding financing under the scheme has reached Rs15.6 billion for 217 projects. This has the potential of adding 292MW to energy supply.

Riaz Haq said...

Jeremy Higgs

Net-metering installations by quarter in Pakistan. Rocket


Over 16,000 (licenses issued)


Which DISCOs are processing the most net-metering applications? IESCO and LESCO.


Every generation licence is published on the NEPRA website. A bit of web scraping and PDF parsing to extract the data, lots of waiting, and out it pops!

Riaz Haq said...

PlaceTech | 7 exceptionally green buildings from around the world

Interloop Denim Factory
Interloop denim

Location | Kasur, Pakistan

Occupier | Interloop – clothing manufacturer

Use type | Factory

Rating | Platinum (85) – December 2020

Size | 574,229 sq ft

Notable features

Includes specialised rainwater harvesting pits to recycle ground water
More than 30% of the area is dedicated to greenspace, including a planned “urban forest” with 3,000 trees, which will be planted over five years
30% reduction in its carbon footprint by introducing by introducing solar panels and rice husk boiler

Riaz Haq said...

KARACHI: National Electric Power Regulatory Authority (NEPRA) issued 3,334 net metering licenses with total installed capacity of 56.86 megawatt under the net-metering regime during 2019-20, a report said.

Overall, a total of 3,361 generation licenses of cumulative 2,395MW for conventional power plants, renewable energy projects, hydropower projects and net metering were issued during the period under review, the official report said. During the last five years, ie fiscal year 2015-16 to fiscal year 2019-20, a total of 4,959 of net-metering licenses with total capacity of 86.36MW have been issued under the net-metering regime.

Lahore Electric Supply Company (LESCO) issued 886 new metering licenses for a capacity of 14.98MW. Islamabad Electric Supply Company (IESCO) issued 863 licenses for 9.99MW distributed generation. K-Electric Limited awarded 730 net metering licenses for a cumulative capacity of 12.24MW. Similarly, all electricity distribution companies facilitated the consumers opting for net metering and distributed generation.

Government through Alternate Energy Development Board (AEDB) has envisaged adding 5,000MW of solar-based generation by 2023 through net metering and other related initiatives.

Distributed alternate energy generation and net metering offer several advantages, including promotion of friendly environment, lessening burden on national grid, reducing grid investment, and community participation in power generation.

NEPRA is of the view that distributed generation facilities will result in optimum utilisation of renewable energy, which is currently untapped, resulting in pollution-free electric power. Solar is an indigenous resource and such resources should be given preference for energy security.

Riaz Haq said...

Bilal I Gilani
During July-Mar FY2022, a total of 10,783 net metering based systems of 196.77 MW
capacity were installed by different segments of consumers. As of 31st December, 2021, net-metering based solar installations had reached up to 17,950 with a
cumulative capacity of 305.79 MW.

Riaz Haq said...

Over 3,500 applications for Net-Metering pending in DISCOs

As many as 3,521 applications for Net-Metering are currently pending in all power distribution companies (DISCOs).

These applications were pending in various distribution companies including Islamabad Electric Supply Company, Lahore Electric Supply Company, Multan Electric Supply Company, Gujranwala Electric Supply Company, Sukkur and Hyderabad Electric Supply companies and Peshawar Electric Supply Company.

According to official of Power Division, all net metering applications are being facilitated as per National Electric Power Regulatory Authority (NEPRA’s) regulations and Alternative Energy Development Board (AEDB) guidelines which are already included in the standard operating procedures (SOPs) of DISCOs.

Power Division has also issued instructions to all DISCOs for timely processing of Net-Metering applications. Net metering connections are installed within the specified time period and no such delays or hurdles are created by DISCO.

A dedicated team of Market Implementation & Regulatory Affairs Department (MIRAD)/ concerned Superintending Engineer are closely monitoring the whole process of net metering connections in all DISCOs for timely execution. He said in order to facilitate consumers, DISCOs have allowed for self-purchase of Bi-Directional energy meters for net metering from approved manufactures. NNI

Riaz Haq said...

Pakistan issues tender for 600 MW of PV
The Pakistani authorities say that prospective developers must submit bids for a new 600 MW solar tender by May 8.

Pakistan's Alternative Energy Development Board (AEDB) has launched a tender to deploy 600 MW of PV capacity. It said the new solar projects will be built in the districts of Kot Addu and Muzaffargargh, Punjab province.

Selected developers will be expected to build the plants on a build, own, and operate transfer (BOOT) basis. They have until May 8 to submit project proposals. The deadline was originally set for April 17.

According to the latest statistics from the International Renewable Energy Agency (IRENA), Pakistan had 1,234 MW of installed PV capacity by the end of 2022. Last year, the nation newly installed 166 MW of solar capacity.

NEPRA, the country's energy authority, recently granted 12 generation licenses, with a total capacity of 211.42 MW. Nine of those approvals were granted to solar projects with a total capacity of 44.74 MW.

In May, NEPRA launched the Competitive Trading Bilateral Contract Market (CTBCM), a new model for Pakistan’s wholesale electricity market. The Central Power Purchasing Agency said the model will “introduce competition in the electricity market and provide an enabling environment where multiple sellers and buyers can trade electricity.”

Riaz Haq said...

Unilever Pakistan announces its partnership with K-Solar

LAHORE-Unilever Pakistan has announced its partnership with K-Solar, a subsidiary of KE, to transition its operations to solar energy in Rahim Yar Khan and Karachi. This initiative represents a significant step towards achieving Unilever’s ambitious sustainability goals, including net zero emissions in its operations by 2039. Simultaneously, the firm will shed close to PKR 84 million a year in energy costs, facilitating the local economy by considerably reducing the strain on the national grid collectively generating approx. 2.3 million Kwh through renewable sources.

Unilever Pakistan’s Solar Captive Power Plant Phase 2 installation demonstrates their dedication to renewable energy solutions, leading to significant savings and CO2 reductions. At Futehally Chemicals Limited (FCL), the factory that manufactures Surf Excel for Unilever, the 362 kW system will save 496,035 kWh annually, reducing costs by approximately 18 million PKR and CO2 emissions by 233 metric tons. The 1000 kW installation at Rahim Yar Khan Factory will save 1,430,886 kWh, saving approximately 53 million PKR and a CO2 reduction of 662 metric tons per year. The 250 kW system at Rahim Yar Khan Estate will save 357,721 kWh, resulting in cost savings of 13 million PKR and a CO2 reduction of 165 metric tons annually. Unilever Pakistan’s investment in these projects reinforces their commitment to sustainability.

While Unilever’s own factories, offices, research labs, data centers, warehouses, and distribution centers account for only 2% of its total greenhouse gas footprint, the company acknowledges the significance of these emissions and is committed to eliminating them entirely. Abdul Hannan Ahmed Khan, Head of Supply Chain at Unilever Pakistan, expressed his enthusiasm for this collaboration, stating, “Unilever Pakistan is deeply committed to sustainable practices and minimizing our impact on the environment. This solar project is a testament to our dedication to combat climate change and create a brighter, cleaner future. By investing in renewable energy, we are not only reducing our carbon emissions but also driving positive change in the communities we operate in.”

Hashim Raza, CEO of K-Solar, emphasized the significance of joint efforts in realizing a sustainable energy future. He stated, “We are thrilled to partner with Unilever Pakistan on this journey. By combining Unilever’s leadership in sustainability and K-Solar’s expertise in renewable energy solutions, we are confident that we can make a substantial impact in reducing carbon emissions and promoting the use of clean energy sources.”