ISLAMABAD: Pakistan’s next energy challenge is no longer just expanding rooftop solar adoption, but ensuring the country captures the industries, investment, manufacturing, and innovation that accompany the clean energy transition, experts said on the concluding day of the Solar, Storage and Flexibility Conference on Wednesday.
Although Pakistan has built one of the world’s largest consumer-led solar markets, much of the economic value continues to flow overseas, with panels, batteries, inverters and electric vehicles still largely imported.
Speakers said the country’s next opportunity lies in developing local manufacturing, strengthening technology transfer, investing in skills and creating stable policy frameworks that encourage long-term investment.
Andrew Chang, chief executive officer of New Energy Nexus, said building an industrial ecosystem required more than factories. “A successful industrial ecosystem starts with de-risking technology, building trust and investing in people. Before manufacturing can take root, products need to be widely adopted and competitive in the market. At the same time, countries must develop the talent pipeline and support entrepreneurs, because they are the ones who ultimately deliver value to consumers.”
The conference also highlighted Pakistan’s growing significance in the global energy transition. The Global Solar Council’s 300 Million Solar Homes campaign, launched in partnership with the Global Covenant of Mayors for Climate & Energy, aims to install rooftop solar, paired where appropriate with battery storage, on 300 million homes and small businesses by 2030.
Pakistan, with its solar rush, is presented as an early example of that ambition. The country imported more solar panels over the past two years than many countries deployed in a decade. Residential electricity demand has increased by 32 per cent over the same period, driven almost entirely by distributed solar.
Speaking at the conference, Global Solar Council Chief Executive Officer Sonia Dunlop said Pakistan’s consumer-led solar transition had become an important reference point for countries pursuing similar pathways. “We are using the example of the Pakistani solar rush as the inspiration and leadership example for the rest of the world. This is politically irresistible because it addresses the energy cost-of-living crisis. When households install solar and storage, their energy bills go down from the very next month.”
Discussions also focused on financing the next phase of Pakistan’s energy transition. Experts noted that the country’s distributed solar market is estimated to be worth around $14 billion, yet less than 4 per cent has been financed through formal financial institutions.
Participants argued that the challenge is not a lack of capital, but financing models that have not kept pace with a consumer-led energy transition. Banks, they said, need to rethink how they assess risk and develop financial products better suited to distributed energy technologies.
Speakers identified blended finance, credit guarantees, vendor financing, securitisation and green bonds as key instruments to unlock investment in battery storage and other distributed energy solutions, particularly for households and small businesses. They also stressed that financing must extend beyond consumer technologies to the infrastructure underpinning the transition.
The conference concluded that Pakistan’s consumer-led solar transition has already demonstrated what is possible when clean energy becomes the most affordable choice. The next phase, participants said, will depend on whether industry, finance and policy evolve quickly enough to match the pace set by millions of Pakistani consumers.
Copyright Business Recorder, 2026
Comments