Pakistan looks to expand solar energy through local production, rural adoption 

ISLAMABAD: Pakistan is looking to strengthen its clean energy transition by encouraging local production of solar panels and tapping into rural demand, as experts and industry leaders call for policy support and infrastructure upgrades. 

Ali, CEO of Inverex, a local solar equipment company, expressed confidence that Chinese firms would soon enter joint ventures with Pakistani investors to set up solar panel manufacturing units within the country. He said such facilities could pave the way for at least five supporting industries, helping build a robust domestic clean energy supply chain. 

At a recent webinar, Dr Khalid Waleed, Research Associate at the Sustainable Development Policy Institute (SDPI), noted that Pakistan’s growing rooftop solar trend in urban areas presents a valuable opportunity to access international climate finance through carbon credits. As more households and businesses shift to solar energy, the country could monetise its emissions reductions on global platforms. 

Despite a total installed power generation capacity of over 45,000 megawatts (MW), Pakistan is able to deliver only about 27,000 MW to consumers due to an outdated and overloaded transmission system, said Tanveer Barry, former Vice President of the Karachi Chamber of Commerce and Industry (KCCI). This gap between capacity and supply continues to contribute to load-shedding and power reliability issues. 

Barry also pointed to the massive untapped potential of solar energy among Pakistan’s off-grid rural communities and agricultural regions. With millions of households still not connected to the national grid, solar power could serve as a practical and sustainable solution. 

According to the Business Recorder, industry stakeholders urged the government to create a favourable regulatory environment, improve transmission infrastructure, and incentivise local manufacturing to reduce reliance on imported equipment. They believe that building a solar ecosystem within Pakistan could generate jobs, cut power costs, and help meet national climate goals. 

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