Latest news with #WaqasMoosa
Business Recorder
12-06-2025
- Business
- Business Recorder
PSA opposes 18pc GST on imported solar panels
LAHORE: The Pakistan Solar Association (PSA) has voiced strong opposition to the proposed imposition of 18% General Sales Tax (GST) on imported solar panels, as outlined in the Federal Budget 2025–2026. In a formal representation submitted to the Ministry of Power, the PSA cautioned that the move could significantly derail Pakistan's progress in renewable energy adoption at a critical juncture. According to the PSA, the imposition of this tax risks reversing the positive momentum built over the past several years, which has enabled widespread access to clean, affordable energy and contributed to national energy security. The association argues that the GST will increase the upfront cost of solar installations, making the technology less affordable for households and small businesses already grappling with high electricity prices. PSA Chairman Waqas Moosa emphasised, 'At a time when the world is accelerating toward clean and renewable energy, this tax may inadvertently discourage solar adoption and undermine our collective climate and energy goals.' The association challenged the rationale that the tax would protect local manufacturing, stating that Pakistan currently lacks a large-scale or high-efficiency solar panel manufacturing base. Local units mostly produce low-wattage panels that do not compete with imported technologies, making the protectionist impact of the tax marginal at best. In its letter, the PSA proposed alternative solutions such as phased incentives for local solar assembly, R\&D support, and GST exemptions for residential and small-scale solar buyers to strike a balance between industrial policy and clean energy access. The Association urged the government to reconsider the proposed GST, warning that higher costs could make solar less competitive than fossil fuels — which are not only environmentally harmful but also strain Pakistan's foreign exchange reserves. The PSA reaffirmed its commitment to collaborate with policymakers on sustainable, forward-thinking strategies to achieve energy independence and ensure long-term energy security for Pakistan. Copyright Business Recorder, 2025
Express Tribune
18-03-2025
- Business
- Express Tribune
Net metering changes threaten solar industry
Listen to article Chairman of the Pakistan Solar Association (PSA), Waqas Moosa, has warned that proposed changes to net metering regulations will significantly impact the dynamics of the solar industry, particularly the residential and Small and Medium sized Enterprises (SMEs) sectors. The proposed regulations aim to extend the payback period for on-grid photovoltaic (PV) systems to around three years, compared to the current 1.5 years. In contrast, hybrid (solar + battery) systems with lithium-ion batteries already offer a payback period of under three years, with ongoing technological improvements expected to shorten this further. "We anticipate a surge in demand for solar + battery solutions in the coming months," Moosa said. However, he criticised the decision as detrimental to the country's power sector in the long run. The significant gap between the export rate of Rs10 and the Rs50-60 savings per unit from self-consumption will drive more consumers toward battery storage. "As customers realise the benefits of self-storage, many will extend their off-grid hours, reducing demand for DISCOs. This will lead to higher electricity prices for remaining consumers, disproportionately impacting lower-income householdsthe very group these policy changes claim to support," he explained. Moosa also condemned the lack of consultation with industry stakeholders, stating that abrupt policy changes could destabilise the market. "Equipment supply chains cannot be adjusted overnight. Traders with on-grid inventory will face losses, while prices for hybrid systems and batteries may spike," he said.
Express Tribune
18-03-2025
- Business
- Express Tribune
Solar panel prices fall after new government policy changes
Refuting rumours of new taxes on solar power, Minister for Power Awais Leghari stated that the government has no such plans in the near future. photo: file Listen to article Pakistan's solar industry is facing uncertainty following recent amendments to the net metering policy, with solar panel prices seeing a decline. As a result of these changes, consumers now find solar energy options more affordable, with prices dropping by Rs35,000 to Rs175,000. A 5 kW solar system now costs between Rs500,000 and Rs550,000, while larger systems like a 10 kW unit are priced above Rs800,000. The price reduction follows the government's decision to lower the buyback rate for solar net metering to Rs10 per unit and implement net billing for new consumers. The move aims to control rising grid electricity costs but has sparked criticism from industry leaders who argue it could negatively impact consumers and the solar sector. Meanwhile, the Pakistan Solar Association (PSA) has expressed concerns over the new regulations, particularly their impact on residential and small-to-medium enterprises (SMEs). PSA Chairman Waqas Moosa noted that the amendments will increase the payback period for on-grid solar systems from 1.5 years to around three years, making off-grid, hybrid solar systems more appealing. These hybrid systems, which often incorporate advanced lithium-ion batteries, offer shorter payback periods, potentially shifting demand away from grid-connected systems. The PSA has called on the government to engage more with industry stakeholders before finalising such policy changes, warning that the new approach could reduce grid demand and drive up electricity prices for remaining consumers.
