Green energy companies want lower taxes.

Pakistan bought 26,000 MW of solar panels from other countries between 2022 and 2024.

BY Mahnoor | 16-05-2026

Workers install solar panels at a renewable energy site as green energy companies call for lower taxes to support clean energy growth.
Green energy companies push for lower taxes to support clean energy growth.

KARACHI:
People involved in renewable energy are asking the Engineering Development Board to lower taxes on lithium battery cells. This would help local companies make them and encourage the use of green energy, according to a statement released on Friday.

Irfan Allahawala, head of the Pakistan Renewable Energy Development Forum, stated that a 50% tax on cells hinders local battery production. These high taxes make batteries expensive, slowing down the shift to renewable energy.

He asked for fair rules to bring in investors for local factories. Pakistan bought 26,000 MW of solar panels from 2022-2024, all needing batteries. Lithium batteries imports were 1.25 GWh in 2024 and should reach 2.5-3 GWh in 2025. Allahawala said lower taxes would cut the need to import oil and lower import costs.

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πŸ‘‰Tax on petroleum increases by 45% to Rs 1.2 trillion.

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