There’s a quiet revolution underway in Pakistan and it’s anything but small. Rooftops are shimmering and the national grid is facing a shakeup it’s never seen before. Welcome to the ‘Solar Rush’ in Pakistan, a moment in history when a nation, long haunted by energy insecurity, has decided to generate its own sunlight-powered destiny.
Let’s talk numbers first, because they’re staggering. As of mid-2025, solar energy contributed to over 25 per cent of utility-supplied electricity, making up 14 per cent of Pakistan’s power supply in 2024. Pakistan has now joined an exclusive global club of fewer than 20 countries to cross that threshold. With the total solar panel imports for the first nine months of fiscal year 2025 reaching over 10GW, Pakistan has surged to become a top solar destination. Netmetering installations hit 5.3GW by mid2025. This isn’t just growth, it’s a revolution.
This solar boom is about more than clean energy. It’s a testament to Pakistan’s resilience. In a country that has faced rolling blackouts, fuel cost spikes, and economic strain, millions have taken energy matters into their own hands. This isn’t a top-down transformation. It’s a bottom-up movement, driven by people. That’s powerful.
Initially, the federal budget proposed an 18 per cent GST on imported solar panels, igniting widespread concern. Industry stakeholders Experts warned it could derail adoption just as momentum was peaking, especially as 46 per cent of components are imported, while the remaining 54 per cent are locally sourced, including inverters already facing hefty taxation.
What followed was a textbook case in civic engagement. The Senate, parliamentary finance committees, industry stakeholders, activists, engineers, energy experts and consumers, stood their ground and after much debate the tax was reduced to 10 per cent, a compromise that preserved affordability while still giving the state a tool for revenue.
While many are celebrating, not everyone is winning equally. The solar boom is creating a class divide. Affluent households and businesses are going for solar at breakneck speed, slashing their bills, improving reliability and even selling power back to the grid. But the middle-class is vanishing for being largely left behind. They often lack roof rights, financing options or basic installation support.
This creates a sociotechnical schism: as high-usage customers disconnect from the grid or rely on it less, the cost burden shifts to remaining users, ironically, the ones who can least afford it. Without careful planning, solar could deepen inequality, creating a two-tier energy system: sun-powered elites and grid-bound strugglers. The social implications are profound: rural offgrid gains are positive, but gridtied equity and fair cost distribution demand urgent attention.
There’s another piece to this puzzle: the grid itself.
Pakistan’s electricity infrastructure wasn’t designed for decentralised generation. With thousands of users injecting excess solar energy into the system during daylight hours, the grid is under strain, especially during off-peak times and holidays.
This surge has prompted the government to revise net-metering buyback rates. While this disincentivises over-exporting, it also reflects a pressing need: the grid needs modernisation. That means smart inverters, flexible storage, dynamic pricing and upgraded substations.
So, where do we go from here? The answer lies in one word: localisation. Let’s walk the talk by turning this revolution into long-term, self-sustaining energy security.
For a resilient and self-sufficient solar industry, Pakistan must focus on developing end-to-end solar manufacturing ecosystems, encompassing PV cells, modules, inverters, and balance of system (BoS) components. This effort should be upheld by targeted incentives such as tax holidays, concessional financing and import duty exemptions on production machinery.
Simultaneously, structured support for domestic R&D, testing facilities and quality assurance systems will be essential to ensure global competitiveness. To accelerate industrial capacity, the government should actively facilitate technology transfer and joint ventures with global solar leaders, particularly Chinese firms, within Special Economic Zones (SEZs), enabling localised production of advanced PV technologies like PERC, TOPCon and thin-film modules, supporting innovation and job creation, anchoring skilled labour and industrial supply chains.
At the same time, the energy transition must be inclusive. Nationwide deployment programmes should prioritise underserved and marginalized populations, including urban tenants, small farmers and rural women, through models such as community solar, microgrids, shared rooftop systems and subsidised installations. To ensure equitable access, the government must roll out green microfinance schemes, zero-interest rooftop loans and flexible digital payment models tailored for lower-income households and SMEs.
Pakistan’s energy system needs more than a patchwork fix; it needs a smart reboot. Start by axing excess capacity through IPP contract renegotiations, slashing T&D and commercial losses, and tapping offshore wind to smooth the night-time duck curve. Then plug the gaps with battery energy storage. In 2024, Pakistan imported 1.25 GWh of BESS; keep that momentum and it could hit 8.75 GWh by 2030, enough to cover 26 per cent of peak demand.
South Africa offers a blueprint. Its Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) drove $17B in private investment, added 6,200MW, and cut millions of tonnes of CO2, all without handouts. The secret? De-risking, not subsidising. Pakistan should do the same: attract private sector to solar with support for smart inverters, hybrid charge controllers and lithium storage, especially in weak-grid regions.
To reduce import reliance, localise. Fast-track domestic production of BoS components with SME grants, reverse engineering, and open-source design banks. Invigorate South-South industrial partnerships to drive tech transfer and resilience. Meanwhile, update policies: enable battery-coupled net metering, introduce time-of-use pricing and roll out feed-in tariffs for community solar.
Skilling up is non-negotiable. A national solar workforce initiative, teaming TEVTA, NAVTTC and industry, should certify installers, EPCs, auditors and QA specialists.
Finance it all with a Solar Localization Fund, fueled by the existing 10 per cent GST on imports. Don’t see it as a tax, see it as a launchpad. It can serve as capital for a homegrown energy future. If we get it right, Pakistan doesn’t just ride the solar wave, it can build the surfboard.
A crucial but often overlooked challenge in the clean energy transition is solar panel waste. As highlighted by Yale Environment 360, only about 10 per cent of solar panels are currently recycled in the U.S. and EU. To ensure a truly sustainable future, we must prioritise developing efficient recycling mechanisms for solar technology. This requires targeted reforms, strategic investments and dedicated infrastructure to close the loop and make solar power not just clean, but also circular.
Pakistan’s solar revolution is nothing short of extraordinary, a story of resilience, ingenuity, and strategic hope. From overcoming energy crises to resisting punitive tariffs, our nation is pushing forward. Now, the challenge is channeling this solar boom into local jobs, equitable access, flexible grids and a self-reliant solar industry rooted in CPEC-enabled zones.
Doomism is a dead end; hope must lead the way. The world is entering a new era of clean energy; according to the International Renewable Energy Agency, over 90 per cent of renewable power projects are more cost-effective than fossil fuel alternatives, with solar energy 41 per cent less costly and onshore wind at less than half the price. This shift is fueled by rapid technological adoption, China’s focus on low-carbon manufacturing, and record-breaking global investment, $2 trillion last year, outpacing fossil fuels by $800 billion. As UN Secretary-General Antonio Guterres puts it: “Fossil fuels are running out of road. The sun is rising on a clean energy age.”
If we dare to act, turning this tax into seed capital, leveraging SEZs for local manufacturing, wiring strength into our grids, and bringing everyone into the light, Pakistan won’t just illuminate its homes. It will rise, bold and blazing, as a regional leader in solar and a beacon of energy justice. The story’s just beginning.
The writer is an environmental engineer and a researcher working in the energy sector.
