Prices of solar panels, lithium batteries, and inverters have dropped significantly across Karachi’s electronics markets after the federal government decided against imposing new taxes on solar equipment in the 2026-27 budget.
The decline comes after weeks of speculation that new taxes would be introduced on imported solar products, prompting dealers to increase prices and stockpile equipment in anticipation of higher post-budget rates.
According to market traders, lithium battery prices have fallen by around Rs. 30,000, while inverter prices have decreased by up to Rs. 10,000. Solar panel prices have also dropped by approximately Rs. 3,000, offering relief to consumers planning to install solar energy systems.
Currently, 645W, 585W, and 720W solar panels are being sold at around Rs. 45 per watt, compared to Rs. 50 per watt just a few days earlier.
Meanwhile, the price of a 5kWh lithium battery has declined to approximately Rs. 230,000. Depending on the brand and specifications, 3kW to 5kW inverters are now available in the range of Rs. 120,000 to Rs. 300,000.
Traders attributed the price correction to the government’s decision not to levy additional taxes on solar equipment, easing uncertainty in the market. They added that sufficient inventories, continued imports, and slower consumer demand have increased supply, prompting dealers to reduce prices to clear existing stock.
Market participants expect solar equipment prices to remain stable in the coming weeks as supply continues to meet demand and concerns over additional taxation have subsided.
