Tariffs on solar value chain to be rationalised

The coalition government, led by PML-N, has partially approved recommendations of the Tariff Policy Board (TPB) to adjust solar sector duties in the upcoming budget, Dawn has learned from knowledgeable sources in the Finance Division. However, a proposal to further reduce duties on the steel sector has been rejected. The Federal Board of Revenue (FBR) strongly opposes proposals to eliminate additional customs duties on raw materials. The TPB, led by Minister for Commerce Naveed Qamar, is the recommending body to make changes in tariffs to the Ministry of Finance. The decision will be announced in the budget 2023-24 as part of the package initiated three years ago to remove all duties on raw materials and semi-finished products used in exports. Well-placed sources told Dawn on Wednesday that the finance ministry has agreed to rationalise duties on the value chain of the solar industry, as part of a government initiative to promote alternative energy sources.