The Central Power Purchasing Agency (CPPA-G) has recommended that the government of Pakistan levy a tax on both residential and commercial users who have installed solar power systems. This proposal entails a tax of Rs. 2,000 per kilowatt on solar panel users.
What is the Proposal by CPPA-G?
The CPPA-G has suggested that the government impose a tax of Rs. 2,000 per kilowatt on both residential and commercial users who have installed solar power systems. This proposal has been sent to the Ministry of Energy (Power Division) for further consideration.
How Will the Tax Be Calculated
If approved, users with a 12-kilowatt solar panel system will have to pay a tax of Rs. 24,000.
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The Ministry of Energy (Power Division) has forwarded the proposal to the Prime Minister for approval. Once approved, an application will be submitted to the National Electric Power Regulatory Authority (NEPRA) to decrease the buyback rates of net metering electricity.
Why is the government proposing this tax?
The government aims to generate revenue from solar panel users to support the national grid and infrastructure development.
Who will be affected by this Solar tax?
Both residential and commercial users who have installed solar power systems will be affected by this tax.
Conclusion
The proposal to impose a Rs. 2000 per kilowatt tax on solar panel users is under consideration by the government. If approved, this tax will affect both residential and commercial users, and the revenue generated will be used to support the national grid and infrastructure development.