After growing quickly for several years,
Pakistan's solar energy sector is now slowing down, mainly because the government has reduced the net-metering buyback rate to Rs10 per unit. But in May 2025, there’s some good news for consumers. Prices of small to mid-sized solar systems, especially batteries and inverters, have slightly gone down.
Solar sellers in big cities like Lahore, Karachi, and Islamabad say that system prices are lower than they were in the last quarter. This could be a good time for people, especially homeowners and small businesses, to install solar systems and rely less on the national power supply.
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A breakdown of current market prices reveals that entry-level systems are more accessible than before:
| System Size |
Total Estimated Cost |
| 1KW |
Rs175,000 – Rs180,000 |
| 3KW |
Rs450,000 – Rs460,000 |
| 5KW |
Rs500,000 – Rs550,000 |
550W Tier-1 N-type Solar Panel: Rs45,000
Inverex Veryon 1.2KW Inverter: Rs75,000
Battery: Rs28,000
Installation & Accessories: Rs27,200
Despite a net-metering policy that experts say has curtailed investor enthusiasm, solar system costs—particularly for batteries and mounting structures—have softened, largely due to improved supply chains and increased local competition.
