After a lengthy decline in solar panel prices, market experts now predict that prices may stabilize or even increase in the coming months as import volumes decrease.

The recent drop in solar module prices led to a surge in imports, as buyers raced to meet the growing demand for renewable energy solutions. However, recent data reveals a significant shift. In September 2024, Pakistan’s solar panel imports plummeted to 1,010MW, marking a 63% decline from the peak of 2,762MW recorded in April. This downward trend continued, with imports in August at 1,121MW.

The sharp decrease in imports is mainly due to shipment delays and logistical challenges, resulting in a stock of solar panels that primarily consists of leftover inventory from previous months. While immediate price increases are not expected, ongoing supply chain issues suggest that prices could rise as stock levels diminish.

Earlier this year, the significant drop in solar panel prices prompted a surge in imports from domestic, commercial, and industrial consumers seeking relief from rising electricity costs. However, as imports decline, market insiders caution that the available supply may only last a few months. This tightening could lead to longer wait times for new shipments if demand increases or if further delays occur.

Industry experts believe that prices have now stabilized after reaching their lowest levels, with further decreases unlikely due to dwindling stock availability. Consumers hoping for additional price reductions may find themselves facing higher costs or delays as inventory runs low.

Experts are advising potential buyers to act quickly, as current prices and stock present a prime investment opportunity. While the solar panel market is expected to remain stable for now, decreasing supplies could disrupt deliveries if demand surges.

The initial boom in solar panel imports was driven by rising demand for affordable renewable energy amid increasing electricity prices and energy shortages. Global reductions in solar panel prices made this technology more accessible, encouraging a shift toward solar power in Pakistan. However, the recent slowdown in imports raises concerns about future availability in the market, potentially leading to a price rebound as supply tightens.