A senior Pakistani government official told Reuters that next year, rooftop solar power generation in some major industrial zones will, for the first time, exceed the grid’s daytime electricity demand.
This prospect reflects the record-breaking boom in solar panel installation in the country in recent years. This has not only reduced emissions and lowered electricity bills for some users but has also financially impacted debt-ridden utility companies due to a long-term decline in grid electricity demand.
Power outages and rising electricity prices have prompted Pakistan’s population of 250 million to accelerate the adoption of solar energy, making it the world’s third-largest importer of solar panels, with solar power’s share in electricity generation surpassing that of neighboring China.
The South Asian nation will experience negative demand events more frequently, especially on clear summer afternoons, industrial holidays, and mild days with high solar output, said Nabeel Munir, Pakistan’s lead negotiator at COP30.
“The challenge for Pakistan is not whether renewable energy will grow, but how quickly the grid, regulations, and market design can evolve to keep pace,” he said.
He stated that the South Asian nation plans to introduce new electricity tariffs for large solar users and adjust the fee structure to ensure businesses with solar panels contribute equitably to grid maintenance costs.
Pakistan’s grid-connected electricity demand is expected to grow by 3-4% this year, below the historical average. Munir said electricity demand is expected to increase significantly next year, but the increased use of solar power might have an even greater impact on it.
The surge in solar use has also prompted Pakistan to renegotiate its liquefied natural gas contracts with major supplier Qatar and cancel a shipment from Italy’s Eni, Munir said.
He said Pakistan wants lower prices, more flexible delivery schedules, and potentially reduced volumes.
While there were no formal talks with Qatar during COP30, the event provided “diplomatic space” for engagement with the energy minister and business representatives, he said.
“The key goal is to align Pakistan’s gas import strategy with fiscal space, demand outlook, and seasonal patterns. Pakistan is pursuing stability and affordability, not expanding LNG reliance.”
