Solar manufacturing policy needed to unlock jobs, exports: Punjab governor

LAHORE, Sept 26 (ABC): Punjab Governor Sardar Saleem Haider Khan has called for a policy framework to promote domestic manufacturing of solar systems, saying a local industry could create millions of jobs, provide cheaper and cleaner energy and help Pakistan earn foreign exchange through exports.
Addressing the 3rd International Solar Power Conclave & Solar Technology Excellence Awards 2026 in Lahore on Friday, the governor said Pakistan had yet to develop solar-system manufacturing because of the absence of a supportive government policy.
The conclave was organised by Energy Update in collaboration with the Pakistan Solar Association (PSA), Renewable Energy Association of Pakistan (REAP) and Pakistan Alternative Energy Association (PAEA).
“It is unfortunate that solar system manufacturing is not being done due to lack of a government policy,” the governor said.
He said the high cost of electricity had made solar energy increasingly important for ordinary Pakistanis, describing abundant sunlight as a natural resource that should be utilised to reduce electricity bills while protecting the environment.
“If we are able to create a solar manufacturing industry, it will create millions of jobs and also produce clean, green energy, which is cheaper on consumers’ pockets and better for the environment,” he said.
The governor urged the solar business community to take the initiative in establishing local manufacturing instead of waiting indefinitely for a government policy. He noted that the industry had already introduced solar technology in Pakistan without substantial government support and could similarly take the lead in building a domestic manufacturing base.
He said local production would enable Pakistan to meet its growing domestic demand for solar equipment while also opening opportunities for exports and foreign-exchange earnings.
Highlighting the rapid expansion of solar installations, the governor said it was encouraging to see solar panels spreading across the country, observing that from above, “almost 90 percent of roofs” in cities appeared to be covered with solar panels.
Referring to government initiatives, he said the Sindh government had distributed hundreds of thousands of solar panels free of cost among livestock farmers and flood-affected communities.
“Allah has bestowed us with abundance of sunlight, which must be used to serve the interests of the masses,” he said.
The governor also referred to recent disruptions in the energy supply chain caused by war in the region, saying electricity load-shedding had increased when LNG containers could not arrive. He said greater availability of solar power could eventually reduce domestic consumers’ dependence on expensive grid electricity.
Punjab pledges support for solar sector
Punjab Minister for Energy Faisal Ayub said Pakistan had experienced a severe electricity load-shedding crisis beginning in 2009-10, which he said was overcome during the PML-N government’s 2013-18 tenure.
He recalled that then Punjab chief minister Shehbaz Sharif had installed power plants to address electricity shortages. However, he said Pakistan was now facing a different challenge in the form of high electricity prices.
“Although it is a federal subject, we will provide support to the solar energy sector to overcome this challenge of expensive electricity,” Faisal Ayub said.
He said consumers and businesses would continue moving towards solar energy because of its economics regardless of whether governments actively promoted it, making it necessary for government policies to align with the transition.
The minister assured the industry of the Punjab government’s support and said the provincial government would engage the federal energy minister and involve PSA representatives in efforts to formulate policies facilitating the expansion of solar energy.
“We will welcome suggestions from energy experts to promote this sector,” he said, warning that failure to support the industry at this stage could hurt Pakistan’s interests.
He said a solar-friendly policy could generate prosperity not only for businesses associated with renewable energy but also for the wider economy.
PSA seeks relief on taxes, batteries
Pakistan Solar Association President Adil Mahmood said solar energy was already contributing up to 40,000 MW to Pakistan’s energy supply, arguing that without this contribution the country could otherwise be facing five to seven hours of daily load-shedding.
He said the government was charging four paisas per unit, which according to him translated into a cost of around Rs1.5 million per MW per month, and called for the charge to be removed.
Mahmood said Pakistan’s solar market had expanded rapidly when solar panels were tax-free, but subsequent measures had created hurdles for the industry. He also pointed to the abolition of net metering as an impediment to further growth of solar energy.
He urged the government to abolish duties and sales tax on batteries and proposed establishing local lithium-battery manufacturing plants, which could eventually produce batteries for export.
Solar consumption crosses 40,000MW: Energy Update
Energy Update Managing Editor Naeem Qureshi said the organisation was celebrating its 20th anniversary after being launched in 2006 with the objective of promoting renewable energy in Pakistan.
He said Energy Update had organised around 180 seminars, training workshops, policy discussions and international conferences over the years to promote renewable energy.
Recalling the industry’s early years, Qureshi said renewable energy advocates initially faced significant challenges because conventional electricity was cheaper than solar power. The situation had now reversed, he said, as grid electricity had become increasingly unaffordable for ordinary consumers.
“It is high time for solar energy to peak in Pakistan,” he said.
Qureshi said solar energy consumption had surpassed 40,000 MW, saving Pakistan around $6 billion, while the country had become the largest importer of solar systems from China at highly competitive rates.
He said the environment-friendly energy sector had also generated up to two million jobs in Pakistan.
Highlighting the potential of wind power, Qureshi said Sindh’s wind corridor had the capacity to generate around 50,000 MW, compared with current wind-energy production of between 1,800 MW and 2,300 MW.
Experts discuss storage, future energy landscape
Earlier, a panel discussion featuring LUMS Energy Institute Director Dr Naveed Arshad, National Grid Company Managing Director Altaf Hussain, Growatt Pakistan Technical Head Zohaib-ul-Haq and TBEA Regional Head for Central and South Asia Mian Fahad focused on energy storage and Pakistan’s evolving renewable-energy landscape.
The panellists said Pakistan had become a rare member of the “25 percent Solar Club”, with the transition occurring largely organically rather than through a comprehensive government policy. They linked the rapid expansion of solar energy to changing market conditions following the Russia-Ukraine war.
Dr Naveed Arshad described battery storage as “a new AI for the energy sector” and said Pakistan’s energy transition by 2035 would move beyond the current distributed-energy model into five new dimensions: distributed storage; microgrids and virtual power plants; AI and data analytics; energy efficiency and conservation; and circularity.
Inverex Solar Energy CEO M. Zakir Ali also addressed the conclave.
A second panel discussion, moderated by Assure International Director Sustainability Dr Jawaria Shakeel, examined investment opportunities in photovoltaic systems and solar batteries.
Participants included Hussain Diwan of Diwan International; Joseph Chu, Director C&I Energy Storage Pakistan; Muhammad Farhan, CEO Power Highway; Hasnat Khan, Senior Vice President PSA; and Maroof Ahmad Zubairi of AESL.
Dr Jawaria advised industry stakeholders to carefully assess when to switch to solar while considering timing and available capacity.
Muhammad Farhan cited Bangladesh as an example, saying domestic consumers with installed solar capacities of 5-10 kW could also sell surplus electricity to their neighbours.
“The solar equipment must be insured,” he added.
Later, Punjab Governor Sardar Saleem Haider Khan presented recognition awards to leading participants in the renewable-energy industry for their contributions to Pakistan’s solar and renewable-energy sector.
Around 30 leading companies received the 3rd Solar Technology Excellence Awards 2026 at the event.




