Cut from 18pc to 10pc: Solar panel prices to go up 4.6pc only, Aurangzeb tells Senate
ISLAMABAD: The prices of imported solar panels would increase 'only by 4.6 percent' as a result of the reduction in the tax – from 18 percent to 10 percent — on the imported solar panels, in the proposed federal budget for the upcoming financial year, Finance Minister Muhammad Aurangzeb informed the Upper House of the Parliament on Saturday.
Winding up the budget debate in the Senate, Aurangzeb said the initial decision of imposing 18 percent tax on solar panels in the proposed federal budget aimed at protecting the local industry and creating an equally competitive environment to help start indigenous production of the solar panels.
'However, after detailed deliberations in both the Houses (of Parliament), and keeping in view the recommendations of the respected members, the government, in exhibition of seriousness and flexibility, has reduced proposed tax from 18 percent to 10 percent, and it would be applicable on the imported parts of solar panels that constitute 46 percent. So, imported solar panels' prices would increase by only 4.6 percent,' the minister said at the session, in which the Senate adopted the recommendations of the Senate Standing Committee on Finance and Revenue, before the House was prorogued.
Taxing solar panels to backfire as Pakistan needs time to bolster manufacturing: Experts
The minister said he received reports that some elements were involved in the hoarding of imported solar panels even before the imposition of the proposed 10 percent General Sales Tax (GST) to make more money. 'This is totally condemnable. I strictly warn such elements that the government will take every possible step to ensure public interest. Nobody would be allowed to exploit the public. Strictest action would be taken against these elements,' Aurangzeb reiterated.
He requested Law Minister Azam Tarar, who was present in the House, to coordinate with the provincial governments to 'bring these culprits to justice.'
The finance minister said 'more safeguards' were included in the proposed federal budget in relation to the powers of Federal Board of Revenue (FBR), to prevent misuse of power, and for better enforcement to counter fraud cases.
He said the federal government's expenditure increased by 'only' 1.9 percent compared to previous years when it was recorded 'sometimes 10 percent, sometimes 12 or 13 percent.'
The Benazir Income Support Programme (BISP) budget has been increased to support weakest segments of the society including widows, orphans, elderly citizens and special persons, said the finance minister, adding that the decision would financially support around 10 million families.
'No mini-budget was introduced in the last financial year. We maintained fiscal discipline, controlled inflation, increased forex reserves, and brought notable improvement in the current account. The purpose of all these steps is to pull Pakistan out of the quagmire of economic uncertainty, and put it on the road to sustainable progress,' said the minister.
Like last year, this year too, more than 50 percent of recommendations of the Senate would be made part of the Finance Bill 2025, he hoped.
Earlier, Chairman Senate Standing Committee on Finance and Revenue Saleem Mandviwalla presented the report containing the committee's recommendations regarding the Finance Bill 2025.
Some key recommendations to the government, related to the Finance Bill 2025, as shared by Mandviwalla, included, continuing rebate on the taxes on the salaries of teachers/professors, increasing minimum wage up to 50,000 rupees, reduction in taxes on salaried class, monthly allowance of Rs 10,000 monthly for special persons, not to increase taxes on 800cc vehicles, not to increase taxes on print, media and IT (information technology) services, increasing government employees' salaries, among other recommendations.
Last year, 52 percent Senate recommendations regarding the proposed federal budget were accepted by the government, the senator said, adding that he would ensure that the government accepted more than 52 percent of the recommendations this year.
Deputy Chairman Senate Syedaal Khan presided over the Senate session.
Copyright Business Recorder, 2025
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Express Tribune
3 hours ago
- Express Tribune
President says skill development vital
President Asif Ali Zardari formally launched the Benazir Hunarmand Programme at a ceremony held at Aiwan-e-Sadr on Saturday. Speaking on the occasion, the president underscored the importance of education and skill development, stating that every household should be equipped with the tools of learning and education. He said that BISP was based on the philosophy of Zulfikar Bhutto Shaheed whose legacy was carried forward by Shaheed Mohtarma Benazir Bhutto, who believed in inclusive prosperity and education for all. "We are determined to realize her vision for the uplift of marginalized segments of society," the president said. First Lady Aseefa Bhutto Zardari was also present at the launch of the programme. Highlighting the importance of the Benazir Hunarmand Programme, President Zardari noted that skills development was crucial not only for national progress but also for preparing a skilled workforce to meet the growing demand in international markets. "We should equip our youth with modern technical skills needed globally," he remarked. He particularly stressed the significance of the nursing profession, calling it one of the most sought-after fields internationally, and urged that special priority should be given to training in this area. President Zardari also underlined the importance of learning foreign languages alongside modern skills to enable our youth to get jobs in foreign markets. Referring to his previous tenure, the President recalled that he had launched the Benazir Income Support Programme (BISP), which became a cornerstone of social protection in Pakistan. He expressed gratitude to former Finance Minister Naveed Qamar, acknowledging his valuable role in the launch and implementation of BISP. He said, "Benazir Income Support Programme (BISP) will be improved further and more programmes will be added." The President said that the Benazir Hunarmand Programme is a continuation of that legacy, aimed at uplifting communities through empowerment and opportunity. He reiterated his resolve to ensure that the youth of Pakistan are provided with the skills, education, and opportunities necessary to build a prosperous country.
Business Recorder
5 hours ago
- Business Recorder
Azma praises Maryam's governance model
LAHORE: Punjab Information Minister Azma Bokhari has said that Maryam Nawaz's governance model is non-political and people-centric. Responded to opposition allegations, Azma stated that in the past, democratic voices were suppressed in the House, but under Maryam Nawaz's leadership, every member now enjoys complete freedom of expression. She emphasized that the current budget prioritizes public welfare. A substantial amount of Rs300 billion has been allocated for law and order, and the Punjab police have been equipped with modern weapons, transform them into an effective force against terrorism. Police posts have now been established across the province, even in remote riverine areas, she said. Azma Bokhari highlighted that Rs811 billion have been allocated for the education sector. This includes school upgrades, establishment of modern IT labs, and provision of new furniture, distribution of Google certifications, laptops, and scholarships. She added that although a false case was filed against Shehbaz Sharif's laptop scheme, its positive impact is now clearly visible. In the health sector, Rs630 billion have been earmarked. This includes revamping of public hospitals, provision of free medicines, improvements in health clinics, and the deployment of young doctors. Medical services are now available at the Union Council level, and free medications are being provided for serious diseases such as cancer, hepatitis, and tuberculosis, she said. On the matter of local government elections, Bokhari reminded the opposition that it was they who once dissolved elected local bodies in Punjab. She confirmed that the process for new local bodies' elections is already underway. Copyright Business Recorder, 2025
Business Recorder
5 hours ago
- Business Recorder
Zardari launches ‘Benazir Hunarmand Programme'
ISLAMABAD: President Asif Ali Zardari formally launched the Benazir Hunarmand Programme saying every household should be equipped with the tools of learning and education. The president expressed these views while addressing a ceremony held at Aiwan-e-Sadr on Saturday. He underscored the importance of education and skill development, stating that every household should be equipped with the tools of learning and education. He said that BISP was based on the philosophy of Zulfikar Ali Bhutto whose legacy was carried forward by Benazir Bhutto, who believed in inclusive prosperity and education for all. 'We are determined to realise her vision for the uplift of marginalised segments of society,' the president said. First Lady Aseefa Bhutto-Zardari was also present at the launch of the programme. Highlighting the importance of the Benazir Hunarmand Programme, President Zardari noted that skills development was crucial not only for national progress but also for preparing a skilled workforce to meet the growing demand in international markets. 'We should equip our youth with modern technical skills needed globally,' he remarked. He particularly stressed the significance of the nursing profession, calling it one of the most sought-after fields internationally, and urged that special priority should be given to training in this area. President Zardari also underlined the importance of learning foreign languages alongside modern skills to enable our youth to get jobs in foreign markets. Referring to his previous tenure, the president recalled that he had launched the Benazir Income Support Programme (BISP), which became a cornerstone of social protection in Pakistan. He expressed gratitude to former Finance Minister Naveed Qamar, acknowledging his valuable role in the launch and implementation of BISP. He said, 'Benazir Income Support Programme (BISP) will be improved further and more programmes will be added.' The president said that the Benazir Hunarmand Programme is a continuation of that legacy, aimed at uplifting communities through empowerment and opportunity. He reiterated his resolve to ensure that the youth of Pakistan are provided with the skills, education, and opportunities necessary to build a prosperous country. The president said June 21 was an important day for Pakistan People's Party as it was the birthday of Benazir Bhutto. 'It is also a day of sorrow as we lost Mohtarma Benazir Bhutto who guided us with her wisdom and farsightedness,' he added. Chairperson Benazir Income Support Programme Senator Rubina Khalid said Benazir Income Support (BISP), since its inception 17 years ago, had become the largest social protection programme. Under the programme, women were declared head of the household and received financial help for their 10 million families, she added. BISP was also in the forefront to disburse timely financial assistance to flood affectees in 2022 and during the COVID pandemic, she noted. She said BISP had always been more than a safety net, it was a commitment to inclusion, dignity and transformation of people especially women. Benazir Hunarmand Programme, while using the database of BISP will create an empowered and self-reliant citizenry, which will be capable of participating productively in economic endeavours, she explained. The programme, she said, would offer practical and demand-driven training in multiple fields enabling critical economic and social change and causing poverty alleviation. Copyright Business Recorder, 2025
