The broader macroeconomic context makes these decisions even more troubling. According to the State Bank of Pakistan, by December 2025, Pakistan’s total public debt and liabilities had surged to approximately PKR 95.46 trillion, reflecting an increase of PKR 7.5 trillion in a single year. Over the preceding 22 months, government debt expanded by nearly PKR 13.7 trillion, driven overwhelmingly by domestic borrowing. This reliance on short-term, high-cost debt to finance recurring expenditures has left little fiscal space for productive investment, including energy infrastructure and grid modernisation.
State-owned enterprises have become a persistent drain on public resources. Ministry of Finance data indicate that losses of major SOEs now exceed PKR 832 billion, with net losses multiplying several times within a year. Many of these entities operate within or alongside the energy sector, including power distribution companies plagued by theft, inefficiency, and political interference. Rather than addressing these root causes, policy responses continue to prioritise revenue extraction from compliant consumers, including those who sought relief through solar investment.
The political environment offers little reassurance. Effective oversight of energy policy is largely absent. The opposition remains fragmented, with one faction preoccupied with internal political negotiations and another limited to rhetorical criticism. As inflation rises and taxation intensifies, there is no sustained parliamentary or public policy debate focused on structural reform. The vacuum created by this disengagement allows flawed decisions to pass with minimal scrutiny, even when their long-term consequences are severe.
As inflation rises and taxation intensifies, there is no sustained parliamentary or public policy debate focused on structural reform.
The central issue, however, remains one of strategic vision. Undermining solar energy adoption while drowning in debt is not merely a policy error; it is a strategic miscalculation. Energy security, economic sovereignty, and political stability are deeply intertwined. Countries that have successfully navigated economic stress have done so by expanding productive capacity, reducing import dependence, and empowering households rather than penalising them. Rooftop solar directly advances all three objectives. It lowers fuel imports, reduces pressure on the grid, and provides households with a degree of autonomy in an otherwise volatile economic environment.
Pakistan still has time to correct course, but that window is narrowing. Policy reversals must be replaced with transparent, consultative reform. Net-metering rates can be adjusted rationally without destroying incentives. Grid costs can be allocated fairly without punishing early adopters. Most importantly, energy policy must be aligned with long-term national interests rather than short-term fiscal expediency. A comprehensive review involving civilian leadership, economic managers, and institutional stakeholders is urgently needed, not to overstep democratic boundaries, but to restore balance before economic stress hardens into systemic instability.
The world is moving rapidly toward clean energy and technological integration. Countries that hesitate will not merely fall behind; they will become more dependent, more indebted, and more unstable. Pakistan cannot afford to move in reverse at a moment when the sun, quite literally, offers one of the few clear paths forward.
(Concluded)
The writer has been teaching at various universities for the past 12 years. He is also the Head of Research and Investigation at 365 News, works as Web Editor at Daily Times, and can be reached at Dr.Muhammad [email protected].