Power Minister defends solar policy amid Pakistan's energy crisis

ISLAMABAD: Federal Minister for Power Division Awais Ahmad Khan Leghari has clarified that the government fully supports solarization, but in a manner that is fair to all consumers and does not place an undue burden on non-solar users.

In a statement issued by the ministry on Saturday, Leghari rejected claims that the government does not support solar energy, terming the allegations false and misleading.

He explained that while solar power helps replace fossil fuel-based generation, its contribution is limited to daylight hours. During the nighttime, stable and dispatchable sources of power generation remain essential to maintain grid stability and meet dynamically changing load conditions. He noted that a high penetration of unmanaged rooftop solar can create grid stability challenges, including steep evening ramp requirements, which increase reliance on flexible gas-based generation.

The minister further stated that in light of recent LNG supply disruptions—following a force majeure declared by QatarEnergy amid the ongoing U.S.–Israel–Iran conflict—some level of demand management has become unavoidable. He added that any curtailment in sectors such as fertilizer would be carefully managed due to its importance for food security. Meanwhile, restrictions on commercial or high-end domestic consumers would be temporary, targeted, and based on system requirements rather than policy preference.

Leghari emphasized that suggestions to completely shift to coal-based generation and shut down gas plants do not reflect practical power system operations. Indigenous coal plants are already prioritized due to their relatively lower fuel cost; however, gas-based plants play a crucial role in providing flexibility, especially during peak demand and rapid transitions when solar generation drops at sunset.

“A balanced dispatch strategy—where coal provides base load and gas ensures flexibility—is essential for reliable grid operations,” he said.

Addressing concerns regarding higher gas prices for captive power, the minister stated that recent trends do not support claims that industries are moving away from the grid. He noted that following the imposition of the captive power levy, grid demand has actually increased significantly. The government’s surplus power package, offering electricity at around Rs23 per unit, has helped retain industrial consumers on the national grid.

Providing data, he noted that January 2026 recorded the highest-ever electricity demand with a 12.1 percent year-on-year increase, while February also saw robust growth of around 11 percent. Over the first two months of the year, industrial consumers collectively saved approximately Rs12 billion under the surplus power package.

“This is not a time for point-scoring, but to recognise that Pakistan is managing the current global energy crisis in a measured, strategic and effective manner,” he remarked. He added that the country’s largely indigenous and diversified power generation mix has helped mitigate the potential impact of global disruptions on the electricity supply.

The minister also highlighted ongoing reforms, including the privatization of state-owned enterprises and the introduction of third-party access to the electricity network under a liberalized market framework, noting that significant progress has already been achieved.

Reiterating the government’s stance, he said consumers are encouraged to adopt solar and other clean energy solutions in a fair and balanced manner, adding that the government remains focused on ensuring energy security, maintaining system stability, and supporting economic continuity amid global energy uncertainties.