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Reading: Power Division Refutes Solar Tax Claims as Misleading
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Sindh Solar Energy Project irregularities
PhotoNews Pakistan > Pakistan > Power Division Refutes Solar Tax Claims as Misleading
Pakistan

Power Division Refutes Solar Tax Claims as Misleading

Web Desk
By Web Desk Published April 27, 2024 1 Min Read
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Image Credit: PV Tech
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The Power Division dismissed claims about a proposed fixed tax on solar power as unfounded and misleading.

The division confirmed that no such proposal had been submitted to the government. It highlighted the ongoing subsidy of Rs 1.90 per unit, which aids approximately 25 to 30 million low-income consumers but imposes significant fiscal pressures.

The division warned that these consumers could face an additional Rs 3.35 per unit cost without intervention.

Power Division has refuted reports of imposition of fixed tax on solar power.@MoWP15 #News #RadioPakistan https://t.co/9BrnSwGg7f pic.twitter.com/FKJCI0SvdB

— Radio Pakistan (@RadioPakistan) April 27, 2024

Introduced in 2017, the Net Metering Policy was designed to encourage the use of alternative energy. Since then, solar power adoption has surged.

The division reviews the system and considers amendments to ensure that low-income consumers do not face increased financial burdens. It also committed to safeguarding the investments of 150,000 to 200,000 net metering consumers.

Read: Sindh Energy Minister Opposes Proposed Tax on Solar Panels in Pakistan

This clarification follows reports that the Central Power Purchasing Agency (CPPA) had suggested a tax of Rs 2,000 per kilowatt for users with installations of 12 kilowatts or more, a proposal allegedly forwarded to the Ministry of Energy for potential approval by Prime Minister Shehbaz Sharif.

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