Shams Power: How Industrial Solar Power System Helps to Grow an Industry in Pakistan

The Pakistani solar energy sector is on a steep growth trajectory. This is fueled by an attractive financial incentive.

The country is located in the sun belt and has enormous solar potential. Sindh, Baluchistan, and some areas in southern Punjab have a high solar irradiance throughout the year.

Industrial solar power systems are designed to provide a reliable and uninterrupted power supply for businesses. They help companies grow their businesses by eliminating the reliance on traditional energy sources.

1. Reduced Electricity Bills

The cost of electricity in Pakistan is very high and it has a negative impact on economic growth. To address this issue, industrial solar power systems are a great solution to help reduce energy costs.

Unlike traditional fossil fuels, solar energy is clean and renewable. In addition, it offers many financial benefits. Solar panels can save businesses money on their monthly electricity bills, and they can also sell excess energy back to the grid through net metering.

Compared to wind and hydropower, solar PV is the most practical, accessible, and affordable renewable energy source in Pakistan. The country is enriched with solar radiation throughout the year, and the daily average solar irradiance varies from 1500 to 2750 watts per square meter in southern Punjab, Sindh, and Baluchistan.

2. Reduced Carbon Footprint

As Pakistan faces high electricity prices, increasing demand, and frequent power outages, a new solution is needed. Rather than continuing to invest in fossil fuels or building new coal plants, industrial solar systems can help lower carbon emissions and increase productivity.

In 2021, the country submitted its first climate pledge under the Paris Agreement – the “nationally determined contribution” (NDC). But the plan’s goals have been questioned by experts and activists, Deutsche Welle reported earlier this year. For instance, Pakistan’s frenzied coal rush in the Thar Desert is displacing indigenous communities and polluting desert ecosystems.

This study aims to examine the relationship between adopting SHSs for small-scale industry development in Pakistan and its performance. The findings confirm that the low-cost energy provided by SHSs, enhanced energy supply through SHSs, and the quality of SHSs have positive nexuses with the financial performance of small-scale industries. These variables also moderate the impact of other factors such as green financing and COVID-19 risks.

3. Increased Productivity

Energy plays a critical role in developing modern economies. It is the core of all human activities and without it, a country cannot function properly. However, Pakistan is currently facing a severe energy crisis due to high electricity demand and a shortage of power supply.

Traditional grids are unable to provide enough energy to meet the increasing demands, leaving large populations deprived of electricity. In addition, transmission and distribution losses are high, which exacerbates the energy shortfall.

The use of solar power is the best solution to this problem. It is a cost-effective, reliable, sustainable, and environmentally friendly source of energy that can be used for commercial purposes.

Industrial solar systems can help reduce energy costs, improve productivity, and enhance the financial performance of small-scale industries in Pakistan. This is possible because the SHSs are able to deliver low energy costs, and off-grid energy levels, and overcome the power shortfall for industry in Pakistan.

4. Increased Sales

The industrial sector of Pakistan is growing at a rapid pace. To keep their production going, these industries need a large amount of energy. Unfortunately, the country suffers from a severe shortage of electricity.

This problem is due to a number of factors, including power outages, high energy costs, and a weak transmission and distribution network. It is also the result of an overuse of fossil fuels, which has led to environmental risks and global warming.

However, the good news is that there are ways to solve this problem. One option is to use solar energy. Solar systems are a renewable energy source that can help reduce electricity bills for industrial users in Pakistan. In addition, they can also provide a sustainable source of energy for the future. This will not only help to reduce the cost of operating an industrial unit, but it can also help to improve its financial performance. This is because it will help to increase sales for the company.