- IEA projects solar PV to become the world’s largest electricity source, reaching 4.7 terawatts by 2050
- Women represent 40% of the solar PV workforce, significantly higher than other renewable and energy sectors
According to the International Energy Agency (IEA), renewable capacity will meet 35 per cent of global power generation by 2025. The IEA foresees solar PV to reach 4.7 terawatts (4,674 GW) by 2050 in its high-renewable scenario, of which greater than half will be deployed in China and India, making solar power the world’s largest source of electricity. This growth is expected to continue, with IEA projecting that solar PV will account for 4.5 per cent of total global electricity generation. According to a report by the International Labour Organization (ILO), the renewable energy sector employed 13.7 million people globally in 2022, with solar energy being the fastest-growing sector, offering 4.9 million jobs.
| Total Energy Consumption Of Pakistan | |
|---|---|
| Year | GWh |
| 2020 | 112,494 |
| 2021 | 121,560 |
| 2022 | 133,665 |
| 2023 | 121,852 |
| Source: WEF | |
It also highlights that domestic market size is a significant factor influencing employment generation in renewables, along with labour and other costs. The solar industry is expected to nearly triple in cumulative deployment by 2028, creating more job opportunities and contributing to economic growth. It is projected to be the source of 14 million jobs by 2030.
Women’s participation in solar PV is notably higher than in other renewable energy sectors. As of 2021, women accounted for 40 per cent of the total workforce in the solar PV industry. This is significantly higher than the average share of women employed in all renewable sectors, which stands at 32 per cent and almost double that of women employed in the wind industry (21 per cent) and the oil and gas sector (22 per cent). The representation of women varies across dissimilar segments within the solar PV industry. Women fare best in solar PV manufacturing, representing 47 per cent of the workforce. Service providers and developers follow with 39 per cent and 37 per cent respectively. However, the representation of women is lowest among solar PV installers, who make up only 12 per cent of the workforce.
According to the government of Pakistan, solar power entered Pakistan’s energy mix in 2013 after the government launched a set of support policies to foster renewable energy development. Various electricity consumers suffer from poor power quality (scheduled & unscheduled outages, low voltage, etc.) in the country. Decentralized, medium-scale Solar PV power can contribute cost-efficiently to alleviate some of these issues by feeding directly into the medium-voltage (MV) network, thereby improving the local losses and voltage situation. Furthermore, the injection of Solar PV power into the MV network would provide cheap electricity to the national grid without any augmentation or significant upgrade of the grid infrastructure.
Accordingly, solar PV projects with a suitable capacity of up to a maximum of 4 MW will be procured through a competitive bidding process at the 11 kV feeder level. It is envisaged that approximately 2000 MW of solar PV capacity will be added under this initiative.
As per the world economic forum note, Pakistan’s rapid adoption of solar energy, driven primarily by market forces and with minimal political support, provides valuable lessons for other emerging markets.
Pakistan has seen industrial, agricultural, and residential sectors embrace solar energy in a big way. The first half of 2024 alone saw the import of 13GW of solar panels from China, with estimates suggesting total imports could reach 22GW by year-end. The shift to solar energy has been largely market-driven, with little direct political intervention. While the Pakistani government has shown limited support for the transition, factors such as the rising cost of grid electricity and the overproduction of solar panels in China have played a key role in accelerating the shift toward solarization.
One of the driving forces behind the solar boom is the country’s mounting electricity costs. With grid electricity prices having risen by more than 150 per cent in just three years, many businesses and consumers have sought to reduce their reliance on the national grid by installing solar power systems. In addition to the financial incentives, the falling cost of solar panels, primarily driven by China’s production surplus, has made solar power more affordable and accessible. IEA also recorded that while Pakistan’s per capita electricity consumption grew by 87 per cent between 2000 and 2022, over 40 million people remain without access to electricity, and half the population still lacks clean cooking facilities.
| Projected Global Trends In Solar PV | ||||
|---|---|---|---|---|
| Year | Projected Solar PV Capacity (GW) | Projected Solar PV Installations (GW) | Projected Solar PV Penetration (per cent) | Projected Investment in Solar PV (£ billion) |
| 2023 | 1,185 | 240 | 6.2 | 96.3 |
| 2028 | 2,012.5 | 270 | 10.6 | 129.2 |
| 2033 | 2,840 | 300 | 15.0 | 162.1 |
Many more live in off-grid or underserved areas, with under four hours of electricity daily. Meanwhile, record-breaking heatwaves are boosting demand for basic cooling like fans. Because of the exorbitant costs and unreliable performance of the power grid, 40-50 per cent of industries rely on captive power plants despite being connected to the grid. Presently, the registration for Punjab’s free solar panel scheme, aimed at offering permanent relief in electricity bills.
The scheme, launched by the Punjab government, will distribute solar panel systems to 100,000 households across the province for Rs10 billion. The government of Punjab also said the initiative targets homes consuming an average of 200 monthly electricity units. Beneficiaries will be selected through balloting in June 2025, with 550 and 1,100-watt solar panel systems installed in their homes.