THE ECONOMIC IMPACT OF SOLAR ENERGY ADOPTION ON INDUSTRIAL GROWTH IN PAKISTAN

Abstract

Solar energy utilization has developed as a viable option, providing clean, affordable, and consistent power to the industrial sector of Pakistan. This research examines the effect of solar energy adoption on industrial performance, operational efficiency, and cost reduction in Pakistan. As it follows a quantitative research approach, the research uses secondary data obtained from government reports and industry sources and employs correlation and multiple regression analysis to determine the extent of association between solar energy adoption, government subsidies, operational reliability, and industrial growth. Evidence suggests that longer operational hours through secure electricity greatly increase industrial production, with solar uptake and subsidies having positive though less statistically significant impacts. The results highlight the need for holistic policies integrating solar promotion, subsidized targeting, and stable energy infrastructure to increase industrial development. This study offers useful knowledge for policymakers, investors, and industrial stakeholders alike, underscoring the economic merit of solar energy and paving the way for Pakistan's transition to sustainable, low-carbon, and energy-secure industrial development.