Business leaders seek tariff relief at solar expo

Industry demands 3% financing scheme for batteries, lower EV taxes

LAHORE:

Business leaders on Friday urged the government to rationalise electricity tariffs and introduce a concessional financing scheme for solar batteries, as they inaugurated the three-day Solar & Storage Expo at the Expo Centre Lahore.

United Business Group Patron-in-Chief SM Tanveer and Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Regional Chairman Zaki Aijaz jointly opened the exhibition, which brought together more than 100 leading international and local companies showcasing state-of-the-art solar technologies, energy storage solutions, electric vehicles (EVs) and renewable energy products.

Addressing the inaugural ceremony, Tanveer and Aijaz said the promotion of solar energy has become imperative for Pakistan's industrial growth, export competitiveness and energy security. They said ensuring access to affordable and sustainable energy for the industrial sector is a national economic priority.

They urged the government to rationalise electricity tariffs during peak hours to reduce the financial burden on industries. They also highlighted that taxes on electric vehicles in Punjab remain comparatively high and called upon the provincial government to lower these taxes to encourage clean transportation.

They appealed to federal and provincial governments to introduce a dedicated financing scheme for solar batteries at a concessional markup rate of 3%. Such an initiative, they said, would enable industries to significantly reduce energy costs and strengthen their competitiveness in international markets.

The business leaders welcomed the government's decision not to impose additional taxes on solar panels, batteries and inverters, describing it as a positive measure. However, they stressed that additional policy initiatives and practical incentives are essential to accelerate Pakistan's transition towards green energy.

Aijaz observed that Pakistan is grappling with multiple challenges, including high electricity tariffs, escalating production costs, heavy reliance on imported fuels and environmental degradation, all of which have affected industrial competitiveness. He noted that nations worldwide are strengthening their economies by investing in renewable energy, while Pakistan has been endowed with abundant solar resources.

He emphasised that harnessing this immense natural potential is essential for achieving energy independence, promoting sustainable industrialisation and securing long-term economic prosperity.