Pakistan has emerged as one of the world’s fastest-growing solar power markets, importing an astonishing 17 GW of panels . Solar now contributes roughly 25% of the nation’s utility electricity—an extraordinary feat for a developing economy.
Driven by rising electricity costs and unreliable fossil-fuel grids, households, farms, and businesses have installed panels — even offering farmers up to 80% savings on irrigation costs. This decentralized energy surge has drawn Pakistan into the upper ranks of solar adoption globally.
Yet this boom is being felt in national grid operations. With net‑metering allowing rooftop producers to sell excess power at high rates (Rs 27/unit), affluent customers are moving off‑grid, redistributing fixed network costs onto those who can’t afford solar.
Officials now propose slashing the feed-in tariff to Rs 10/unit and imposing a 10% solar‑panel import duty to prevent a “death spiral” — where cost shifts and grid underfunding spiral out of control.
Any policy misstep risks stalling clean energy growth, especially among lower-income groups that benefited most from solar adoption.
Analysts stress the need for inclusive solutions: promoting hybrid solar-plus-storage systems, promoting affordable financing, and upgrading grid infrastructure. The government also considers tapping new demand sources like EV chargers, data centers, and cryptocurrency mining to stabilize off‑peak grids.
Solar has transformed lives—but the country now faces a governance challenge: balancing clean energy adoption with sustainable, equitable management. Pakistan’s experience could serve as a model — or a warning — for other nations undergoing a renewable revolution.
