SEPCO Net Metering Application Guide (Sukkur Electric Power Company)

Key Takeaways

• The core net metering procedure and fees are set nationally by NEPRA, not by SEPCO.
• The application fee for a distributed generation facility of 25 kW or less is Nil.
• Your solar system's capacity cannot exceed your sanctioned load, and SEPCO will not process applications if the local transformer is at 80% capacity.
• Electricity exports are compensated at the national average energy purchase price, while imports are billed at your applicable tariff.
• We read the NEPRA Prosumer Regulations 2026 (S.R.O. 251(I)/2026) and its amendments, along with NEPRA's SEPCO-specific records, on 26 August 2026.

Applying for Net Metering with SEPCO

Applying for net metering in the Sukkur Electric Power Company (SEPCO) service territory follows a national procedure established by the National Electric Power Regulatory Authority (NEPRA). This guide outlines the steps and requirements based on the NEPRA (Prosumer) Regulations, 2026, which came into force on February 9, 2026, as stated in S.R.O. 251(I)/2026.

What is Net Metering in SEPCO's Territory?

Net metering allows you, as a prosumer, to generate your own electricity, primarily from solar, and feed any excess back into SEPCO's grid. SEPCO, as a Distribution Company (DISCO), is responsible for distributing electric power within its service territory, which includes the Sukkur region. The framework for this arrangement is set by NEPRA, the regulatory body for Pakistan's power sector.

A "distributed generation facility" or "DG facility" is defined as a system set up by a prosumer using solar, wind, or biogas energy resources for electricity generation up to 1 MW. You are considered a "prosumer" once you have entered into an agreement with SEPCO for distributed generation.

Eligibility and Capacity Limits

To be eligible, you must be a 3-phase 400V or 11kV domestic, commercial, industrial, agricultural, general services consumer or a single point bulk supply consumer of SEPCO. The capacity of your proposed DG facility cannot exceed your premises' sanctioned load. NEPRA may revise this capacity at any time through a notification.

SEPCO will not entertain your application if the distributed generation capacity already connected to your particular distribution transformer has reached 80% of its rated capacity. This is a critical restriction that can affect the feasibility of your project.

Net Billing Arrangement

Under the NEPRA Prosumer Regulations 2026, net metering operates on a "net billing arrangement." At the end of each billing cycle, SEPCO will bill you for the electricity supplied to you at your applicable tariff. Conversely, the electricity you supply to SEPCO will be billed at the national average energy purchase price. If the amount you are owed for your exports exceeds the amount you owe SEPCO for imports, the net billed amount will be credited against your next billing cycle or paid to you quarterly by SEPCO. This is a change from previous regulations, as explained in our guide on [/pk/guides/systems/net-metering-vs-net-billing-pakistan-what-changed-feb-2026-master-explainer].

The National Net Metering Application Process

The application process for net metering with SEPCO is standardized across all DISCOs by NEPRA. The steps and timelines are mandated by the NEPRA Prosumer Regulations 2026.

1. Submit Your Application: You submit your application to SEPCO.
2. Completeness Check: Within five working days of receiving your application, SEPCO will acknowledge its receipt and inform you if it is complete.
3. Provide Missing Information: If any information or documents are missing, you must provide them to SEPCO within three working days of being informed.
4. Initial Review: SEPCO will complete an initial technical review of your proposed facility within fifteen working days.
5. Feasibility Outcome: If the initial review finds your facility technically unfeasible, SEPCO will return your application and communicate the reasons within three working days after the review's completion.
6. Sign Agreement: If feasible, you and SEPCO will enter into an agreement within seven working days after you fulfill all requirements.
7. Agreement to Authority: SEPCO will send a copy of the signed agreement to NEPRA within seven working days.
8. Connection Charge Estimate: Within seven working days of the agreement's execution, SEPCO will issue you a connection charge estimate.
9. Payment: You must make the payment for the connection charge estimate within seven working days of its issuance.
10. Installation and Commissioning: SEPCO will install and commission the proposed interconnection facility within fifteen working days of your payment.
11. Concurrence (if applicable): If your DG facility is above 25 kW, you must seek concurrence from NEPRA. NEPRA may accord concurrence within seven working days after receiving the requisite documents. For facilities of 25 kW or below, NEPRA's S.R.O. 1330(I)-2026, dated 06 August 2026, states that you are not required to seek concurrence from the Authority; SEPCO will accord its approval.
12. Commencement: Net metering arrangements commence upon the grant of approval by SEPCO or concurrence by NEPRA. If you fail to commence distributed generation within six months of concurrence, you will need to obtain fresh concurrence.

For a detailed explanation of the regulations, refer to our guide on [/pk/guides/systems/nepra-prosumer-regulations-2026-in-plain-urdu-english].

Required Documents and Fees

The specific documents required for your application will be detailed by SEPCO, but generally include technical specifications of your system and proof of eligibility.

Fees

The fees for net metering applications are set by NEPRA through S.R.O. 709, dated 28 April 2026, and are effective from 9 February 2026.

Other Costs

You are responsible for all costs associated with interconnection facilities up to the interconnection point, including metering installation. This also includes any costs reasonably incurred by SEPCO for providing, operating, or maintaining interconnection facilities and distribution system improvements required solely for your DG facility. If SEPCO does not have meters available, you may procure them directly, subject to testing by SEPCO before installation.

What is Set Nationally and What is Not

It is important to distinguish between rules set by NEPRA, which apply nationwide, and specifics related to SEPCO.

• National Rules (NEPRA): The entire application procedure, timelines, eligibility criteria for prosumers, DG facility capacity limits (up to 1 MW), the net billing arrangement (how exports and imports are valued), the term of agreement, and the application fees are all mandated by NEPRA's Prosumer Regulations 2026 and related S.R.O.s. This means that the core process you follow with SEPCO is the same as with any other DISCO, such as LESCO, as outlined in our guide on [/pk/guides/systems/lesco-net-metering-application-guide].
• SEPCO Specifics: SEPCO's role is to implement these national regulations within its service territory, which covers the Sukkur region. This includes processing your application, conducting technical feasibility studies, issuing connection charge estimates, and managing the physical interconnection. NEPRA also publishes SEPCO's specific tariff decisions and notifications, such as S.R.O 953(I)/2026 dated 08-06-2026 for periodic adjustment in tariff for Q1 CY 2026. NEPRA also records the specific concurrences granted to prosumers within SEPCO's area, such as Abdul Sami Memon (PC/2454/2026, dated 18-08-2026), Taj Petroleum Service @ Restaurant Kashmore (PC/2453/2026, dated 18-08-2026), and Haresh Kumar (PC/1932/2026, dated 04-08-2026).

What the Published Rules Do Not Tell You

While the NEPRA regulations provide a comprehensive framework, some details remain unaddressed in the publicly available documents for SEPCO:

• SEPCO's Net Metering Documents: SEPCO's official net metering page states "No NET Metering Documents". This means you will primarily rely on the national NEPRA regulations for guidance.
• National Average Energy Purchase Price: The exact value of the "national average energy purchase price" at which SEPCO will purchase your excess electricity is not provided in the fetched documents. This figure is crucial for calculating the financial returns of your system.
• Other Costs: Beyond the NEPRA concurrence fee and SEPCO's connection charge estimate, the documents do not provide a comprehensive list of every other cost you might encounter, such as potential costs for distribution system upgrades if your installation requires them.

Metering and Billing

Your net metering setup requires equipment capable of accurately measuring electricity flow in two directions. This is typically a bi-directional meter. If two separate meters are used, the energy metering calculation must yield the same result as a single meter. Understanding your bi-directional bill is important, and you can find more information in our guide on [/pk/guides/systems/green-meter-reading-guide-understand-your-bidirectional-bill].

Safety Considerations

When installing or maintaining any electrical system, including a solar DG facility, safety is paramount. Always observe general electrical safety practices:

• Ensure all electrical cords are in good condition and avoid overloading outlets.
• Do not use electrical appliances near water.
• If a fuse blows or a circuit breaker trips, identify and correct the cause before resetting it.
• Always use appropriate personal protective equipment.
• In case of an electrical accident, always disconnect the power source first before touching anyone.
• If you notice warm outlets or switches, frequent fuse blowing, or flickering lights, consult a qualified electrician.

These general safety guidelines are derived from information provided by DISCOs like HESCO.