Prime Minister Shehbaz Sharif issued the directive while chairing a high level meeting on power sector reforms and solarisation in Islamabad.

According to an official statement, the prime minister said the shift would help cut long standing losses and ensure steady electricity supply in areas that suffer frequent outages.

During the meeting, officials gave a detailed briefing on how loss-making feeders in Khyber Pakhtunkhwa and Balochistan could be converted to solar energy.

The plan focuses on setting up small scale solar microgrids that are affordable, environment-friendly, and easy to manage at the local level.

The prime minister noted that these microgrids would not only reduce the financial burden on distribution companies but also give local communities a sense of ownership.

Under the proposed model, local residents, along with provincial and federal governments, will act as partners in the project.

Officials explained that the initiative would produce low-cost electricity and, over time, sharply reduce the losses faced by power distribution companies (DISCOs).

Prime Minister Shehbaz Sharif gave in principle approval to the plan and directed authorities to immediately launch pilot projects in selected areas of Khyber Pakhtunkhwa and Balochistan.

The move comes at a time when Pakistan is witnessing a clear shift toward solar energy. In recent years, repeated power cuts and rising electricity prices have pushed industrial, commercial, and household consumers to install solar systems.

Reports indicate that by the end of 2025, Pakistan’s net-metering capacity has reached around 6,000 megawatts, while off grid solar capacity has grown to nearly 12,000 megawatts.

According to the International Energy Agency, Pakistan has emerged as one of the world’s fastest growing solar markets, driven by falling prices and widespread use across different sectors.

The country has imported a massive volume of solar panels, making it one of the largest markets for Chinese solar equipment.

Friday’s meeting was attended by Deputy Prime Minister Senator Ishaq Dar, Energy Minister Sardar Awais Ahmad Khan Leghari, Petroleum Minister Ali Pervaiz Malik, Minister of State for Finance Bilal Azhar Kayani, chief secretaries of Khyber Pakhtunkhwa and Balochistan, and other senior officials.

Observers say the decision reflects a practical approach to tackling power losses, easing pressure on the national grid, and moving closer to a cleaner and more sustainable energy future.