Solar energy is gaining traction in Pakistan, with more individuals and organizations turning to it for their energy needs. However, the high cost of inverters presents a significant obstacle to the sector’s growth.
Inverters, which convert DC power into alternating current for grid integration, are essential to solar power systems. Their high prices increase the overall cost of solar installations, making them less competitive compared to traditional energy sources.
In an interview with WealthPK, Zulfiqar Ali, CEO of Safeway Renewable Energy, a solar solution provider, warned that the rising cost of inverters could hinder the rapid expansion of solar energy in Pakistan. He noted, “The government’s efforts to promote renewable energy and reduce dependence on fossil fuels may be undermined by these high inverter costs.”
Ali emphasized that while solar panel prices have decreased, the overall expense of installing a solar power system remains prohibitive for many. He suggested that the government and industry should collaborate to address this issue, potentially by promoting local manufacturing of inverters or reducing import duties. “Controlling inverter costs could allow Pakistan’s solar sector to thrive and contribute significantly to the country’s shift towards greener energy sources,” he said.
Additionally, Ali recommended that the government offer incentives or low-interest loans to both individuals and businesses to encourage solar adoption and ease the financial burden.
Rafiullah Shams, a manager at RS Solar Solution, a supplier of solar inverters, also spoke to WealthPK, highlighting that solar panel imports had already exceeded last year’s total of 4,000 gigawatts within a few months. “While this surge has made solar panels more affordable, the benefits are being offset by the high prices of batteries and inverters, which are crucial to solar power systems.”
Shams noted a troubling 30-40% increase in inverter prices, which could deter people from transitioning to solar energy. He urged the government to help facilitate this shift by reducing inverter costs and making solar power systems more affordable.
“Government support is essential for achieving desired outcomes and fostering solar power adoption,” Shams concluded. “By addressing the high costs of batteries and inverters, the government can make solar energy a more feasible option for both individuals and businesses, leading to a more sustainable future.
