No Proposal Under Consideration to Tax Solar Panels: Minister

Federal Minister Khawaja Muhammad Asif Monday said no proposal for imposing any tax on solar panels is on the table.

In a post on “banned” X, the minister clarified that no summary has been initiated by the Central Power Purchasing Agency (CPPA-G) or by the Power Division in this regard.

He further clarified that taxing a product is not even the mandate of CPPA-G and it belongs to the Federal Board of Revenue (FBR).

Net Metering Punishes Poorer Households

However, he added that the net metering regime, as practiced today, unduly punishes non-participant poorer households.

The minister said that the net metering regime is being reviewed to ensure that:

1. Existing net-metered consumers (roughly 175,000) remain protected.
2. No further burden is shifted to those consumers (roughly 25 million) who are not net-metered; the current additional burden for such consumers is Rs. 110 billion per annum.
3. A path to a just transition to renewable energy including solar remains viable.