ISLAMABAD: In a major victory for renewable energy advocates, the National Assembly’s Standing Committee on Finance has rejected a proposal to impose an 18 percent sales tax on imported solar panels. The proposal, initially part of the draft budget for 2025-26, sought to level the playing field between imported and locally manufactured units.
Speaking after the committee meeting, members stressed the importance of promoting clean energy and warned that the proposed tax would undermine Pakistan’s net metering policy and increase costs for homeowners and small businesses. They pledged to review the broader impact of any such tax on net metering and the adoption of solar energy.
The committee’s decision comes amid growing concerns that expensive upfront costs could stifle the growth of green energy. Consumer groups and environmentalists have welcomed the move, saying it preserves affordability and supports the government’s renewable energy goals.
