Why Pakistani's Rapidly shifting to solar panels for Electricity needs instead of govt supply ?

Meeting Pakistan's Energy Needs Through Solar Panels

As electricity prices surge and load shedding persists in Pakistan, consumers are increasingly turning to solar panels as a viable alternative. The exodus from the conventional grid system is driven not only by the financial strain of electricity bills but also by the allure of renewable energy solutions. This shift towards solar power is underpinned by several factors, chief among them being the falling prices of solar panels.

In recent years, Pakistan has witnessed a remarkable decline in the cost of solar panels, making them more accessible to a broader segment of the population. Previously priced at Rs 120-130 per watt, solar panels now range from 40 to 50 rupees per watt. This reduction can be attributed to both global and local dynamics.

On the global stage, the shrinking market for silicon, a key component in solar panel production, has contributed to cost reduction. The evolution of solar panel technology, from polycrystalline to monopark and now to N-type technology, has also played a pivotal role. Leading solar manufacturing companies are embracing these advancements, thereby liquidating older inventories and driving prices down.

Locally, the relaxation of import restrictions on solar products has catalyzed market saturation, fostering competition and further lowering prices. However, while consumers rejoice in the affordability of solar solutions, concerns loom over the sustainability of the energy ecosystem.

The mass migration towards solar power has raised apprehensions among energy market investors and regulatory bodies. The Ministry of Energy finds itself at a crossroads, grappling with the implications of this transition on the national grid and energy infrastructure.

One pressing issue that emerges is the concept of capacity payment, wherein consumers who opt out of the national grid still bear the financial burden of existing contractual obligations with power plants. This not only threatens the financial viability of the energy sector but also poses the risk of escalating costs for remaining grid users etc.

Moreover, the reduction in electricity demand, as evidenced by a decline of 7.5 percent in March and 12 percent in February, exacerbates the strain on the power system. The surge in demand during non-solar hours necessitates the reactivation of dormant power plants, further complicating the situation.

Regrettably, there appears to be a lack of proactive measures from regulatory authorities to address these impending challenges. The absence of comprehensive studies and strategic planning exacerbates the risk of a full-blown crisis.

In conclusion, while the adoption of solar energy holds promise for alleviating the burden of electricity costs and reducing reliance on the conventional grid, it also presents a complex array of challenges for Pakistan's energy sector. Urgent intervention and strategic foresight are imperative to navigate these turbulent waters and ensure the long-term sustainability of Pakistan's energy landscape.

[Tanveer Iqbal is a senior journalist in Islamabad, Pakistan]