Sri Lanka replaces net metering with feed-in tariffs for rooftop solar
Sri Lanka‘s Ministry of Energy has announced that distributed PV systems connected to the grid after March 5, 2026, will no longer operate under the country’s net-metering regime, which has now been discontinued for new connections. Instead, the systems will operate under the Net Plus mechanism.
The government said it has instructed electricity distribution licensees to reject new rooftop solar connections and extensions of existing agreements under the net-metering scheme.
New agreements and extensions under Net Plus will be limited to a maximum term of 12 years. Rooftop PV systems must also be equipped with smart meters that allow distribution licensees to remotely monitor generation and other system data.
The ministry said feed-in tariffs set by the Public Utilities Commission of Sri Lanka (PUCSL) will remain unchanged.
The tariffs, which took effect on Aug. 25, range from LKR 15.81 ($0.05)/kWh to LKR 23.11/kWh for new rooftop solar installations, depending on system size. Systems up to 10 kW receive LKR 23.11/kWh, while installations above 10 kW and up to 40 kW receive LKR 19.15/kWh. The rate falls to LKR 17.11/kWh for systems above 40 kW and up to 250 kW, and to LKR 15.81/kWh for installations above 250 kW.
PUCSL said the tariffs are valid until Feb. 24, 2027.
The regulator has also approved higher, time-dependent tariffs for projects incorporating battery energy storage. New rooftop solar-plus-storage systems can receive LKR 45.53/kWh during the prioritized feed-in period for the first 15 years and LKR 15.81/kWh during other periods.
The changes come as Sri Lanka’s rooftop solar market continues to expand rapidly. State-owned utility Ceylon Electricity Board (CEB) reported 1,935 MW of rooftop solar capacity across 108,979 connections at the end of 2025, up from 1,141 MW a year earlier. Rooftop solar generation reached 1,674 GWh in 2025, an increase of 93% year on year.
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