If the new net metering policy is implemented—reducing buyback rates or imposing additional charges—the future of Pakistan’s solar industry could face significant setbacks:
- Slowdown in Residential & SME Adoption
Reduced financial incentives will discourage homeowners and small businesses from investing in solar, shrinking demand. - Stagnation of Local Solar Companies
Installers, EPCs, and solar product suppliers may see a major decline in business, leading to job losses and industry contraction. - Missed Renewable Targets
Pakistan risks falling short of its 60% renewable energy target by 2030, relying more on expensive fossil fuels. - Reduced Energy Security & Higher Circular Debt
Without solar expansion, dependency on imported fuels will increase, further worsening the import bill and circular debt crisis.
In short: Investment will slow, growth will stall, and Pakistan will miss out on cheaper, cleaner energy opportunities.