How Pakistan quietly became world's biggest solar importer
There was no sweeping law, no global investment blitz, no prime minister announcing a green revolution. And yet, by the end of 2024, Pakistan imported more solar panels than almost any other nation in the world.
The South Asian country, facing economic challenges and high energy poverty, is witnessing one of the most unexpected clean energy success stories of the decade.
Pakistan has joined the ranks of the world's leading solar markets, importing 17 gigawatts of solar panels last year alone, according to the Global Electricity Review 2025 by Ember, an energy think tank in the UK.
This surge represents a doubling of the previous year's imports, and makes Pakistan one of the top global buyers of solar panels.
The scale of Pakistan's imports is particularly striking because it is not driven by a national programme or utility-scale rollout.
Instead, the majority of the demand appears to come from rooftop solar installations by households, small businesses and commercial users looking to secure cheaper and more reliable electricity in the face of frequent power outages and rising energy costs.
According to Ember's report, rooftop solar installations in homes and businesses in the country has soared as a 'means of accessing lower-cost power'.
Pakistan's experts echo this analysis.
Muhammad Mustafa Amjad, programme director at Renewables First, tells The Independent that the solar boom is best understood as a 'survival response' by people and businesses that were 'increasingly being priced out of the grid due to inefficient planning and unreliable supply'.
'It marks a structural shift,' he adds, 'in how energy is perceived in Pakistan.'
Pakistan's solar panel imports in fiscal year 2024 alone, Mr Amjad says, amount to roughly half of the national peak power demand.
'Rooftop solar is fast becoming the preferred energy provider,' he adds. 'And the role of the grid has to massively adapt in order to remain relevant in a fast-transitioning energy economy.'
Ubaid Ullah, an energy expert in Karachi, argues that the energy transition is driven by people taking matters into their own hands.
'If you look at satellite images of any Pakistani city,' he tells The Independent, ' all the roofs appear blue, covered in solar panels.'
In a region often plagued by grid instability, solar panels have emerged as a practical alternative to unreliable public supply. The sharp increase in imports in 2024 follows years of worsening power cuts, fluctuating tariffs, and high costs associated with diesel generators and imported fuels. Rather than waiting for national reforms, many Pakistanis began adopting solar technologies directly – often installing panels and inverters without much reliance on subsidies or centralised planning.
This makes Pakistan's solar growth somewhat unusual in the global landscape.
In many countries, solar adoption has been closely tied to climate policy or international financing. Pakistan's solar boom, in contrast, appears to be a response to market logic and local necessity, not climate diplomacy.
The Ember report notes that Pakistan's growth is happening largely 'outside formal energy planning frameworks'.
Industry experts say there is minimal direct government intervention in Pakistan's solar journey. In fact, the infrastructure is struggling to keep up.
While regulators have approved net metering policies and eased import restrictions in recent years, there have been no major public spending programmes or large-scale solar auctions to match the pace of adoption seen at the household or commercial level.
Despite importing record volumes of solar panels, Pakistan's official grid-connected solar capacity remains far lower, indicating that much of the new solar is operating off-grid or behind the meter, where it escapes inclusion in national electricity statistics.
This divergence between on-the-ground installations and official planning is already raising concerns. Grid operators and utility companies are struggling to adapt to the effects of widespread self-generation, particularly in urban areas where high-value customers are increasingly generating their own electricity during the day and relying on the grid only as the backup.
The dynamic, sometimes referred to as a 'utility death spiral', can erode the financial base of public energy providers while placing new pressure on infrastructure during peak evening hours.
In its analysis, Ember warns that this kind of rapid, decentralised growth requires updated planning and regulatory tools to avoid instability.
'Updated system planning and regulatory frameworks are needed alongside this deployment to ensure a sustainable and managed transition,' the report says.
While the focus has been on solar, Pakistan's broader renewable energy mix includes growing contributions from wind, hydropower, and bioenergy.
However, solar is by far the fastest-moving segment, particularly because it can be deployed at small scale with minimal bureaucratic friction.
In a country with long-standing challenges around governance and infrastructure delivery, the modular nature of solar technology has enabled adoption even in the absence of large public investment.
The 2024 import figures reflect more than a spike in consumer interest. They also speak to the declining costs of solar technology globally, particularly for modules manufactured in China, which dominates international supply chains.
Falling equipment prices, combined with volatile local fuel costs and persistent power shortages, have made solar one of the most economically viable energy solutions in Pakistan today.
Despite this, significant gaps remain in how the transition is being managed. With little oversight of system quality, storage deployment or grid balancing mechanisms, Pakistan risks undermining the long-term benefits of its clean energy expansion.
In the absence of stronger data, more transparent planning and investment in modernising the grid, the current surge may exacerbate existing inequalities in access and reliability.
Still, the broader message from Pakistan's experience is clear: clean energy adoption is no longer limited to wealthy nations or high-emitting economies.
When the economics work, and the barriers are low, energy transitions can take root quickly – even in places where policy has historically lagged ambition.
What's happening in Pakistan may be messy and uneven, but it holds global significance. It offers a blueprint – or at least a suggestion – of how energy transitions might look in much of the Global South. Not as a carefully orchestrated top-down process, but as a decentralised, demand-led shift driven by necessity and economics.
According to Mr Amjad, this makes Pakistan an early example of a new energy model.
'For Global South economies,' he says, 'this presents an alternative bottom-up, people-led, and market-driven model of energy transition – one that provides secure, distributed, and democratised access to clean and affordable energy.'
Battery storage, he adds, is likely to follow the same trajectory as solar – cheap, modular and adopted quickly at the edge of the grid, not the centre. 'With the price of batteries following a similar trajectory to solar, the pace of energy transition across Global South countries will definitely accelerate, as the volatility around imported fuels continues to encourage renewable growth.'
Harjeet Singh, strategic adviser to the Fossil Fuel Non-Proliferation Treaty Initiative, says Pakistan's story shows solar is not just a green option, but an affordable one.
'The phenomenal growth of solar energy in countries like Pakistan underscores that solar is no longer just an environmental choice – it's a powerful economic solution, especially for the developing world. Faced with volatile fossil fuel prices, soaring electricity bills, and often unreliable grids, households and businesses are embracing solar because it offers a cheaper, cleaner, and more dependable source of power,' Mr Singh says.
'This isn't simply about decarbonisation anymore; it's fundamentally about ensuring energy access, driving economic stability, and strengthening energy security from the ground up.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Reuters
4 hours ago
- Reuters
Forget AI. Keeping cool is the bigger power sector problem
DENVER June 23 (Reuters) - Utilities in the developed world are stressing over how to keep up with demand from data centres and artificial intelligence searches. But globally, keeping people cool is likely to be a much bigger drain on electricity grids and a more pressing power sector challenge. Worldwide, data centres and air conditioners are both projected to triple their electricity use over the coming decade, and will severely test utilities that are already under strain from aging grids and lengthy backlogs for new supply. Indeed, electricity demand from data centres is projected to rise by roughly 800 terawatt hours (TWh) by 2035, from around 416 TWh in 2024, according to the International Energy Agency (IEA). That is enough to power around 75 million American homes for a year, according to the U.S. Energy Information Administration (EIA). Global demand for cooling systems, however, is set to rise by around 1,200 TWh by 2035, or nearly as much electricity as the entire Middle East consumes annually, data from think thank Ember shows. Importantly, the location of demand growth also differs significantly between the two drivers, as does the consequences of failure to meet this spike. Most data centre expansions are set to be within developed economies with modern power networks, and increased demand will primarily come from processing search requests for businesses and social media applications. In contrast, the vast majority of the demand growth for air conditioning is set to occur in emerging economies where many communities already face the prospect of heat-related deaths and illness within already fragile energy systems. Increased deaths and human suffering, the likely outcome of power system shortfalls in the developing world, are of a different order of magnitude than the risk of slower search results and economic drag that could result from failure to boost power supplies for data hubs. Climate change is leading to more frequent, more intense and more prolonged heatwaves across the world, but especially in developing regions such as South and Southeast Asia where high humidity levels can amplify the impact of heat stress. "A single heatwave - even one lasting just a few days - causes tens of thousands of excess deaths in India," according to a report published in April by India's Centre for Science and the Environment. To combat the effects, new homes and offices across warm climate countries are scaling up the number of cooling units they contain. And many of these areas are already undergoing a building boom, magnifying the amount of space needing to be cooled. In 2022, around 36% of all households were estimated to possess some air conditioning equipment, according to the IEA. By 2035, that share is expected to jump to 50%, and then to 60% by 2050. To power that expanding footprint, the installed capacity of cooling equipment is set to surge from around 850 gigawatts (GW) in 2022 to 1,750 GW by 2035, and to 2,700 GW by 2050, IEA data shows. India, which already has the world's largest population and is expected to have the third largest economy by 2035, is expected to be the main driver of cooling system demand in the coming decades. Currently, around 5% of the world's stock of air conditioners is in India, or around 110 million units of the roughly 2.4 billion in use globally, per the IEA. By 2035, India's share of the global air conditioner stock is set to rise to 13% (to nearly 500 million units), and then to more than 1.1 billion units by 2050. Indonesia, another fast-growing populous nation prone to hot and humid spells, is set to treble its air conditioner count by 2035, while Brazil, Mexico and the Middle East are all set to more than double it. Power firms in all regions have their work cut out in ramping up electricity supplies to match the projected demand growth from both data centres and cooling systems. But again, the challenges faced in addressing these two demand drivers will differ based on where the power is needed. In the United States and Europe, most data centre expansions are taking place close to established generation sites, so that server farms can tap uninterrupted power and avoid transmission delays. In developing economies, many of the new cooling systems are within new multi-story apartment buildings or on previously undeveloped land, meaning that power suppliers have to vastly expand their geographic reach while also boosting volumes. Needing to rapidly increase both the scope and scale of electricity production will likely expand the use of coal-fired power in India, Indonesia and elsewhere, which will generate pollution that may further accelerate warming trends. But the sheer magnitude of energy demand growth ensures that fossil fuels alone will not be able to meet it, and that supplies from a multitude of power sources will have to be deployed. This "all of the above" approach, in turn, means that power from clean energy and renewable sources should gain a growing share of the generation mix over time, potentially squeezing out high polluting fuels from electricity production. But in the near term, the fossil fuels burned to meet the rising demand for power will only increase. The need to keep people safe and comfortable as temperatures keep climbing will thus only exacerbate future heat stress, putting ever more pressure on strained electrical grids. The opinions expressed here are those of the author, a columnist for Reuters. Enjoying this column? Check out Reuters Open Interest (ROI), your essential new source for global financial commentary. ROI delivers thought-provoking, data-driven analysis of everything from swap rates to soybeans. Markets are moving faster than ever. ROI can help you keep up. Follow ROI on LinkedIn, opens new tab and X, opens new tab.
ITV News
4 days ago
- ITV News
Could this be the last Diwali celebrations on the 'Golden Mile' in Leicester?
The future of the world-famous Diwali celebrations along the "Golden Mile" in Belgrave Road in the Belgrave area of Leicester could be at risk. It brings the South Asian community together to celebrate the festival of light with the wider population and includes a fireworks display, performances of Indian dance, allows people to explore the Sari and jewellery shops and try a range of food. Leicester City Council is considering moving the celebrations to another location over concerns about public safety, due to increasing numbers of people who attend - but no decisions have yet been taken. Meetings have been had between the council, the emergency services and businesses and whilst there is a desire to keep it in the "Golden Mile" it may have to be moved to an alternative venue for this year's celebrations. PROS OF HOLDING THE EVENT ON THE 'GOLDEN MILE': Many of the Sari and jewellery shops are based within the "Golden Mile" which creates a great atmosphere for the event. It's part of the city's tradition and history. The first event back in 1983 ran along Belgrave Road from Dorset Street to Loughborough Road and were switched on by the community's oldest resident. Good for business - several traders want it on the road as they get a lot of people visiting their businesses and shops during the event. Nationally and internationally renowned and brings people to the "Golden Mile". Nisha Popat, chair Belgrave Business Association, said: "Diwali should stay on the Golden Mile. This is where it started forty years ago. "We want everybody to be safe, however, festivals happen all over the country everyday and you go to music festivals where there are huge crowds. Nisha Popat, chair Belgrave Business Association "And given it's different space, but there is a large number of people gathered in a small space. "We want to work closely with the city council to look at how these risks can be mitigated and Diwali can continue on Belgrave Road. "I was quite heartened by the meeting yesterday, there seemed a very strong commitment from the city mayor that he felt the celebration should be on the golden mile." Some of the celebrations can be a disruption for shops. and businesses due to the scale of the event. 'No movement for forty minutes'. Last year the council said people were standing shoulder-to-shoulder in Rothley Street. Where there are particular static events you get build up of people. Fireworks. The council is considering if they should be having fireworks, if they should be having a stage and whether it should be having those events that mean people become stationary or going to a particular mass area rather than enjoying the experience of the Golden Mile and meeting their friends and seeing the lights. Concerns about public safety at the popular event due to increasing crowd numbers. WHAT LEICESTER CITY COUNCIL SAYS A Leicester City Council spokesperson said: 'There have been several meetings over recent months with members of the Diwali safety advisory group and community representatives to discuss concerns about public safety at the popular event due to increasing crowd numbers. 'A further follow-up meeting attended by the city mayor, executive lead for culture and representatives from the emergency services and the community will take place to review options being considered including moving the event to a more suitable location, although no decisions have yet been taken.' Our reporter Rajiv Popat has also spoken to Vi Dempster, assistant city mayor for Leicester City Council. She said: "Last year after the fireworks everybody came away from Cossington Park and there was a mass of people, in Rothley Street, shoulder-to-shoulder, no movement for forty minutes. "The year before that we had a similar sort fo event at that time it was where the stage is and that is where the problem lies. "It's where there are particular static events you get a build up of people." Asked about whether the fireworks could be cancelled, Cllr Dempster said: "That is one of the factors that we need to look at. "We need to consider should we be having fireworks, should we be having a stage, should we be having those events that mean people become stationary, people go to a particular area, mass in a particular area rather than enjoying the experience of the Golden Mile and meeting their friends and seeing the lights." HISTORY OF DIWALI IN LEICESTER Every year 40,000 people flock to Belgrave Road in Leicester for the biggest Diwali celebrations outside of India. The colourful festivities take place on two separate days, with the lights switch-on followed by Diwali Day two weeks later. Full road closure are usually in place for the event with nearby junctions with side roads also off-limits. In 1977 Leicester City Council set up the Belgrave Neighbourhood Centre in a former Methodist church on the Belgrave Road. During the following decade, this was to have a significant effect on Diwali celebrations in the city. The first lights went on display in 1983 and by the 1990s the Diwali celebrations had developed a national reputation. The celebrations now reflect a new age, a stronger community and a greater ambition for a festival with an international reputation. WHAT IS DIWALI Diwali celebrates the triumph of good over evil as well as knowledge over ignorance. It also marks a new beginning symbolised by the arrival of a new moon. The festival is significant for various reasons according to the different faiths participating: Hinduism: For Hindus, it marks Rama and his wife Sita's eventual defeat of the evil spirit Ravana and celebrates their triumphant return to their kingdom in Ayodhya after a 14-year exile. The story narrates that oil lamps were lit by passers by to guide them on their way home and to rejoice in their victory. The festival of Diwali also celebrates the day Mother Goddess Durga destroyed a demon called Mahisha. Sikhism: For Sikhs, Diwali marks and celebrates the release of the sixth Guru, Hargobind Singh from a Mughal Empire prison in 1619. Sikhs mark the day as Bandi Chhor Diwas. However, Diwali was celebrated even prior to this. In fact, the foundation stone of the Golden Temple at Amritsar - which is the most holy place in the Sikh world, was laid on Diwali in 1577. Jainism: The founder of Jainism is Lord Mahavira. During Diwali, Jains celebrate the moment he reached a state called Moksha (nirvana, or eternal bliss - and freedom from the cycle of reincarnation). It is said that the earth and the heavens were illuminated with lamps to mark the occasion of Lord Mahavira's enlightenment.
Reuters
4 days ago
- Reuters
Poor grid planning could shift Europe's data centre geography, report says
PARIS, June 19 (Reuters) - Europe's leading data centre hubs face a major shift as developers will go wherever connection times are shortest, unless there is more proactive electricity grid planning, a report on Thursday by energy think-tank Ember showed. Data centre buildout has exploded in recent years as tech companies race to put together the strongest offering of competitive artificial intelligence (AI) models, which rely on a new generation of power-hungry data centres. This could lead to a geographical shift in investment in Europe as developers look for new places with easier power access and shorter lead times, the report said. By 2035, half of Europe's data centre capacity could be located outside the current main hubs Frankfurt, London, Amsterdam, Paris and Dublin, the report said. This could leech billions of euros in investments from the congested countries, as data centres in Germany contributed 10.4 billion euros ($12 billion) in GDP in 2024 which should more than double by 2029, and it could slow job growth, it said. Only France, is expected to maintain continued data centre investment as the grid remains relatively unconstrained, the report said. Connecting a new data centre to the grid in legacy hubs can take an average of 7–10 years, with some projects facing delays of up to 13 years, the report said. However, wait times in newer markets are much shorter, with Italy taking just three years, it said. "Grids are ultimately deciding where investments go ... they are now effectively a tool to attract investment," said Elisabeth Cremona, Senior Energy Analyst at Ember. "In Europe's push for competitiveness and economic growth, it now needs to be taking into account grids and driving investment to that infrastructure if it wants to see other projects materialise," she said. She added that this is not unique to data centres but covers all industry, as any kind of industry that is either new or looking to electrify is going to go through the same process. In Sweden, Norway and Denmark, data centre electricity demand is expected to triple already by 2030. In Austria, Greece, Finland, Hungary, Italy, Portugal and Slovakia data centre consumption is projected to increase by three to five times by 2035 compared to 2024. ($1 = 0.8692 euros)
