Nepra issues show-cause notice to KE for net-metering violation

• Nepra initially directed KE to submit data by May 2024
• KE asked for an extension and did not meet the standards.
• The company says in close coordination with Nepra on the matter.

ISLAMABAD: The National Electricity Regulatory Authority (Nepra) has issued a show-cause notice to K-Electric (KE) for repeated failures to comply with guidelines regarding net metering applications, The News was mentioned.

The notice, issued on Wednesday, follows the JEC’s failure to provide complete data on rejected net-metering applications, which the JEC attributed to system overloads.

Nepra considers this to be a violation of its regulations and the Nepra Act.

The issue emerged after several reports that KE had rejected many net-metering requests, citing overloaded common distribution systems and Pole-Mounted Transformers (PMTs) as the reason.

Nepra initially asked KE to submit specific data on these discharges by May 2024, but the utility asked for an extension and failed to meet the compliance standards within the stipulated time frame.

Following an explanatory letter from Nepra in July, KE provided some information, stating that netmetering requests exceeding 80% of transformer capacity required upgrades at the requesters’ expense.

However, Nepra found KE’s submission unsatisfactory, noting that it did not meet the requirements for transparency and timely consumer access to net-metering services.

The Authority has now formally deemed the KE’s response inadequate, issuing the show cause notice under the Nepra fines regulations.

The notice compels KE to address the non-compliance and submit a comprehensive explanation of its actions in handling consumer applications for net-metering, a key program that supports the adoption of renewable energy in Pakistan.

In response, KE states that since the inception of the net metering policy it has successfully activated more than 18,000 connections and continues to do so as part of its ongoing efforts.

The power supplier maintains that it remains in close coordination with Nepra on the matter.