Pakistan is a developing country, where majority of the population living in the rural are centrally dependent upon performance of agriculture sector. Rising population and rapid urbanization has resulted on high dependence on energy. Energy consumption in the country has increased tremendously in past two decades, with agriculture sector now being modernized and technically upgraded with improved new agro farm technologies. Pakistan has been under severe energy crisis since last decade. Annual budget deficits (as a result of circular debt), lack of political coherence and absence of vision and prioritization at state level, altogether have caused energy shortfall to persist and affect the attached segments of the economy negatively. In this scenario, agriculture sector has suffered deeply and so has common rural man for being dependent on agriculture sector for living. This vicious circle of low energy sources leading to low income growth needs to break as per to attain sustainability and growth in long run. Renewable energy, around the world is changing the energy scene. Traditional sources of energy already have caused serious threat to atmosphere, with strongly realized impacts of fossil fuel combustion on global warming. Here, renewable energy options seem to serve the purpose of fulfilling energy needs as well as being sustainable and climate friendly option in the future. Among renewable energy options, solar energy has abundance of potential in Pakistan. Pakistan lies in the region where energy generation from Solar Photovoltaic (PV) is in the high range, 5 kw/m 2 / day. Tapping this potential to address energy crisis in Pakistan, specifically when alternate fossil fuel based energy options are either absent or incur a high operational cost, is a dire need of time. This study analyzes potential of solar energy to be used in pumping water for irrigation purposes. A pilot case study of water shed management and lift irrigation using solar energy by PARC at Thatti Gujran, Fatah Jang has been taken for the analysis. The feasibility of this project, in three dimensions, (environmental, economic and social) has been calculated in this study, in comparison to a diesel. Economic tools being used for this purpose are Life cycle costs (LCC), Net present Value (NPV), Internal Rate of Return (IRR) and CBA (Cost benefit ratio).Sensitivity analysis has also been performed to analyse the impact of change in key parameters on economic indicators. Results indicate solar powered pumping system to be more viable than diesel powered pumping system. Same feasibility analysis has been attempted to be configured through simulations on RET screen , an emerging software which analyses the feasibility of projects using Renewable Energy Technologies, and similar viability of SPPS has been observed. Annual GHG reduction cost has been estimated by RET screen which indicates annual social benefit as a result of using clean energy. Supervisor:- Dr. Aneel Salman