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Sindh energy minister urges PM Shehbaz to refrain from taxing solar panels

Calls for supporting individuals who are utilising solar panels
Workers prepare solar energy light panels on a road divider in Islamabad, Pakistan on February 2, 2014. AFP
Workers prepare solar energy light panels on a road divider in Islamabad, Pakistan on February 2, 2014. AFP

Sindh Energy Minister Nasir Shah has urged the government to refrain from imposing taxes on solar panels.

In a statement on Saturday, he said that taxes on solar panels will burden the public with increased costs, considering the already high electricity prices in the country and the lack of accessibility in many areas.

He emphasised the importance of supporting individuals who are utilising solar panels.

His statement came in reaction to reports that the Central Power Purchasing Agency (CPPA) had proposed levying taxes on individuals and businesses installing solar panels, and a summary had been forwarded to the Ministry of Energy.

But the Power Division has refuted reports suggesting the imposition of a fixed tax on domestic and commercial solar panel installers. It confirmed that the government was planning to cut net metering buyback tariffs for commercial and residential consumers who have installed solar systems.

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Shah highlighted the exorbitant cost of electricity in Pakistan, which has become a burden for the general public. He further points out that several regions in the country still lack access to electricity altogether. In such circumstances, citizens have switched to solar panels as an alternative source of energy to brighten their homes.

The Sindh minister urged the government to extend assistance to those who have installed solar panels by waiving taxes on their import and purchase.

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