Addressing Financial Barriers Influencing the Adoption of Solar PV: The Role of Business Models

Pakistan is struggling to cope up with its mounting energy needs. The gap between electricity generation and consumption is widening, leaving power cuts as an only choice to bridge the gap. The adverse effects of this crisis can be observed at household and industrial level. In order to mitigate the impacts of this prolonged load shedding, people have started using power generators, uninterrupted power supplies and solar photovoltaics (PV) for generating electricity at homes and work. Solar power, a promising renewable energy source in Pakistan, renders an excellent opportunity to be a sustainable and environmentally friendly alternative for self-generation. However, despite all the benefits it can offer, its adoption is at earlier stages, citing high cost as one of the major barriers. The objective of this study is to explore how the barrier of high cost can be addressed to enhance the use of solar PV in Pakistan. By using the qualitative case study design, the findings of this research highlight the need to introduce innovative business models to make solar PV affordable.