LAHORE – The prices of solar panels have registered a significant increase after the federal government proposed 18% tax on imported panels in budget 2025-26.
The proposal of increasing the tax has jolted the local market of solar panel where prices have moved up, putting an additional burden on buyers.
Reports said the price of solar panel increased by Rs5.5 per watt, taking the new rate to Rs35.5 compared to pre-budget rate of Rs30 per watt.
585 Watt Solar Panel New Rate June 2025
The price of 585 watt solar panel has witnessed an increase of around Rs3,200, taking the new rate to Rs20,767 from previous Rs17,550.
The move will ultimately increase the installation cost of the solar setup for a household in the country.
The traders have urged the government to withdraw the proposal regarding imposition of 18% tax on solar panel imports.
Tax on Imported Solar Panels in Budget 2025-26
Earlier this week, Federal Finance Minister Muhammad Aurangzeb presented the budget in the National Assembly with total outlay of Rs17.6 trillion.
In the budget, the federal government proposed imposition of 18 percent tax on the import of solar panels.
The finance minister argued that to bring fairness to the sales tax system and address its long-standing flaws, several measures are being proposed.
He mentioned that to ensure a level playing field between imported and locally manufactured solar panels, it has been proposed to impose an 18% tax on the import of solar panels.
He added that this measure will play a key role in promoting Pakistan’s domestic solar panel industry.
