Renewable energy is being developed globally to overcome the depletion of natural resources and mitigating the global issue of climate change. The increasing energy crisis and environmental concerns make renewable energy more critical for a sustainable future. Renewable energy technologies have a great potential across the globe. Pakistan being a developing country is continuously facing energy crisis and an emphasis on industrialization is increasing carbon emissions. Renewable energy development provides necessary solutions, particularly in developing countries where energy demands have to be met through an economical and environmental friendly way. This paper explores the significance and potential of renewable energy development in developing countries i.e. Pakistan and how it can contribute to reduce the environmental impacts for mitigating climate change. It argues that the current policy measures and infrastructure is inadequate to implement renewable energy technologies, also discussing various renewable energy sources. The critical review of the literature and case-based experiences has been used as an overall approach to this paper. It will help in exploring renewable energy strategy and its implementation in developing countries in comparison to developed economies. It concludes with an integrated and comprehensive policy recommendations and possible solutions to develop a strategic approach to renewable energy