The federal government has approved Rs14 billion to transition agricultural tubewells in Balochistan to solar power, aiming to reduce dependence on conventional electricity and help alleviate circular debt in the energy sector.
This decision was made during a steering committee meeting chaired by Deputy Prime Minister Muhammad Ishaq Dar, where progress on the initiative was reviewed. The meeting was attended by the Balochistan chief minister, federal power minister, and senior officials from the finance ministry, Power Division, and Balochistan’s energy department.
According to a report by the Quetta Electric Supply Company (Qesco), the Balochistan government had already disbursed Rs12.4 billion of the sanctioned funds by March 1. Qesco currently manages 50 agricultural electricity feeders in the province, with outstanding receivables totaling Rs564 billion.
The meeting revealed that, so far, 4,539 connections, 2,378 poles, and 2,626 transformers have been removed, reducing Balochistan’s agricultural energy load by 67.4 megawatts. Balochistan has a total of 27,437 subsidized agricultural tubewells, along with an additional 10,263 unauthorized tubewells.
Under the plan, farmers will receive Rs2 million per tubewell upon disconnection, with the costs shared between the federal and provincial governments in a 70:30 ratio. A third-party verification process will be conducted to ensure the project is implemented properly.
Concerns were raised about the slow pace of the project, prompting Dar to instruct the Balochistan government and Qesco to accelerate the transition.
This initiative is part of the federal government’s broader strategy to tackle the circular debt issue in Pakistan’s power sector. Balochistan’s agricultural sector has long faced challenges with bill payments, contributing to growing energy sector liabilities. By shifting tubewells to solar power, the government hopes to ease financial pressures on both the government and farmers, while ensuring a more sustainable and reliable energy supply for agriculture.