This paper emphasized on the importance and challenges for the promotion of SET in Pakistan. 75% of the energy is supplied by the fossil-fuels and 13% of energy needs are meet by biomass. The fossil-fuel for the use o f energy has harmful impacts or effect on the environment in many ways. The magnitude of Renewable-Energy Sources (RES) is enormous, and the energy gap can be filled by promoting these RES. Pakistan is an energy-deficient country and these RES call be utilized to meet the challenges of energy deficit. But these energy technologies are unable to compete with conventional energy sources in open-market and is facing number of challenges.