Pakistan's energy mix shifts as renewables, hydro, nuclear surpass thermal power

Pakistan's energy sector is undergoing a notable transformation, with clean and indigenous sources like hydel, renewable, and nuclear power now accounting for more than 50% of the installed generation capacity. This marks a historic shift, surpassing thermal power for the first time, according to the Pakistan Economic Survey.

The government's pursuit of energy security, affordability, and sustainability has driven this gradual move away from imported fuels. Total installed electricity generation capacity has climbed to 49,651 megawatts, an increase from the previous year. Hydel, nuclear, and renewable sources collectively contributed 53.1% of the total electricity generated during July-March, reinforcing the trend toward cleaner energy.

Electricity consumption has risen, with households remaining the largest users, followed by industrial demand. Notably, agricultural sector consumption has fallen sharply, attributed to the increasing adoption of solar-powered alternatives and evolving irrigation practices. The Private Power and Infrastructure Board continues to attract substantial foreign investment, facilitating over 102 independent power producers and bringing more than $35 billion into the country.

Developments include a new bagasse-based power plant and ongoing work on solar projects. Thar coal remains a key component of Pakistan's energy strategy, with several coal-fired power projects operational and efforts to substitute imported coal with indigenous Thar coal at major China-Pakistan Economic Corridor (CPEC) plants. Pakistan's six nuclear power plants also contribute significantly to electricity generation, helping to avoid millions of tons of greenhouse gas emissions.