The report highlights the critical role of energy-efficient housing in Pakistan to encourage sustainable development. It highlights the benefits of advanced heating and cooling’ system and energy-efficient appliances compared to standard ones. The analysis indicates that implementing these energy-efficient measures can significantly reduce overall and peak energy demands, lowering them to levels below current consumption. Transitioning to energy-efficient housing is vital for Pakistan's sustainable future, offering various environmental, economic, and social benefits. For example, making just 25% of homes energy-efficient could result in a substantial 3,000 megawatts reduction in energy demand. This shift not only supports environmental conservation but also fosters economic stability. The potential environmental impact includes savings of 11.49 million metric tons of carbon dioxide emissions and PKR 442.6 billion in annual energy costs. The report reveals that if all residential houses were upgraded to be energy-efficient, the peak load could decrease by 28%. Even a 50% upgrade could lead to a 14% reduction in peak load. Notably, the residential sector accounts for 53% of the peak load, emphasizing its significance in overall energy demand. The findings indicate a potential 50.5% efficiency improvement in peak loads, advocating for immediate action to implement energy-efficient practices in homes in Pakistan.