Daily Times

Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Regional Chairman Muhammad Nadeem Qureshi Saturday hailed the government’s decision to abolish 17 per cent General Sales Tax (GST), imposed on the import of solar panels.

He told the media here that in a recent meeting with the federal finance minister, the FPCCI delegation had raised the issue of 17 per cent GST on solar equipment among other topics. Following the FPCCI request, the government abolished sales tax on solar equipment. He said that energy prices are already high in the country and like in other countries to transfer green energy; there was an urgent need to exempt tax on solar energy in Pakistan. Nadeem said that US$20b could be saved from green energy. “We have to move to solar and wind power. Promoting alternative sources of energy is an urgent need of the hour, he added. He said that the State Bank would issue instructions to all commercial banks from considering solar equipment as a bank guarantee and issuing a lease. This will increase the use of solar energy equipment and the country will soon get out of the energy crisis. The State Bank should also eliminate the condition of 100 per cent cash margin deposits when opening a letter of credit for the import of solar equipment.