ISLAMABAD – The federal government made a new move to hike the sales tax on imported solar panels by 18%. According to Finance Minister Muhammad Aurangzeb, this move aims at creating a level playing field between locally manufactured and imported solar panels as part of the federal budget for fiscal year 2025-25.
The initiative seeks to establish fairness between imported and locally manufactured solar panels and is anticipated to greatly enhance the growth of Pakistan’s domestic solar panel industry, according to the Finance Minister.
Federal Finance Minister Muhammad Aurangzeb, in his budget speech, reiterated the government’s stance to fulfill their commitments of reforming the sales tax system and addressing its issues. Furthermore, he added that the imposition of this tax is a key step towards achieving equality in competition within the solar panel market. The government believes that this measure will promote local production, stimulate economic growth, and potentially create new job opportunities in the country’s renewable energy sector..
