Farmers shift to solar as energy costs rise

June 24, 2025 (MLN): Farmers across Punjab have increasingly transitioned their agricultural tube-wells to solar energy in response to rising input costs driven by expensive electricity and diesel.

Agricultural experts have welcomed the shift, considering it a positive development for the agrarian economy.

Currently, over 1.2 million agricultural tube-wells are in use nationwide.

Of these, 85% are located in Punjab, 6.4% in Sindh, 3.8% in Khyber Pakhtunkhwa, and 4.8% in Balochistan.

Most tube-wells continue to rely on either electricity or diesel.

According to WealthPK, electricity tariffs for agricultural consumers have risen to Rs44 per unit over the past five years.

Similarly, diesel-powered tube-wells have become financially burdensome.

The cost of irrigating one acre of land now stands at around Rs3,000 with diesel and Rs1,500 with electricity-powered tube-wells.

Kisan Board Pakistan (KBP) Punjab Secretary General Akhtar Farooq Mayo highlighted that the cost drops significantly down to just Rs50 per acre when using solar-powered tube-wells.

This, he said, enables farmers to save millions of rupees monthly.

Mayo also pointed out a sharp decline in global solar panel prices.

“The price per watt has dropped from Rs130 to Rs35, making solar tube-wells highly affordable for farmers,” he added.

As part of a major initiative, the Punjab government has announced a subsidy scheme to convert 8,000 tube-wells to solar energy across the province.

Punjab Agriculture Department Director General (Water Management) Rana Tajammal Hussain confirmed that balloting for the solarization scheme has been completed and that implementation is set to begin in July.

The provincial government has allocated Rs9 billion for the project.

Under the scheme, subsidies will be provided based on the horsepower of the solar kits: Rs500,000 for 10-horsepower kits, Rs750,000 for 15-horsepower kits, and Rs1 million for 20-horsepower kits.

The remaining cost is to be covered by the farmers or landowners.

Agricultural expert and Director of Farmers Associates Pakistan (FAP), Ibad Khan, praised the initiative, as APP reported.

He noted that lowering energy costs would reduce overall agricultural input expenses, raise farmers' incomes, and help curb food inflation in the country.

Khan also urged the government to fully exempt agricultural solar panels from all taxes to accelerate the shift to sustainable and affordable energy sources for farmers.

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