An important decision about the removal of taxes on solar and wind energy manufacturing. The federal government has proposed this idea to the parliament.
It is expected to be approved soon and after this policy of five-year tax elimination for energy equipment manufacturers will be applied. The aim behind this decision is to promote the use of renewable and solar energy to cater to the electricity needs of the public.
Pakistan is facing a problem of electricity shortage from many years. The less electricity manufacturing sources cannot cater to the needs of people properly.
The exclusion of tax on solar and wind power equipment will increase the manufacturing of renewable energy sources. According to the current estimate, the renewable power sources will contribute 20% to 30% of the national electricity grid.
It will be a great increase in the power supply as the current supply from renewable sources is just 5% to 6% according to the Alternate Energy Development Board.
More policies and decisions are expected in this matter including the cut duties on imported components for renewable energy products, the availability of components for this purpose and many more.
All this will contribute greatly to increase the electricity supply sources by using renewable sources and products.