Pioneer Cement commissions 28MW solar power plant in Punjab
- Company says the development is expected to reduce power costs and improve operational efficiency
Pioneer Cement commissioned a 31MW solar plant, meeting 45% of its power needs, reducing costs and boosting sustainability. This reflects Pakistan's broader shift to solar energy.
- Pioneer Cement's new 31MW solar plant and its operational benefits.
- Pakistan's rapid growth in solar energy capacity and imports.
- Challenges posed by increased solar adoption to Pakistan's national grid.
Pioneer Cement Limited has commissioned a 28.265-megawatt (MW) solar power plant at its manufacturing facility in Punjab, with the project’s total capacity subsequently enhanced to 31MW.
The listed cement maker disclosed the development in a filing to the Pakistan Stock Exchange (PSX) on Tuesday.
“We are pleased to inform that Pioneer Cement Limited has successfully completed and energised its 28.265 MW solar power plant at its manufacturing facility in Chenki, District Khushab, Punjab,” read the notice.
The company shared that the project capacity has subsequently been enhanced from 28.265 MW to 31 MW, with the additional capacity expected to be commissioned within the next month.
“With the commissioning of this solar project, environmentally sustainable power sources are expected to now meet approximately 45% of the company’s annual power requirements.
This company said that the development is expected to significantly reduce power costs, improve operational efficiency and contribute positively to the company’s profitability and sustainability objectives.
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The development comes as energy-intensive industries in Pakistan increasingly look towards alternative energy sources to manage electricity costs and improve operational efficiency.
The total installed solar capacity in Pakistan grew from 321MW in 2021 to 4,124MW by December 2024. Pakistan has become one of the top markets in Asia for solar panel imports from China, with 13 GW imported in the first half of 2024, compared to around 5 GW in 2023.
By 2025, solar accounted for approximately 20% of Pakistan’s electricity generation, a significant increase from about 3% at the start of the decade. The Policy Research Institute for Equitable Development (PRIED) reports that 33 gigawatts of solar photovoltaic (PV) panels have already been installed across the country.
This rapid shift, while beneficial for companies, has created challenges for Pakistan’s national grid and power distribution companies, as reduced demand for grid electricity strains their finances and impacts the viability of traditional power plants.