ISLAMABAD – Proposals made by the federal government in budget for next fiscal year 2025-26, including imposition of 10 percent tax on imported solar panels, will come into effect from July 1 that marks the start of the new financial year.
The Finance Bill 2025-26 will become an Act once it is signed by President Asif Ali Zardari today (June 30).
Initially, Finance Minister Muahammad Aurangzeb had proposed imposition of 18% tax on imported solar panels. However, the proposal did not sit well with the business community who urged the government to abolish it or revise it down.
Following the reaction, the government has decided to reduce the tax on solar panels to 10% and it will come into effect from July 1, 2025.
New Solar Panel Prices from July 2025
The current solar panel prices ranges between Rs28-38 per watt depending on the brand and quality of the panels.
With the imposition of 10% tax, the prices of imported solar panels would increase accordingly and these will be notified by the dealers in July 2025.
Meanwhile, Prime Minister Muhammad Shehbaz Sharif said on Sunday that the government would not discourage the solarization boom in the country, as he welcomed the ongoing process, which is regarded as the most inexpensive way of producing electricity in the world.
Addressing the inaugural ceremony of ‘Apna meter; Apni reading’, a power smart mobile application, developed by the Ministry of Energy Power Division, the prime minister said that Pakistan was among the few countries where solarization process was rapidly taking place.
Referring to vital reforms in the power sector, the prime minister termed the launch of the mobile app as a revolutionary reform step that would benefit the consumers.
Its introduction in five languages would improve the provincial coordination and harmony among the provinces, he added.
The ceremony was attended by ministers, parliamentarians and relevant authorities.
