Pakistan, Aug. 17 -- Pakistan's rapid shift toward solar energy is reducing electricity demand and sales, creating growing financial pressure on the national power system as consumers generate more of their own electricity.

National electricity demand fell 8.66% year-on-year during the April-June quarter, while sales by distribution companies declined by around 10%. Lower sales mean fixed generation costs and capacity payments are spread across fewer electricity units.

The Islamabad Electric Supply Company recorded a 16% decline in electricity demand during the quarter. Its sales fell 10.77% in April, 3.55% in May and 6.29% in June compared with the corresponding months last year.

Overall demand dropped 16% in April, 8% in May and 2% i...