Sindh energy minister opposes proposed tax on solar panels

KARACHI: Sindh’s Energy Minister Nasir Shah has opposed suggestion of tax imposition over solar panels, ARY News reported on Saturday.

“Certain quarters have recommended imposition of tax on solar panels to federal government. This step will further overburden the poor class,” Nasir Hussain Shah has said in a statement.

“I plead to the prime minister avoid imposing tax on solar panels,” provincial minister said.

He also suggested offering convenience packages to people for purchase of solar panels.

It is to be mentioned here that the Central Power Purchasing Agency (CPPA) has proposed the federal government to impose tax on individuals using solar panels for residential or commercial purposes.

The sources privy to the development said that the CPPA has proposed a tax of Rs 2,000 per kilowatt on residential and commercial consumers installing 12 kilowatts or more.

The CPPA’s recommendation, which was sent to the Ministry of Energy (Power Division) for approval, has now been forwarded to Prime Minister Shehbaz Sharif for final approval.

After the prime minister’s approval, the consumers who install 12 kilowatt solar panels will have to pay a tax of Rs 24,000.

Meanwhile, the federal government is also reviewing the prices of solar panels as a suggestion to reduce the prices of solar panels is under consideration.