Abstract: Electric power shortfall in Pakistan is 2000MW in winter and it reaches 6000MW in summer season. Conventional energy sources are used to provide 80 % of Pakistan electric power. This paper gives the solution of shortfall by utilizing wind and biomass sources in Punjab province of Pakistan. The hybrid system of biomass and wind energy is modelled in this paper for the Punjab. The technical and economic analysis was presented for the rural areas. The animal manure was used as the feedstock of biomass. The biogas from the anaerobic digestion of the biomass was used to fulfil the energy needs. The wind potential location in Punjab was highlighted in this paper. The optimization of the model is performed irrespective of fossil fuels share. A sensitivity analysis of at least 27 % share from renewable sources is executed and the results are discussed. A comparative study of different RES hybrid systems is being discussed with respect to cost. It was found that the biomass wind hybrid system is the most comprehensive alternative to be adopted among other RE systems.