On May 29, 2012 Pakistan has stepped ahead by inaugurating the first ever solar power on-grid power plant in Islamabad. The Project titled "Introduction of Clean Energy by Solar Electricity Generation System" is a special grant aid project of Japan International Cooperation Agency (JICA) under Cool Earth Partnership. This project includes the installation of 178.08 kW Photovoltaic (PV) Solar Systems each at the premises of Planning Commission and Pakistan Engineering Council, Islamabad which would cater to the needs of both, the Planning Commission (P Block), Pak Secretariat and Pakistan Engineering Council Buildings. Combining the generation capacity of both the PV systems, a total of 356.16 kW of electricity can be generated by the entire setup.
This is the first on-grid solar PV project which has the arrangement of net-metering thereby allowing the beneficiaries to sell the surplus electricity to Islamabad Electric Supply Company (IESCO), the electricity distribution company of Islamabad Division. The Project is executed with the grant assistance worth 480 million Yen (approx. 553.63 million Pakistani Rupees) in three years of time commencing from 2010.
50 to 100 MW of photovoltaics is expected to be installed in 2013, and at least 300 MW in 2014.
Raja Pervaiz Ashraf, then Federal Minister of Water & Power has announced on July 2, 2009 that 7,000 villages will be electrified using solar energy in the next five years
Chief Minister’s senior advisor Sardar Zulfiqar Khosa has also stated that the Punjab government will begin new projects aimed at power production through coal, solar energy and wind power; this would generate additional resources.
The Government of Pakistan has allowed the provincial government of Sindh to conduct research on the feasibility of solar power. The government is planning to install a water filtration plant to make the seawater sweet through solar energy, said Sindh Minister for Environment and Alternative Energy, Askari Taqvi.