Socio-Economic impacts of Decentralized Solar Projects in Bajuar Agency, FATA

Abstract

This study assessed the current status and future prospects of solar energy adoption at the regional level using primary data collected from 100 respondents through a structured questionnaire. Descriptive statistical techniques, including frequency distributions and percentages, were used to summarize socioeconomic characteristics, while correlation and regression analyses were employed to examine the determinants of solar energy adoption. The findings indicate a positive and growing trend in solar energy usage; however, financial constraints significantly limit its widespread adoption. A large proportion of respondents belong to low- and middle-income groups, and poverty remains a major barrier to investing in solar systems for households and small businesses. While solar energy offers substantial environmental and economic benefits, its expansion depends heavily on effective government intervention. Policy measures such as subsidies, soft financing schemes, public investment in solar infrastructure, and the development of solar grid stations are essential to enhance accessibility and affordability. By promoting renewable energy adoption, governments can reduce load-shedding, decrease long-term energy costs, stimulate economic growth, and contribute positively to national GDP while ensuring environmental sustainability. Overall, solar energy presents a promising pathway toward energy security and sustainable development, provided that supportive institutional frameworks and financial mechanisms are effectively implemented.

Keywords: Socio-Economic, Decentralized Solar Projects, Bajuar Agency, FATA, National GDP