Predicting Consumers’ Actual Purchase Behavior towards Residential Photovoltaic Solar System as A Sustainable Source

Abstract

The Pakistani government has devised a plan to motivate its citizens to invest in renewable energy sources like solar panels, offering them tax discounts, simplifying financing options, and launching social media campaigns. However, the utilization of these environmentally friendly products as residential solar panels is still in its infancy stage in Pakistan. The objective of this study was to examine those essential factors that motivate consumers to purchase residential solar panels in Pakistan. A self-administered questionnaire survey was employed, and the connivance sampling technique has been used. The primary data was collected from Pakistan. Further, the data was collected in two stages: first, the response was taken from those consumers who showed the intentions to purchase solar panels, and second, the data was filled in from those individuals from the same population who had installed solar panels on their roofs. A total of 450 questionnaires have been filled out of 380 responses that were considered for the analysis after removing the outliers. Smart PLS software has been used to perform the analysis. Structural equation modeling (SEM) has been applied. The findings of this study shall help policymakers formulate strategies to bolster environmental sustainability initiatives using solar energy technologies.