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32% of Pakistan’s Energy Now Solar: Cutting Grid Dependence

As electricity demand drops and solar panels multiply, Pakistan’s energy landscape is quietly transforming, offering households and industries a buffer against soaring prices and global shocks.

3 mins read
More than 100 young Pakistani women from across the country have been trained in and certified in solar roof installation

Energy expert Vaqar Zakaria is living proof that solar power can change the economics of everyday life. For over five years, his rooftop panels in Islamabad have slashed his electricity bills, sometimes down to zero, while allowing him to sell surplus power back to the grid through net metering. Last month, Zakaria took his experiment further. After buying two electric vehicles (EVs), he has almost “declared independence” from the national grid, running his home and cars entirely on sunlight.

“I am moving away from their fuel, and I don’t need their power,” said Zakaria, CEO of Hagler Bailly Pakistan, in a phone interview from Islamabad. “I call it the hand of God driving my car.”

The economic benefits are substantial. Zakaria calculates that the electricity he generates, including battery costs, comes to around Rs 12 (USD 0.043) per unit, compared to the Rs 26 (USD 0.092) per unit it could be sold to the Islamabad Electric Supply Company. The cost of running his EVs is equally striking: Rs 2 (USD 0.0071) per kilometer using his home-generated power, compared with Rs 27 (USD 0.096) per kilometer for petrol-powered vehicles. Maintenance costs for EVs are minimal, requiring little more than routine checks, unlike conventional vehicles that demand regular oil changes, filter replacements, and brake work.

Yet while Zakaria can afford to go entirely off-grid, most Pakistani households cannot. “The solar landscape will remain unchanged unless power companies introduce profit-sharing models that turn consumers into ‘prosumers’—both producers and users of energy—supported by microfinance to help cover upfront costs,” he said, emphasizing that privatization of utilities would be key to scaling solar adoption.

Despite these challenges, solar power is steadily gaining ground across Pakistan. Rabia Babar, data manager at Renewables First, a local energy think tank, noted that electricity drawn from the national grid fell 11 percent in fiscal year 2025 compared to 2022, largely due to increased adoption of solar systems in homes and businesses. “During the day, far less electricity is being drawn from the grid, which means gas-fired power plants are being used much less than before,” she said.

This growth has also created economic opportunities, especially for women. More than 100 young Pakistani women have been trained and certified in solar roof installation by LADIESFUND Energy Pvt Ltd through Dawood Global Foundation’s Educate a Girl program. These trainees have installed solar panels on a women’s shelter, a church, and an orphanage, demonstrating how renewable energy can empower communities while building skills and livelihoods.

The surge in solar adoption accelerated after 2022, when global LNG prices spiked following the war in Ukraine. Haneea Isaad, an energy finance specialist at the Institute for Energy Economics and Financial Analysis, described the period as a turning point. Households and businesses, facing unpredictable electricity costs, began investing in solar panels as a one-time solution to avoid recurring high bills.

According to EMBER, an independent clean energy think tank, solar’s share in Pakistan’s energy mix has risen from 2.9 percent in 2020 to 32.3 percent by the end of 2025. Analysts warn that this quiet revolution is not only reducing domestic reliance on the national grid but also serving as a strategic buffer against global energy shocks. Renewables First and the Centre for Research on Energy and Clean Air note that disruptions caused by the U.S.-Israel conflict with Iran, including the temporary closure of the Strait of Hormuz, could have severely impacted Pakistan’s energy security. Instead, solar growth has mitigated these risks.

Economic savings are already significant. Pakistan has avoided more than USD 12 billion in oil and gas imports since 2020, with potential additional savings of USD 6.3 billion in 2026 alone if the trend continues. Industries are increasingly turning to solar, reducing their demand for LNG, while the government has renegotiated surplus LNG contracts for export.

Nevertheless, challenges remain. Rising global oil prices have affected transport and food costs, as households like that of Saba Nasreen, a 52-year-old domestic worker, can attest. “When fuel costs go up, food prices follow,” she said. With Eid ul-Fitr approaching, her family is already cutting back on traditional celebrations, reflecting the human cost of energy price volatility.

For Zakaria and other early adopters, solar power represents more than just savings. It is a path toward energy independence, lower environmental impact, and a more resilient economy. He advocates further adoption of EVs, expansion of renewables, and a shift from diesel-based freight to rail. These measures, he believes, are essential to reducing Pakistan’s dependence on imported fuel and insulating households from future energy shocks.

As reported by IPS News Service, Pakistan’s solar revolution demonstrates how targeted investment, innovation, and community engagement can reshape an energy system in crisis. While many households are still vulnerable, the country’s rapid growth in rooftop solar and battery storage offers a model of resilience in a region heavily exposed to global fuel market volatility.

Sri Lanka Guardian

The Sri Lanka Guardian is an online web portal founded in August 2007 by a group of concerned Sri Lankan citizens including journalists, activists, academics and retired civil servants. We are independent and non-profit. Email: editor@slguardian.org

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