Pakistan’s predominant landmass receives an overwhelming quantity of sun irradiation every year.

With an increasing focus of government regulations on sustainable practices and a 60 percent reduction in Photovoltaic cell prices over the past decade Solar Renewable energy in Pakistan experiences a surge in demand, reaching up to 19000 megawatts.

Fig. 1: Pakistan’s direct normal irradiation map

Figure 1 demonstrates that Pakistan has a potential in the category of solar renewable energy.

In addition, many small and medium-sized enterprises are now obtaining electricity through the solar energy distribution system. Companies are becoming more self-sufficient with the help of solar renewable energy, thanks to flexible PV plants such as rooftop solar. Moreover, with lucrative solar financing facilities, organizations are now switching towards solar power for energy needs.

Fig. 2: Shows the overall demand, supply of Solar Energy in Pakistan from 2017-2021

Pakistan’s global collaboration for solar initiatives

China Pakistan Economic Corridor (CPEC) has already planned to invest and promote the initiation of clean energy sources via its multiple renewable energy projects. One of them is covering a 1,000MW solar project.

Quaid-e-Azam solar park is a major project initiated by the government with foreign collaboration. With the help of China, Pakistan was able to build 100MW solar capacity at Bahawalpur City.

In addition, the Japan International Cooperation Agency (JICA) assisted the country in constructing a 365W solar facility, bringing in more attention towards the solar investments. As a result, the Alternative Energy Development Board (AEDB) has issued letters of intent to twenty-eight enterprises with a total capacity of 956.52 MW.

These initiatives have encouraged many solar energy companies in Pakistan to continuously bridge the energy and demand gaps in the commercial and industrial sectors (C&I). The solar structures like rooftops, carports, and ground-mount are also facilitating the installation options for all types of enterprises.

UNIDO extends supports to commercial organizations (Featuring Shams Power)

To combat the energy crises in Pakistan, the United Nations Industrial Development Organization (UNIDO) started clean initiatives for business entities.

They initiated a substantial energy program to boost the adoption of RE technology in Pakistan’s industrial sectors. They are also encouraging the trend of Solar Project Finance among businesses to go green.

With UNIDO’s assistance, Shams Power has also managed to secure 12 commercial and industrial sites’ power purchase agreements (PPA) Projects. That said, METRO Pakistan (Pvt) Limited, Packages Mall, and AkzoNobel in Lahore, among many, have managed to sign Solar PPA Agreement under this initiative with Shams Power.

 

Commending the industrial sector’s shift towards renewable energy resources, Omar Malik, Director Business Development of Shams Power Limited, said: “UNIDO and GEF’s Sustainable Energy Initiative has been instrumental in creating market-based adoption of RE technologies and measures in the industrial sectors of Pakistan. Our goal is to scale and replicate this concept throughout Pakistan’s commercial and industrial sites. We believe that we have developed the right expertise and experience with the support of UNIDO that will lead to substantial clean and green industrialization.”

Hence, with UNIDO’s support, knowledge, and experience, Pakistan is now moving one step closer towards a sustained, clean and environment-friendly industrialization.

METRO Cash & Carry launched its “Clean and Green Pakistan” initiative in the year 2019. Metro Pakistan is collaborating with Shams Power to install solar power at all Metro stores, helping them switch to a greener source of electricity.

Shams Power Will Solarize 5 MegaWatt for Metro Stores

Under the long-term Power Purchase Agreement (PPA), Shams Power will invest and install over 5MW solar power plants at rooftop and carports of Metro stores across Pakistan and operate them for the entire duration of the PPA. This model removes all CAPEX responsibility, Operations & Maintenance expenses, and equipment performance risks for Metro. Moreover, the equipment will be transferred to Metro at the end of the PPA, giving them free electricity for the remaining life of the equipment.

Outcomes of this PPA Agreement

The installation will allow METRO stores to reduce 2,639 tons of CO2 emissions each year. It will enable METRO to enjoy 38% savings in electricity bills without any capital investment or upfront costs. METRO Group observes sustainability as an integral element of its company’s core business, and with this project, they will utilize 6,000,000 units per year of clean solar energy. The group strongly encourages that a company’s economic growth comes with sustainable practices. 

In line with their robust sustainability vision, their collaboration with Shams Power Limited has allowed METRO Pakistan to effectively adapt its Sustainable Development Goals (SDG) #7, i.e., Affordable and Green Energy.

Why Shams Power?

Shams Power is one of the most prominent solar energy solutions providers in Pakistan. It effectively provides turn-key solar solutions based on Build-Operate-Own-Transfer (BOOT) model. Shams is the first company to have NEPRA issued Distributed Solar Generation License. Its end-to-end solar services make solar adoption a seamless and smooth transition for the corporates making it an ideal option for the commercial and industrial sector companies.

AkzoNobel Pakistan, a leading chemical and paint company that creates performance coating, decided to go green with solar energy. For this, AkzoNobel collaborated with Shams Power Limited to adopt a solar system in their head office and manufacturing facility in Lahore.

Power Purchase Agreement Points

• Shams Power Limited will utilize the carport structures of AkzoNobel to install a solar power plant that will help them generate 460KW of DC power on a Power Purchase Agreement basis.
• Shams Power Limited will utilize the carport structures of AkzoNobel to install a solar power plant that will help them generate 460KW of DC power on a Power Purchase Agreement basis.
• Shams Power Limited will handle the operation and maintenance of 1,393 panels and other related equipment during the agreement tenure and will hand over the solar system to AkzoNobel after the PPA contract term expires.
• With solar energy, AkzoNobel will be able to plan their energy costs effectively without worrying about the price fluctuations, as they will be only paying a fixed discounted rate per unit.

Expected Outcomes in the Future

AkzoNobel expects to save 387,000 kilograms of CO2 per year of this project. It is equivalent to either replacing 0.4 million pounds of coal burnt to produce electricity or avoiding the use of 1,000 barrels of gasoline. Furthermore, with Shams Power’s assistance, AkzoNobel will have a sustainable and energy-efficient solution.

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Deployment of Green Energy: An Initiative of Shams Power

Through this Build Own Operate and Transfer (BOOT) Model, Shams Power has provided AkzoNobel with a customized solar system to overcome their energy needs using a carbon-free and eco-friendly solution. Given the worrying changes in nature, shifting to a greener alternative has become an essential step toward a cleaner future for Pakistan. AkzoNobel, a socially responsible company, recognizes the necessity of moving towards a carbon-free solution for a better future. Hence, their initiative of deploying green energy is for stepping towards a greener society.

Many companies nationwide are now adopting this cost-effective renewable source for their business operations. You can be a part of this change and join hands with Shams Power to transform your energy mix into a renewable solution.

The international news published the PPA agreement update between Shams and AkzoNobel in their official blog. Check out!

 

Pakistan is one of the affluent countries in terms of solar energy availability. It ranks sixth in terms of solar energy potential and ranges from 1500 to 2200 kWh/m/year.

The industrial and commercial sectors in Pakistan are mainly reliant on non-renewable grid power. One example is Diesel generators; they supply backup power but arecostly and have low reliability. As a result, it is increasingly difficult for firms to thrive in highly competitive global and local marketplaces. Thus, now many firms are looking for greener alternatives like solar energy solutions to run their daily operations without any hassle.

The above underlying factors have consequently encouraged the shift of the industrial sector towards renewable sources.  Pakistan Solar Solutions like Solar PPA rooftop, ground-mounted, and solar carport structures have worked out as a positive instigator for solar power development in the industrial sector. Hence, many firms opt to get electricity from private solar energy providers to reduce the energy deficiency.

Implementation of solar grid solution on a national scale

Pakistan, fortunately, is one of those countries that receive 1,500 kWh/m of irradiance annually over 90% of its land and has a large capacity for solar power generation. The annual mean value of Global Horizontal Irradiance (GHI) for Pakistan, 2071 kWh/m, calls for a great investment opportunity for Solar Power generating companies.

The introduction of the Solar Power Purchase Agreement and BOOT (Built-Own-Operate and Transfer) Model has made the installation of Solar System very convenient.

Solar Power – A Promising Investment 

Pakistan’s industrialists are prepared to diversify the country’s energy mix by engaging in solar power facilities. This approach encourage implementing advanced clean energy technologies like Photovoltaic Solar Energy, Solar Panel Systems, and net metering in the industrial and commercial sectors. Backed by the government’s commitment to promoting sustainable energy, many private firms are now rooting for solar grid solutions on Power Purchase Agreement Basis.

Hence, many firms  are adapting sustainable energy expertise with the help of Solar Power generating companies for long-term benefits. Let’s take a peek at a few of them:

 

Metro Cash & Carry Pakistan Partnering with Shams Power

Metro Cash & Carry Pakistan, signed a solar Power Purchase Agreement (PPA) with Shams Power. The enterprise’s corporate goal was to install Solar Panel Systems at its stores all over Pakistan. It allowed them to incorporate 5MW of solar power systems for reducing 2,639,000 kgs of carbon emissions annually.

 

AkzoNobel Pakistan bears no capital expenditure with Shams Power

AkzoNobel Pakistan, a renowned paints and coatings manufacturer has also installed a solar system at the Lahore production site and office. Shams Power will manage and maintain solar systems for AkzoNobel Pakistan on a Power Purchase Agreement (PPA) basis. This means that AkzoNobel will pay zero for investment and maintenance cost. Thus, Shams Power has constructed a 0.5 MW solar power system as part of this arrangement, saving AkzoNobel Pakistan about EUR 14,000 in electricity expenses and 387,000 Kg of carbon emissions per year.

 

Packages Mall finds Grid Tied connectivity with Shams Power

On a PPA basis, Shams Power installed a 2 MW rooftop solar system at Packages Mall. It will help them to cut carbon emissions by 1100 tons per year. Under the BOOT model, they received a tailored solution in the form of  a Power Purchase Agreement, which enabled them to pursue effective efforts toward a more empowered, greener future.

 

How can a company benefit from Shams Power Solar Solutions?

We at Shams Power are continuously devoted to benefiting industrial and commercial sector corporations socially and environmentally.

 

Pollution Free Energy Conservation:

Shams Power’s On-grid solar solution allows you to keep track of your energy costs.

Our solar PV systems can generate power efficiency for zero carbon emission. Furthermore, our yield and shadow analysis significantly helps in correctly estimating the optimal positioning with the proper angle. Our in-house design team strives to deliver comprehensive panel positioning with better accuracy through utilizing cutting-edge software technologies for our client.

 

Clients leveraging unused resources without any investment:

Shams Power helps you better utilise unused space throughout the PPA-based on-grid solar system and off-grid solar system. Our rooftop solar panels have the potential to absorb an abundant measure of light while still shielding your regular roofing materials from UV rays and other hazards. We do not rely on a single tool to enhance the efficiency of our PV plants; instead, we compare the results of numerous tools and use what we have learned from other initiatives to improve the efficiency of our PV plants.

 

Path to Growth With Shams Power

Shams Power, one of the best Solar Solutions providers in Pakistan. With its solar financing service under BOOT Model, we have found tremendous success in the industrial market, installing mega power plants in various commercial and industrial ventures. 

Our deliverance is reliable and acknowledged by various commercial and industrial enterprises. Our BOOT Model (Built, Own, Operate and Transfer) serves as a catalyst for advancing Pakistan’s ambitious clean energy projects.In addition; we support solar rooftops, ground-based systems, and solar carport structures, covering all procurement, installation, operations, and maintenance expenses.

 

Are you still pondering your energy requirements and options? Partner with Shams Power, and we wll take care of the rest, guaranteeing a smooth transition towards solar power technology without hidden costs and risks.

We have all the necessary components in place required to make the projects successful.

International Energy Agency reports suggest that the consistent growth in the global demand for Social Energy solutions will create an expected rise in solar production to 3300 TWh by 2030.

This possibility of an efficient energy supply spike in developing countries indicates a strong socio-economic development relationship with its production capacity. However, many developing countries like Pakistan, where large energy production mainly relies on non-renewable sources, still face prolonged power shortages due to Energy Transmission and Distribution constraints.

The unreliability of the grids and transmission lines has called for a rise of new significant measures to produce energy with a sustainable solution. Hence, the demand for renewable energy solutions like solar PV systems has been progressively rising in the commercial and industrial sectors of the country.

With the introduction of rooftop and ground-mount solar applications, the implementation of the Solar System in Pakistan is helping large corporates to capitalize on solar energy for a better future.

Promising Scope of Solar in Pakistan

Solar Power is the most affordable and environmentally sustainable way to overcome Pakistan’s energy deficit if its demand in industrial and commercial sectors is increased. With this approach, Pakistan’s government has also set a target of producing about 10 GWh of renewable energy by 2030. Furthermore, to maintain and expand the country’s solar power resources, the Alternative Energy Development Board (AEDB) also abolished solar energy tax duties in 2006.

Hence, these uplifting policy regulations have encouraged large corporations and industrial sectors in Pakistan to collaborate with private energy providers to adopt renewable energy as a potential replacement for traditional energy sources.

Shams Power is one of Pakistan’s recognized solar energy providers, serving the commercial and industrial sectors by facilitating solar sustainability on a PPA basis. Renowned corporates like METRO Cash & Carry Pakistan, Packages Mall, Maxim Agri Pvt Ltd, Nishat Hyundai, Emporium Mall, AkzoNobel Pakistan, and many more have chosen clean and green energy through power purchase agreement plan with zero upfront cost and guaranteed savings in return for discounted rates on energy tariff.

What does a commercial and industrial solar installation look like?

Solar Energy brings a tremendous amount of convenience to corporate sectors and solar financing investors. Since Pakistan is known to have an enormous capacity for solar power, every merchandising firm, factory owner, and educational institute can get the benefits of solar energy in one way or another.

With the help of Solar PPA, many solar installations like rooftop and ground-mounted solar have become feasible for different industrial and commercial sectors, and many corporations are pursuing more solar projects on a PPA basis. Apart from reducing the carbon footprints, it attracts environmentally conscious clients looking for sustainable practices while doing a business.

Hence, contrary to traditional grid energy, with the PPA Rooftop solar power plant, companies avail a guaranteed saving from Day 1.

Enhancing efficiency with Rooftop Solar

The designs of factory roofs should be flat and broad with enormous unused space, making it more convenient for the company to use the available area to install solar power plants for proper production.

The rooftop solar spaciously utilizes the free space with flexible architectural designs to maximize solar energy output from better angles by doing the yield and shadow analysis.

In Pakistan, many businesses, including Multi-National companies, have large production plants with plenty of flat roof areas, making it ideal for generating renewable and low-cost solar energy to capitalize on existing unutilized resources.

Moreover, in the case of the Rooftop Solar Power Plant, the analysis of yield and shadow should be done, so the implementation of the solar system becomes simpler and quicker.

Accessibility to Commercial Entities

Commercial property owners can significantly reduce the expenses of electricity and operational activities by adopting more practical resources. As Shams Power is installing Commercial Rooftop Solar Power Plant on a Solar PPA basis, so it’s very profitable for large commercial businesses, especially when renting commercial facilities to other companies.

Hence, the Rooftop Solar solution reduces the net energy bills while shielding the retail spaces, large corporates, manufacturing units, and warehouses.

Convenience to Industrial Corporations

Industrialists are encouraged to fulfill their energy needs with renewable energy. Solar System in Pakistan facilitates the industrialists to utilize solar power plants at full potential and saves the incentives of tax exemptions and capital subsidies.

With the initiation of multiple flexible solar buying opportunities like Solar PPA, the cost of installing a solar system for industrialists has become zero. Therefore, now all industries can take the lucrative benefits of switching their energy supply to a clean, green, and sustainable solution.

The flexible availability of solar applications like rooftop solar has changed the power industry in many ways. Providing opportunities for flourishing production growth has altered the dynamics of the power industry.

End-to-End Solar Services for more significant benefits

The solar industry has been evolving continuously, and more companies are now shifting towards captive solar solutions. Shams Power is one of Pakistan’s leading solar providers, offering its comprehensive services in commercial and industrial sectors all over Pakistan for Rooftop, Ground-Mounted, and Car-Port solar installation under solar Purchase Power Agreements (PPA), thus diminishing any financial risk for businesses.

Shams Power leverages its flexible and premium services in the solar industry by offering unique solutions for every type of company. By offering a diverse range of solar power solutions, including Rooftop Ground-mounted, and carport solar structured Power Plants, our skilled team provides all-inclusive and reliable services to its clients, including the initial costs of design and finance procurement, installation, operations, and maintenance facilities. Our end-to-end solar assistance can be recognized by the significant commercial and industrial market entities adopting our solar PV systems.

With zero investments, hassle-free operation, and maintenance facility, the solar Purchase Power Agreement (PPA) operations are performed safely and securely. These Solar endeavors always aim to encourage environmental sustainability and decrease electricity costs by boosting the demand for Solar systems in Pakistan.

 

 

Solar energy is a natural renewable source of energy that is derived directly through the sun. The irradiance coming from the sun is converted into solar power, which is also an excellent profitable way to produce electricity. If we talk about Solar energy, it is transformed into three different processes: directly using photovoltaics; indirectly with the use of concentrated solar power through solar panels etc. or a combination of the two photovoltaics and concentrated solar power. With the sun being a direct, ample and readily available natural resource, there is a boom of solar energy companies in Pakistan providing energy-efficient solar power supply to industrial and commercial sectors.

 

Solar Energy in Pakistan

The sun is free and is an overly abundant resource available in Pakistan. According to the study shown by the World Bank (Report) on Solar Mapping, it states that more than 90% of Pakistan’s area receives 1,500 kWh/m² of irradiance and 75% of the land has an annual Global Horizontal Irradiance (GHI) of over 2,000 kWh/m².

 

However, solar energy and the process of converting direct sun heat into electricity do not come cheap and inexpensive. It is a one-time investment that requires high capital cost and operation management. Still, the return on investment is worth the price, not only in terms of renewable electricity production but also the reduced negative and harmful impact on the environment compared to burning non-renewable sources of energy like coal. Hence, it is where Solar PPA companies come into play.

 

Solar PPA Company Pakistan

Being a long-term contract arrangement, solar PPAs make solar energy in Pakistan even more accessible for business users, industries, and commercial sectors alike. With this type of agreement, customers get a reliable energy solution ranging from ten to twenty-five years. Moreover, solar electricity units are priced lower than the local utility rate for customers. Thus, in this type of agreement, repairs and maintenance, upkeep, and all other costs are borne by the solar energy provider. Therefore, the customer gets a discounted electricity rate with zero cost on maintenance and any operational hassle, resulting in a risk-free investment plan. Once the PPA contract term has reached its customer’s expiry, the solar power plant is then transferred to the customer free of cost.

 

What is a Solar PPA?

A Solar PPA or a Solar Purchase Power Agreement is a solar financing agreement between a customer and PPA solar companies or solar developers. According to this model, the customer does not incur the cost of a solar system setup. Under the PPA model, the customer will be entitled to all benefits, including design, materials, investment, and installation, all being taken care of by the developer. Moreover, the customer will benefit from using solar power generated electricity produced from solar panels. Solar electricity production would also be at a cheaper rate as compared to standard utility electricity bills.

 

What are the advantages of opting for Solar PPA?

Solar PPA is a revolution within the solar energy system globally and is now accessible within Pakistan too. With the main barrier to solar energy being capital-intensive, solar PPAs allow customers to enjoy solar energy without incurring operational and maintenance costs. As soon as the solar energy system is installed at the customers’ site, they can start reaping the benefits with a fixed discounted pricing of solar electricity.

 

1. Zero or Minimal Cost of Capital Cost

As mentioned before, the most significant advantage of Solar PPA is that you can enjoy all the benefits without worrying about any setup costs. The developer takes care of the entire process, making it hassle-free for the user. From planning, sizing, materials, area survey, procurement and installation, everything is taken care of by the solar PPA provider.

 

2. Decrease in Electricity or Utility Bill

Under the PPA model, the customer gets fixed electricity pricing for the entire contract duration. The contract’s final pricing is always lower than the price of the customer’s regular electricity bills. Utility electricity bills are also subject to inflation and unexpected price hikes, whereas, with solar renewable energy contracts, the pricing terms are fix in the agreement.

 

3. Low Risk Arrangement

Solar PPAs are a low-risk arrangement for the customers as the service provider controls the entire process end to end. With solar panel infrastructure on the premises, either in the form of a ground-mounted system, carport system or rooftop system, the customers always experience a seamless solar electricity delivery.

 

4. Increase in Property Valuation

Having a solar plant system installed on your property increases the property’s worth and value over time. Having your own power plant enables energy savings for a lifetime.

 

Shams Power for Solar PPA

If you are looking to have a Solar Purchase Power Agreement, Shams Power has the best tailor-made solutions for you. With the Purchase Power Agreement, Shams Power sets up the solar system on your commercial and business area for free, with zero investment and operation maintenance cost. Hence, with such an appealing offer and years of industrial experience, Shams Power has undoubtedly become one of Pakistan’s leading PPA solar companies. Shams Power is a joint venture between Pakistan’s leading energy companies PITCO and Orient Operating Company. Shams Power provides its customers with very reasonable and economically feasible solar priced power plant options to customers.

 

The Solar PPA at Shams Power offers agreements for up to 25 years with bespoke solutions, supporting clean and green energy without investing any capital, equipment or investment. With savings from day one, strong technical expertise, the backing of financially strong sponsors and no capital investment, Shams Power is the right option for anyone seeking solar solutions.

 

 

News Story Link

Shams Power is the first and only company in Pakistan with a Distributed Solar Generation License from NEPRA, which allows it to sell electricity legally in Pakistan.