Realizing the need of technology and scientific education in Pakistan Department of Physics at AIOU began in 1998 with technological needs in areas like Energy, Energy Efficiency, Climate, Energy for Sustainable Development, Renewable energy, Hydrogen Energy, Environment, astronomy, nanotechnology, materials science, Plasma, Medical Physics, Cosmology, Geo Physics, Density Functional Theory (DFT), and nuclear fields. A major emphasis of current research activities are on promotion in renewable energy and related areas in which the Department have led to innovations. The Department is presently running M.Sc, M.Phil and PhD degree program with specialization in various disciplines. New fields of specialization and programme of studies are approved and be operational from the next academic year. Apart from capacity development activities Department of Physics has been involved in several international, national and regional research projects. Physics Department has developed research linkage with other National and International Universities and research organizations of repute to ensure two-way flow of knowledge.