solar user in Pakistan

Latest on Imposition of Tax on Solar Users in Pakistan

Previously renowned websites had published the imposition of tax by Government of Pakistan on solar users. Few of them are appended here with links:

ARY News

Pakistan Observer

Bol News

The Nation

Pro Pakistani

The Daily Guardian

What are the Latest Details Now?

In a statement, the power division stated there is no truth in the news of solar power fixed tax. The Central Power Purchasing Agency or Power Division has not sent any such summary to the government in this regard.

The power division said the Net Metering Policy of 2017 was aimed at promoting alternative energy in the system.   There has been a phase where the solarization has increased very rapidly.

The power division said that such proposals and amendments are being considered to save the poor from further burden.

The statement affirmed to protect the investment of one hundred and fifty to two hundred thousand net metering consumers.

What is Authority of News?

Government of Pakistan’s own website of Radio Pakistan has published this information.

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Solar user in Pakistan

Tax, Tax and Tax on All Solar Users in Pakistan

With rising electricity bills, frequent power outages, and falling solar panel prices, Pakistan, a country of over 240 million people, witnessed a growing trend toward solar energy. However, solar panel users now face significant taxes.

What are the Details?

According to people with knowledge of the situation, the Central Power Purchasing Agency (CPPA-G) suggested to the government that homeowners and business owners who had solar panels installed pay a fee.

The power purchasing agency submitted a summary to the Ministry of Energy (Power Division) regarding this proposal. The suggested tax is Rs2,000 per kilowatt for both residential and commercial solar panel users.

The 12-kilowatt panels would pay Rs.24,000 in tax as reported by initial reports. The ministry has forwarded the summary to the prime minister for approval.

Information has been confirmed by ARY Official News Channel as well

Solar Net Metering rates to be cut by Rs10 per unit?

The swift rise in solar net metering installations is posing difficulties for the government and making it more difficult for it to control capacity rates.

It has been criticized that officials intend to lower the rates paid to customers who use net metering to generate solar power. The government wants to lower the amount that net metering customers receive for surplus electricity supplied back into the grid from Rs. 21 to Rs. 11 per unit. This will result in a loss of Rs. 10 per unit for solar power providers.

The cost of capacity charges, which Independent Power Producers (IPPs) must pay regardless of actual electricity purchases, has an impact on this choice. Power corporations want to extend this payback time to ten years, but the government maintains that, despite worries, the present rate allows consumers to recover their solar panel installation expenses within eighteen months.

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