The Prague Post - Pakistan's quiet solar rush puts pressure on national grid

EUR -
AED 4.29936
AFN 72.582645
ALL 95.410717
AMD 434.785711
ANG 2.095399
AOA 1074.692681
ARS 1658.302981
AUD 1.631657
AWG 2.110168
AZN 1.989587
BAM 1.953921
BBD 2.363568
BDT 144.371202
BGN 1.952829
BHD 0.441655
BIF 3487.706503
BMD 1.170689
BND 1.494089
BOB 8.109273
BRL 5.834253
BSD 1.173502
BTN 110.474206
BWP 15.800147
BYN 3.295688
BYR 22945.514183
BZD 2.362609
CAD 1.596177
CDF 2721.853268
CHF 0.921915
CLF 0.026621
CLP 1047.72052
CNY 7.987791
CNH 7.998976
COP 4242.110469
CRC 533.189669
CUC 1.170689
CUP 31.023272
CVE 110.160033
CZK 24.3576
DJF 208.974447
DKK 7.472505
DOP 69.763228
DZD 155.117502
EGP 61.542094
ERN 17.560342
ETB 183.235168
FJD 2.571361
FKP 0.867326
GBP 0.865941
GEL 3.143328
GGP 0.867326
GHS 13.019594
GIP 0.867326
GMD 85.460037
GNF 10299.186338
GTQ 8.97149
GYD 245.516058
HKD 9.17206
HNL 31.187549
HRK 7.53385
HTG 153.644911
HUF 364.560324
IDR 20189.125757
ILS 3.493314
IMP 0.867326
INR 110.619971
IQD 1537.328578
IRR 1539456.691086
ISK 143.409305
JEP 0.867326
JMD 185.255851
JOD 0.830041
JPY 186.337506
KES 151.194722
KGS 102.354206
KHR 4696.524879
KMF 491.689706
KPW 1053.620543
KRW 1724.209067
KWD 0.36035
KYD 0.977964
KZT 537.635414
LAK 25715.716237
LBP 104566.906572
LKR 373.477319
LRD 215.335735
LSL 19.339937
LTL 3.456742
LVL 0.708138
LYD 7.444034
MAD 10.843867
MDL 20.313817
MGA 4877.41501
MKD 61.627339
MMK 2458.357802
MNT 4186.960132
MOP 9.473033
MRU 46.858151
MUR 54.764822
MVR 18.098345
MWK 2034.887114
MXN 20.363205
MYR 4.626567
MZN 74.807242
NAD 19.339689
NGN 1592.360354
NIO 43.188847
NOK 10.899825
NPR 176.758329
NZD 1.985589
OMR 0.450124
PAB 1.173482
PEN 4.091966
PGK 5.096144
PHP 71.520887
PKR 327.091316
PLN 4.250182
PYG 7393.018654
QAR 4.289713
RON 5.091336
RSD 117.390953
RUB 87.655034
RWF 1719.783326
SAR 4.390929
SBD 9.422392
SCR 16.781822
SDG 702.990133
SEK 10.828222
SGD 1.493279
SHP 0.874038
SLE 28.801112
SLL 24548.768964
SOS 670.66954
SRD 43.742826
STD 24230.909019
STN 24.476677
SVC 10.268172
SYP 129.390435
SZL 19.323917
THB 38.035308
TJS 11.022244
TMT 4.103267
TND 3.414047
TOP 2.81874
TRY 52.743036
TTD 7.968407
TWD 36.934115
TZS 3049.790172
UAH 51.755048
UGX 4365.839974
USD 1.170689
UYU 46.675724
UZS 14168.438976
VES 566.537003
VND 30845.912268
VUV 138.363261
WST 3.194234
XAF 655.34095
XAG 0.015896
XAU 0.000252
XCD 3.163847
XCG 2.114976
XDR 0.815034
XOF 655.343746
XPF 119.331742
YER 279.290871
ZAR 19.41489
ZMK 10537.60725
ZMW 22.204196
ZWL 376.961541
  • BCC

    -0.2900

    83.86

    -0.35%

  • CMSC

    -0.0900

    22.86

    -0.39%

  • RBGPF

    0.0000

    64

    0%

  • GSK

    -0.2200

    54.22

    -0.41%

  • AZN

    -2.2400

    187.51

    -1.19%

  • NGG

    -0.1900

    87.23

    -0.22%

  • BP

    -0.2800

    45.97

    -0.61%

  • BCE

    -0.3200

    23.56

    -1.36%

  • JRI

    -0.0600

    12.83

    -0.47%

  • BTI

    -0.7700

    57.32

    -1.34%

  • RIO

    0.3400

    99.95

    +0.34%

  • CMSD

    -0.0600

    23.26

    -0.26%

  • RELX

    -0.1400

    36.39

    -0.38%

  • RYCEF

    0.1000

    15.4

    +0.65%

  • VOD

    -0.1200

    15.51

    -0.77%

Pakistan's quiet solar rush puts pressure on national grid
Pakistan's quiet solar rush puts pressure on national grid / Photo: Asif HASSAN - AFP

Pakistan's quiet solar rush puts pressure on national grid

Pakistanis are increasingly ditching the national grid in favour of solar power, prompting a boom in rooftop panels and spooking a government weighed down by billions of dollars of power sector debt.

Text size:

The quiet energy revolution has spread from wealthy neighbourhoods to middle- and lower-income households as customers look to escape soaring electricity bills and prolonged power cuts.

Down a cramped alley in Pakistan's megacity of Karachi, residents fighting the sweltering summer heat gather in Fareeda Saleem's modest home for something they never experienced before -- uninterrupted power.

"Solar makes life easier, but it's a hard choice for people like us," she says of the installation cost.

Saleem was cut from the grid last year for refusing to pay her bills in protest over enduring 18-hour power cuts.

A widow and mother of two disabled children, she sold her jewellery -- a prized possession for women in Pakistan -- and borrowed money from relatives to buy two solar panels, a solar inverter and battery to store energy, for 180,000 rupees ($630).

As temperatures pass 40 degrees Celsius (104 degrees Fahrenheit), children duck under Saleem's door and gather around the breeze of her fan.

Mounted on poles above homes, solar panels have become a common sight across the country of 240 million people, with the installation cost typically recovered within two to five years.

Making up less than two percent of the energy mix in 2020, solar power reached 10.3 percent in 2024, according to the global energy think tank Ember.

But in a remarkable acceleration, it more than doubled to 24 percent in the first five months of 2025, becoming the largest source of energy production for the first time.

It has edged past gas, coal and nuclear electricity sources, as well as hydropower which has seen hundreds of millions of dollars of investment over the past decades.

As a result, Pakistan has unexpectedly surged towards its target of renewable energy, making up 60 percent of its energy mix by 2030.

Dave Jones, chief analyst at Ember, told AFP that Pakistan was "a leader in rooftop solar".

- 'The great Solar rush' -

Soaring fuel costs globally, coupled with demands from the International Monetary Fund to slash government subsidies, led successive administrations to repeatedly hike electricity costs.

Prices have fluctuated since 2022 but peaked at a 155-percent increase and power bills sometimes outweigh the cost of rent.

"The great solar rush is not the result of any government's policy push," Muhammad Basit Ghauri, an energy transition expert at Renewables First, told AFP.

"Residents have taken the decision out of clear frustration over our classical power system, which is essentially based on a lot of inefficiencies."

Pakistan sources most of its solar equipment from neighbouring China, where prices have dropped sharply, largely driven by overproduction and tech advancements.

But the fall in national grid consumers has crept up on an unprepared government burdened by $8 billion of power sector debt, analysts say.

Pakistan depends heavily on costly gas imports which it sells at a loss to national energy providers.

It is also tied into lengthy contracts with independent power producers, including some owned by China, for which it pays a fixed amount regardless of actual demand.

A government report in March said the solar power increase has created a "disproportionate financial burden onto grid consumers, contributing to higher electricity tariffs and undermining the sustainability of the energy sector".

Electricity sales dropped 2.8 percent year-on-year in June, marking a second consecutive year of decline.

Last month, the government imposed a new 10-percent tax on all imported solar, while the energy ministry has proposed slashing the rate at which it buys excess solar energy from consumers.

- 'Disconnected from the public -

"The household solar boom was a response to a crisis, not the cause of it," said analyst Jones, warning of "substantial problems for the grid" including a surge during evenings when solar users who cannot store energy return to traditional power.

The national grid is losing paying customers like businessman Arsalan Arif.

A third of his income was spent on electricity bills at his Karachi home until he bought a 10-kilowatt solar panel for around 1.4 million rupees (around $4,900).

"Before, I didn't follow a timetable. I was always disrupted by the power outages," he told AFP.

Now he has "freedom and certainty" to continue his catering business.

In the eastern city of Sialkot, safety wear manufacturer Hammad Noor switched to solar power in 2023, calling it his "best business decision", breaking even in 18 months and now saving 1 million rupees every month.

The cost of converting Noor's second factory has now risen by nearly 1.5 million rupees under the new government tax.

"The tax imposed is unfair and gives an advantage to big businesses over smaller ones," he said.

"Policymakers seem completely disconnected from the public and business community."

U.Pospisil--TPP