The National Electric Power Regulatory Authority (NEPRA) has rolled out two important regulatory measures aimed at improving governance and technical discipline in Pakistan’s power sector. Introduced through SRO 692(I)/2026 and SRO 936(I)/2026, these frameworks focus on stricter approval requirements for new power plants and clearer standards for connecting to the national grid.
A key highlight is the introduction of mandatory prior approval—referred to as “concurrence”—for all new generation projects. This means developers can no longer proceed with setting up power plants without first securing NEPRA’s clearance. The move is designed to ensure that projects are aligned with national energy needs and meet essential technical, financial, and environmental benchmarks from the outset.
Project sponsors must now submit comprehensive applications covering everything from engineering design and funding plans to environmental impact and safety considerations. Depending on the nature of the project, additional studies—such as geological or hydrological assessments—may also be required. After an initial review for completeness, applications are formally registered and opened to public feedback, adding a layer of transparency to the process.
NEPRA retains the authority to evaluate proposals based on demand forecasts, cost-effectiveness, environmental impact, and compatibility with the existing grid system. It can also request further information, hold hearings, or consult experts before reaching a decision. For hydropower projects in particular, the regulator will closely examine how developments may affect water resources, including irrigation, drinking supply, and flood control.
Another important feature of the new rules is the requirement for developers to seek fresh approval if they make significant changes to an already approved project, such as altering capacity or technology. Companies are also required to promptly report any changes in their corporate structure.
In parallel, NEPRA has introduced a second set of regulations focusing on grid connectivity. These technical standards apply to all large-scale power producers connected to the grid and are intended to ensure that new and existing plants operate without disrupting system stability.
Under these rules, generators must comply with established grid and distribution codes, submit detailed technical specifications, and formalize their connection agreements with network operators. The emphasis is on ensuring that every connected facility contributes to a stable, efficient, and reliable electricity system.
The regulator has also been given broader powers to issue guidelines, settle disputes, and enforce compliance through penalties where necessary. This is expected to bring greater consistency and accountability across the sector.
Taken together, these regulatory updates signal a shift toward more structured and transparent management of Pakistan’s power industry. By tightening approval processes and enforcing technical standards, NEPRA aims to support sustainable growth while minimizing risks to the national grid.