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Alternative Energy Development Board - AEDB & PPIB
Alternative energy development board commonly known as the AEDB is a government department which is merge with Private Power & infrastructure Board (PPIB). AEDB (old name) PPIB is operating under the Ministry of Energy-Power Division since 1994 to promote private investment in power sector. Solar company registration with AEDB or PPIB is technical process which required expert consultant and we are providing complete solutions.
AEDB was established in 2003 to promote renewable energy in Pakistan. The administrative management was transferred to Ministry of Water and Power back in 2006. The main responsibilities of AEDB was to operate, regulate and promote the development of renewable energy projects in Pakistan. Alternative Energy Development Board was only Federal Government department that regulate renewable energy like solar energy, wind energy and biogas energy etc, in Pakistan. Solar energy is more common and famous in Pakistan for small and medium level power generation. Solar projects equipment’s import and installation required a registered company from AEDB (previous) PPIB. AEDB solar company registration in Pakistan is difficult and lengthy process that we will describe here step by step.
Allah blessed Pakistan with many blessings and sunlight is one of them. We have more the enough sunlight around the year in all over Pakistan, which is best for generation of solar energy. We can generate billion of kilowatts to add in our clean electricity system. A solar system convert sunlight into electricity, there are many types of system used to meet our requirements. These are types we use for solar system.
- Off grid solar system operating with batteries.
- On grid solar system operating with Net metering
- Hybrid solar system operating with Net metering, batteries and gasoline power generator.
We will discuss about Net metering system. Because to install a net metering system we required AEDB registered companies. Registering a company with AEDB is quite possible if we fulfil prerequisite requirements as given below.
- Company registration documents
- Tax registration (NTN, GST, Provincial Tax Certificate)
- PEC valid license with solar code
- Documentation as per NEPRA SRO 2015
- Relevant experience
- Engineering staff
- Bank guarantee etc.
Why AEDB Registration is Required:
Solar system equipment’s import and installation required AEDB registered vendors for renewable system including wind and biogas systems etc.
Companies and individuals can go for off grid installation of small projects on domestic and commercial level. Now adays there is on grid system is popular instead of off grid system in Pakistan. Off grid system involve batteries which are most expensive and the life cycle is short. In short companies without AEDB certifications are not eligible for on grid system installation in Pakistan.
Companies going to provide solar, wind, biogas system installation for government, private and domestic sector than AEDB certifications is mandatory for installation and net metering of on grid system. Companies are not allowed to install on grid system without a valid registration certificate. In on grid system we sale excess of energy to WAPDA.
What is Net Metering and How It Works:
Net Metering term used in energy generation system. Net metering is billing mechanism that allows owner of solar or wind energy to add excess energy in the grid and the distribution company will pay or charge on base of net metering. In net metering we can record incoming and outgoing energy premises to or from grid.
Solar system can generate energy only in the presence of sunlight. Day time we can sale excess energy to grid and at night we can buy energy from grid.
Advantage of AEDB Registration:
There are many benefits of AEDB registration, some of them are below.
- Eligibility for On-Grid Net-Metering system installation
- Eligibility for bank leasing
- Eligibility for bank letter of credit (LC) to import solar energy equipment from abroad.
- Business Development
- Less competition in market
- Can win trust of the clients
- Reputable name in the market
- Can participate in Government projects
- Can participate in all mega projects
- can enjoy direct import to beat the price in market
AEDB Certificate Registration Validity:
As per 2017 regulations AEDB certificate registration was valid for one year. In previous years registration was very difficult so as per new instruction from Prime Minister of Pakistan for ease of business AEDB modify the regulations in 2021.
As per AEDB Regulations of 2021, certificate is valid for 3 years from the date of issuance.
Disadvantage of this new policy is huge certification fee that we have to pay in advance, also as per new policy fee will increase 5% per year.
Requirements for AEDB Solar Company Registration:
There are many requirements for registration important are below;
- Company registration documents
- NTN certificate of the company
- GST registration
- PRA, KPRA, BR-A, and SRB registration
- Valid PEC license with solar codes
- Particulars of installed projects
- Bank guarantee
- Company profile
For complete details you can contact us on
AEDB Solar Company Registration Cost:
For registration of solar company in any category following budget is required
Limit per Project
Up to 250 KW
Up to 500 KW
The above table shows the complete cost of registration if PEC registration is completed by client. Additional PKR 500,000/- Bank Guarantee for 4 years needs to be provide by client. Click for AEDB fee structure for 2023.
AEDB Fee Structure:
AEDB has two types of fees one is the file processing fee which we have to provide along with documents and the other one is license fee which we need to pay after getting the approval.
C1 License fee
C2 License fee
C3 License fee
Duration for AEDB Registration:
Duration of AEDB registration totally depends on the completion of the file of complete documents. If all documents are completed and attested then after submission of the proposal it may take 4 to 5 weeks. Time duration depends on the expertise of legal advisor or consultants.
List of AEDB Registered Vendors/Companies:
This list is on the base of June 2023.
AEDB Registration in any category:
If you are looking for AEDB registration of your company then you are on the right track.
AEDB registration will increase the opportunity to enhance your business. We will boost registration process accurately and effetely. We are providing best services for AEDB registration. These following benefit you can enjoy.
- Accurate filing without any mistake so AEDB will not issue objection on file.
- Registration process will be done on agreed time limit.
- You will be eligible for mega projects from Government, semi-Government and private sector.
- Eligible for Bank LC to import the equipment.
- Eligible for bank leasing and Net metering.
- Eligible for bank vendors list of Net metering projects
AEDB Registration office Location:
AEDB registration office is located in OPF building G-5 sector Islamabad, the Capital of Pakistan.
Frequently Asked Questions-FAQ?
What is the business age requirement for AEDB registration?
There is no such business age limits from AEDB. Any old or fresh business can be registered with AEDB, as long as if you fulfil other requirements from AEDB.
What is the amount of bank guarantee and what is the duration?
The amount required for AEDB bank guarantee is PKR 500,000/-. The time period of the BG is 4 years from the date of issuance. At the renewal of AEDB certificate need extension leter from the bank for existing bank guarantee.
How much time required to register a company with AEDB?
If you hire a professional consultant then registration will be done in 4-5 week.
Who is final approving authority for AEDB registration?
Secretory of Private Power & Infrastructure Board (PPIB) has the final authority to issue the certificate to eligible company.
What is the validity period of AEDB certificate?
AEDB certificate is valid for 3 years from the date of issuance. Initially AEDB issue certificate as per the validity date of PEC license, once we submit the PEC license with new validity date then AEDB will issue new certificate with extended date.
Is it possible to up grade or down grade category in AEDB?
AEDB doesn’t entertain up-gradation or down-gradation in any category. For up-gradation or down-gradation we have to initiate process from the scratch.
Is AEDB bank guarantee refundable?
Yes AEDB bank guarantee is refundable after one month of certificate expiry if there is no objection or claim on certified installer.
Is SECP registration mandatory for AEDB registration?
SECP registration is not mandatory for AEDB registration as long as if you fulfil all other requirements. If someone required to register a company in higher category in PEC then its mandatory from PEC.
What are the PEC codes required to complete the AEDB solar registration?
To obtain AEDB solar certificate you have to get following codes
- Electrical Engineers – EE-11 code for solar energy.
- Mechanical Engineers – ME-07 for Solar energy
Is it possible AEDB registration in higher category like C-1 with no limits?
Yes it’s possible to register a company in No Limits category if you have PEC registration in C-3 or higher category.
AEDB registration category effect the capacity on importing the equipment?
No, if you are importer/exporter and want to import the solar energy equipment then you need on AEDB registration only. You are eligible to import any capacity from manufacturer.
Which PEC category required for AEDB registration in C1, C2 and C3 category?
Pakistan Engineering Council PEC registration is mandatory for AEDB before applying for registration. PEC different categories are required for different AEDB categories as following.
- AEDB C3 for up to 250KW required minimum C6 category in PEC.
- AEDB C2 for up to 500KW required minimum C5 category in PEC.
- AEDB C1 for No limit or 1MW required minimum C3 category in PEC.
How many categories are for AEDB registration and what are the limits?
To become AEDB certified installer there is 3 categories with different capacity of one project as following.
- C3 – Up to 250 KW for each project.
- C2 – Up to 500 KW for each project.
- C1 – No limit for each project but there is 1MW limit from DESCONs for Net Metering.
What is PPIB?
PPIB stand for Private Power & Infrastructure Board. PPIB is a Government department which work under the Ministry of Energy- Power Division. Responsibility of PPIB is operate, regulate and promote private energy projects. Solar energy regulating department also merged with PPIB in 2023.