To mitigate rising fuel costs, Artistic Denim Mills Limited (ADML), a leading player in Pakistan’s textile industry, has turned to renewable energy solutions.
In its annual report, made available to the Pakistan Stock Exchange (PSX) on Friday, the company announced the successful commissioning of a 2.32MW solar power facility, while installation work on an additional 2.57MW project is currently underway, with completion targeted for the first quarter of the financial year 2025-26.
The development comes at a time when high fuel and energy costs continue to trim margins across the textile industry, a vital sector for Pakistan’s economy.
ADML, engaged in manufacturing and selling rope dyed denim fabrics, yarn, noted that the textile industry continues to contribute substantially to GDP, employment generation, and export earnings.
“Despite challenges such as high energy costs, tariff pressures, liquidity constraints, and compliance requirements in traditional markets, the sector continues to demonstrate resilience.
“However, the revival of margins and long-term sustainability will require urgent reforms, including the provision of affordable and uninterrupted energy, rationalization of input costs, faster refund processing, and a more business-friendly regulatory framework,” it added.
There has been a growing shift towards alternative energy sources in Pakistan, especially solar, which has become increasingly popular among residential and commercial sectors.
This rising trend has left decision-makers grappling with its implications for the national grid and energy sector, as electricity consumption remains stagnant.
Nonetheless, several projects have been initiated to exploit this relatively cheaper energy source.
Last month, Beco Steel Limited signed an agreement with a renewable energy solutions provider to install a 2-megawatt (MW) solar power generation system at its Badami Bagh, Lahore plant.
In August, Kohinoor Mills Limited (KML) announced plans to install a 7.2-megawatt solar power system as part of its push for sustainable operations and cost efficiency.
Dewan Cement Limited successfully commissioned a 6MW solar power system at its manufacturing facility in Karachi.
In May, International Steels Limited (ISL), a subsidiary of International Industries Limited, completed and activated a 6.4-megawatt (MW) solar power project at its factory in Karachi.
In March, Tariq Corporation Limited (TCORP), engaged in the manufacturing of sugar and its by-products, announced plans to set up a 200KW solar power system at its facility.
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