Pakistan’s installed electricity generation capacity has increased significantly, reaching 49,651 megawatts, according to the latest Economic Survey.
The report highlights an 8.5 percent rise in capacity, mainly driven by solar net metering additions and changes in the national energy mix.
Electricity Capacity Reaches 49,651 MW
The installed electricity generation capacity of Pakistan has climbed to 49,651 MW during FY2025-26.
This marks a notable increase compared to 45,782 MW recorded in the same period of the previous fiscal year.
A year earlier, the capacity stood at 45,888 MW, showing a steady upward trend in power generation capability.
The growth reflects structural changes in the energy sector, especially the rapid expansion of solar-based generation.
Solar Energy Drives Capacity Expansion
Solar net metering contributed significantly to the increase in capacity.
During the first nine months of FY26, around 7,319 MW of installed capacity was added through solar systems.
This surge highlights growing adoption of renewable energy solutions across households, businesses, and industries.
However, the sector also saw closures of 13 independent power plants with a combined capacity of 5,105 MW.
Out of these, several were fuel-based and gas-based plants, reflecting ongoing shifts in the energy production mix.
Changing Energy Mix and Generation Trends
The electricity generation mix shows a gradual transition away from thermal dependency.
Thermal power now accounts for 49.2 percent of total generation, although its dominance has declined over time.
Hydel, nuclear, and renewable energy together contribute 53.1 percent of total electricity generation, indicating increased reliance on cleaner sources.
The Economic Survey describes this shift as a positive development toward more sustainable energy production.
Electricity Consumption Patterns Across Sectors
Total electricity consumption in Pakistan rose to 83,143 GWh during July–March FY26.
This reflects a 3.8 percent increase compared to the same period in FY25.
The household sector remains the largest consumer of electricity, although its share has declined to 47.5 percent.
Industrial consumption increased significantly to 26,205 GWh, rising from 21,083 GWh in the previous year.
This growth reflects improved industrial activity and rising demand from production sectors.
Decline in Agricultural Electricity Usage
Electricity consumption in the agriculture sector dropped sharply by 42.3 percent.
It fell from 4,566 GWh to 2,636 GWh during the reporting period.
As a result, its share declined from 5.7 percent to 3.2 percent.
The report suggests that higher electricity costs, changes in irrigation methods, rainfall patterns, and a shift toward diesel or solar alternatives contributed to this decline.
Petroleum Sector Sees Rising Demand
During the same period, petroleum product consumption increased to 13.64 million metric tons.
This marks a 3.5 percent rise compared to the previous year.
The transport sector remained the largest consumer, accounting for 82.5 percent of total demand.
Industrial consumption, however, dropped significantly by 42.6 percent, indicating a shift toward alternative energy sources.
Pakistan’s petroleum imports also rose to 13.88 million metric tons, increasing the import bill to $8.9 billion.
Gas Sector Expands Infrastructure and Supply
Natural gas continues to play a major role in Pakistan’s energy mix, contributing 29.3 percent to primary energy supply.
The country operates an extensive gas network serving over 10.9 million consumers nationwide.
During FY26, the average gas consumption stood at 2,929 mmcfd, including RLNG imports to meet supply gaps.
Authorities expanded infrastructure by laying new pipelines and connecting nearly 95 villages and towns to the gas network.
Additionally, almost 149,908 new gas connections were provided across domestic, commercial, and industrial categories.
Outlook for Energy Sector Development
The Economic Survey indicates that Pakistan is gradually shifting toward a more diversified energy mix.
Renewable energy, particularly solar, is playing an increasingly important role in capacity expansion.
At the same time, industrial demand and infrastructure development continue to shape overall consumption patterns.
The report suggests that future energy planning will focus on balancing affordability, sustainability, and growing national demand.
