As the global market for renewable energy solutions expands, geospatial analysis is becoming crucial for optimizing solar potential. The current study assesses the suitability of installing PV solar system in the Mardan, Peshawar, and Nowshera districts in Pakistan using a multi-criteria decision-making (MCDM) approach. Analysis of different parameters, such as topography, land use and land cover (LULC), solar radiation and land surface temperature (LST), were performed to find the appropriate locations for solar in their respective regions. The study employed binary classification and weighted overlay methods to detect patterns of spatial suitability. Peshawar showed maximum ability with 859.8 km² categorized as favorable with a projected annual power output capacity of 67.77 trillion kWh and a decrease in CO₂ emission of 2.78 billion metric tons. Mardan closely followed the suitable area with 828.4 km² with energy generation of 39.74 trillion kWh/year and reduction of CO₂ emissions by 1.63 billion metric tons. Nowshera has an appropriate area of 503.0 km², for energy output of 670.06 billion kWh, and CO₂ reduction of 27.46 million metric tons. These results underline the importance of combining geospatial and meteorological data for accurate planning of solar energy systems. By highlighting location-specific features, including topography and solar irradiance illustrates the importance of tailoring energy outputs and environmental impacts to local contexts. These insights help guide policymakers in driving renewable energy projects, and support Pakistan's sustainable development and climate targets.