ISLAMABAD: Solar panel prices have surged across Pakistan ahead of the federal budget 2026–27, as market fears grow over possible new taxes and duties.
Importers and dealers have raised prices by Rs 8 to Rs 12 per watt in anticipation of fiscal measures in the upcoming budget, market sources said.
A-grade 585-watt single-glass solar panels, which sold at around Rs 42 per watt last month, are now priced between Rs 50 and Rs 52 per watt. This has pushed the cost of a single panel up by roughly Rs 4,500 to Rs 5,500. Prices of double-glass and N-type panels have also increased by nearly 10 percent.
Dealers said importers have slowed or withheld shipments ahead of the budget announcement. They cited currency volatility and uncertainty over the continuation of sales tax exemptions as key factors behind the price hike.
“Importers have stopped goods ahead of the budget. Dollar fluctuations and fears of tax changes have pushed prices up,” said Haji Saleem, a dealer in Karachi’s wholesale market. A Lahore-based dealer said consumers were rushing to purchase systems before further increases.
Consumers have expressed concern over rising costs. A Rawalpindi resident, Irfan Khan, said the cost of his planned 5 kW system had increased by around Rs 60,000 within a week.
Solar installation companies reported a slowdown in demand. They said new orders have dropped by around 30 percent over the past 10 days due to rising prices and uncertainty.
Energy expert Dr Waqar Ali warned that prices could rise further if the government restores an 18 percent sales tax on solar equipment in the upcoming budget. He urged authorities to maintain tax exemptions to support renewable energy adoption.
The federal budget is scheduled for June 10, 2026. The solar industry is urging the government to retain existing tax exemptions on solar panels, inverters and batteries under its green energy policy.
Despite strong demand for alternative energy amid power shortages and high electricity costs, market uncertainty has already driven prices upward, with consumers and installers calling for immediate policy clarity.
