Pakistan Power Division offers cash incentives for solar battery storage at evening peaks

The Power Division in Pakistan has proposed a new incentive that would pay owners of solar batteries Rs 18‑22 per kilowatt‑hour for electricity supplied between 5 p.m. and 10 p.m., the period of highest evening demand. The scheme aims to turn batteries into a grid‑support tool as evening peak demand has exceeded 26,000 MW, straining the national grid.

Battery storage is expanding rapidly: lithium‑ion battery imports rose from 42 MWh in January 2024 to a record 652.2 MWh in April 2026, valued at about Rs 126 billion ($455 million). The growth is outpacing regulatory development, with safety standards, grid‑connection rules and tariff structures still under‑defined. Without regulation, increased solar‑battery adoption could shift more consumers away from the grid, leaving remaining users to shoulder a larger share of electricity costs.