Business
Renewable sector seeks tax cut | The Express Tribune
KARACHI:
Renewable energy stakeholders have urged the Engineering Development Board to slash taxes on lithium battery cells to support domestic production and green energy adoption, according to a statement on Friday.
Pakistan Renewable Energy Development Forum Chairman Irfan Allahawala said cells are taxed at 50%, discouraging local battery assembly. High duties keep battery prices elevated, creating a barrier to renewable energy transition.
He called for a level playing field to attract investors for local manufacturing. Pakistan imported 26,000 MW of solar panels during 2022-2024, all requiring batteries. Lithium?ion battery imports reached 1.25 GWh in 2024 and are projected to hit 2.5-3 GWh in 2025. Lower taxes would reduce reliance on imported petroleum products and lower the import bill, Allahawala added.