KARACHI – Consumers grappling with rising electricity costs and prolonged load-shedding have received some relief as solar panel prices in the local market have dropped by up to 16 per cent following the federal budget announcement.
Earlier, reports suggesting an increase in sales tax on solar panels from 10pc to 18pc had triggered panic buying and stockpiling by traders, pushing prices higher across the market.
However, the federal budget did not include any increase in sales tax on solar equipment, leading to a correction in inflated prices as speculative pressure eased.
Market data shows that solar panel prices have declined by around Rs5,000 to Rs6,000 per unit. The price of a 585-watt panel has fallen from Rs30,000 to Rs25,000, while a 645-watt variant is now priced at Rs29,400 compared to Rs35,000 earlier.
Similarly, a 620-watt panel has dropped from Rs32,000 to Rs26,000, and a 725-watt panel is now available at around Rs30,000, down from Rs36,000.
Industry sources said artificial shortages were also created in key components such as inverters, which led to sharp price increases. Following post-budget stabilisation, inverter prices have also declined by Rs50,000 to Rs70,000.
However, lithium battery prices have continued to rise due to increasing demand in the local market, driven by a growing shift towards off-grid solar systems amid concerns over net metering policies and persistent load-shedding.
Solar distributors say consumer interest in solar installations has increased following the price correction.
A distributor, Saud Farooq, said the current market conditions present a favourable window for households considering solar adoption, adding that solar energy remains one of the most cost-effective alternatives for electricity generation.
He further suggested that the complete removal of sales tax on solar panels could provide further relief to consumers and help attract foreign investment in the sector.
