Net Metering

Net Metering for KE Customers

Net Metering is available for K-Electric Consumers under Net Metering (NM) regulation by NEPRA; (Alternative and Renewable Energy) Distributed Generation and Net Metering Regulations, 2015. In this regard, a dedicated department named Net Metering Facilitation Centre (NMFC) has been set up to facilitate our consumer.

 

Frequently Asked Questions

Net metering is a billing mechanism whereby KE consumers are given credit for the electricity they add to the grid generated through Solar or Wind Power.
Consumers generate electricity through solar/wind and generation from this system is more than what is required by the consumer. Without net metering, this excess generation goes to the grid unaccounted for and there is no benefit to the consumer. KE as the electric utility installs a bidirectional meter at the consumer’s premise which can record this excess generation and gives credit to the consumer on monthly bill.
When Generation License is issued from NEPRA then tariff of Net Metering Consumers is converted to DG which differentiate them from the regular consumer. DG stands for Distributed Generation and refer to small scale generation. DG consumers are given credit for the electricity they add on KE Grid.
The complete process takes a maximum of 88 days (excluding the time for estimate payment) as defined in NEPRA regulations for Distributed Generation and Net Metering Regulations, 2015.
Common reasons for Delay:

  • Incomplete Documentation
  • Discrepancy in survey
  • In case 15% of transformer capacity exceeds and simulation study is required
Eligibility criteria is as follows:

Connection Type 3 phase
Consumer Categories Residential, Commercial, Industrial, Bulk
Supply Voltage Level 400 V – 11 kV
Solar PV range 1 kW – 1000 kW
PV Maximum Limit 1.5 x Sanctioned Load
KE will install a new bi-directional meter at the consumer’s premise which is capable of recording both import and export of units.
Normal static meter has just one register that only registers units one way, therefore any units exported to the grid will result in excessive billing onto the consumer.

It is necessary to be a KE consumer to avail net metering facility, however a consumer can initiate a new connection request specifically mentioning the intent of applying for Net Metering connection in future. After that net metering facility can be availed by applying directly to NMFC.

Pre-qualification is a process whereby vendors are certified to process net metering connections. Only AEDB approved vendors will be allowed to install a net metering system. KE is not part of this pre-qualification process. KE will only allow vendors who are qualified by AEDB. Vendors can refer the AEDB’s website for information regarding the pre-qualification process.

Only AEDB approved vendors are eligible to install net metering facilities. The list of these vendors is available on AEDB’s website and can also be accessed via https://www.ke.com.pk/net-metering-vendors/

Under NEPRA’s Net Metering regulation, the eligible PV system sizes are in the range of 1 kW to 1000 kW. However, a consumer is not allowed to install Solar PV system sizes greater than 1.5 times of sanctioned load.
You will have to submit application through AEDB approved vendor to KE Net Metering Facilitation Center for extension of solar PV size. KE will evaluate the application and forward it to NEPRA for issuance of Generation License after which they may enhance the existing system.

In case it is found that any consumer has enhanced the system without prior intimation and GL issuance, the consumer will be liable to discontinuation of net metering service and appropriate legal action will be taken.

You need to inform KE about inverter replacement and KE will first verify the onsite installations and inverter functionality and then you’ll be able to use it.

During routine inspection, if found specification of PV system including inverter different from the one mentioned in GL then appropriate legal action will be taken against the connection. This may lead to disconnection of system.

Yes. KE can any time visit the DG after serving inspection notice to ensure system functionality as per technical standards and Generation License.
In case any discrepancy found during survey or any abnormal trend in import/export like:

  • PV system extension without getting the load extension license
  • Earthing system not working within the prescribed range
  • Inverter malfunctioning
  • Any other technical parameters that may hinder DISCO services or against the Generation License issued to DG by NEPRA

DISCO shall serve a notice to consumer to immediately disconnect its generation from utility system till the resolution of issue.
In case of illegal or uninformed extension of PV system, DISCO shall reserve the right to revert the entire sum of generated units during such period.

The total capacity of DG is restricted to a maximum of 15% of the distribution transformer capacity. This is to ensure voltage regulation in the network and will be enhanced as further network studies are completed. Net Metering connectivity exceeding 15% of the individual PMT / Feeder may only be allowed based on a detailed load flow study.
Only one net metering connection is allowed on one consumer number based on its sanctioned load. For separate meters, separate applications will be required.

It must also be ensured that the internal distribution system for each meter is separate.

Yes. Generation through Solar system can only be utilized at the premises where net metering connection is given. No third party can consume generation or avail benefits of reduced bills of that facility. If such arrangement is observed, KE shall immediately disconnect the premises followed by cancellation of DG license of the consumer and officially launch legal action against the vendor involved.
The electric grid is the system of electric distribution lines that electric distribution companies use to deliver electricity to their customers. If a consumer generates excess electricity, it is exported to the electric grid.
It is important to note that solar/wind systems to be installed by AEDB pre-qualified vendors. The list is available on both KE’s and AEDB’s websites. Vendor will be responsible for the designing of the system according to KE’s requirements while keeping in view specific consumer requirements.
The system needs to comply with the technical guidelines available on the internet. Make sure that the vendor is pre-qualified by AEDB, since it will be their responsibility to ensure compliance with all KE requirements.
KE will process applications received through AEDB (Alternative Energy Development Board) pre-qualified vendor only.Consumers are requested to ensure that the systems are installed by the enlisted vendors only.
Any consumer can discontinue this service by sending a 30-day written notice to KE Net Metering Facilitation Service.

Net Metering Service may be disconnected, and appropriate legal action may be taken against the consumer in case of following conditions:

  • If PV system is not in compliance with technical requirements
  • Extension of PV system as against the Generation license issuance
  • Change of inverter without informing KE
  • Theft of electricity
  • Distribution of Electricity to any other premises, or
  • Any other form of misconduct or illegal use of Net Metering connection

After disconnection, KE may also proceed for cancellation of Generation License through NEPRA. Furthermore, KE can discontinue the service on account of any routine maintenance on the network.

For Net Metering Consumers, currently there are no limits to the kWh exported back to the grid except for maximum allowed PV capacity i.e 1.5 x Sanctioned load.
Only AEDB qualified vendors are eligible for the processing of net-metering applications. The list can be viewed atwww.aedb.org/index.php/ae-technologies/biomass-waste-to-energy/268-list-of-provisionally-approved-applicants-for-net-metering-under-aedb-certification-regulation-2017.
Yes, provided you are a 3 phase consumer and rooftop space available under your ownership.
Currently there is no such list. Kindly get in touch with an AEDB pre-qualified vendors to install a net metering system. They will be responsible to ensure compliance with all requirements and your application processing.
While applying for net metering, both the applicant name in the forms and the name on the KE bill should be same. The consumer should initiate the Change of Name process at the concerned IBC and submit the net metering application at the facilitation center after the name on the bill is updated.
If there is a negative balance for three consecutive months, the consumer can opt for reimbursement. The consumer can initiate the process through written application or directly via email at netmetering@ke.com.pk, requesting refund process and cheque will be issued with the consumer name as beneficiary.
You can apply for Net Metering Connection on behalf of the owner; however the application will be submitted and connection will be provided in the name of the owner appearing on K-Electric Bill.
The application will be submitted with the Company name, signed by an authorized person at the company. Following additional documents will be required:

  1. In case the name of the person is in Form 29 of the companies and he/she is CEO of the company, the person can directly sign application for the company.
  2. In case the name of the person is in Form 29 of the companies and he/she is not CEO of the company, authorization letter on company letterhead from the CEO, or any other authority in the company, will be required along with a proof of the signing the authority (Form 29)
  3. In case the name of the person is not in the Form 29: Authorization letter on company letterhead from the CEO, or any other authority in the company, will be required along with a proof of the signing the authority (Form 29)

Form 29 must be attached with the application.

Yes, for consumers who do not have ToU (Time of Use or Time of Day) based billing, the current Net Metering mechanism is only an interim solution. Once ToU will be implemented, Net Metering will be processed under the new regime.
Currently, only ISKRAEMECO MT382 meters are used for Net Metering. Other meters are not used for Net Metering purposes.
No, if an AMR Smart Meters is installed, meter change is not required, and neither will the consumer be charged for it. Once the Generation License is received, Net Metering will be initiated.
Once your GL is received and meter installation is completed then tariff will be converted in next billing cycle and automatic billing will be started. Till such time, manual benefit will be given.
As per NEPRA regulation, consumer (DG) will be responsible for any cost incurred by KE in providing, operating, or maintaining interconnection point.
Consumer is billed for the gross unit sales by KE to consumer (which is your consumption from KE), all taxes etc. are applied on this unit. The consumer sales to KE (which is your export) is credited in the consumer’s bill at the prevailing tariff rate. However, following additional aspects need to be considered:

  1. Taxation:
    1. For sales by KE to consumer: Taxes are applied on the gross units.
    2. For sales by consumer to KE:
      1. Residential: No Taxes
      2. Commercial & Industrial: GST will be charged as per applicable category. Income tax will be deducted.
  2. Sales by Consumer to KE:
    1. If unit sales by consumer is lower than sale by KE to consumer:
      1. Same rate/logic as of consumption from KE will be applied on the exported amount
    2. If unit sales by consumer is higher than sale by KE to consumer:
      1. On sales in excess of consumption units i.e. Units exported by consumer above the units consumed: Pre-determined National Average Purchase notified by NEPRA (National Electric Power Regulatory Authority) price will be applied
The AMR (bi-directional Smart meter) installed on your premises is capable of recording imports and exports separately. The digital screen on the meter displays the information and the codes on the bottom left of the screen describe what the numbers refer to:

To simplify these two codes are required by the consumer
1.8.0 -> Total Energy Consumed &
2.8.0 -> Total Energy Exported by the consumer
These two codes are automatically displayed on the screen. Scroll button should not on the meter. The consumer will have to wait for these two codes to be displayed on the meter screen.

The units exported by the consumer is mentioned as ‘Import Energy Off Peak’ and ‘Import Energy Peak’ and benefit of these units is displayed in the bill calculation area as “Net Metering Benefit”

Contact Us

If you have any further queries you can visit the KE Net Metering Facilitation Centre:

Address: Second Floor, Block – K,
Gate No. 6, Elander Complex,
Elander Road, Karachi.
Timing: 9:00 AM to 5:00 PM (weekdays)

You can also reach out to us via email at net.metering@ke.com.pk

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