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>1 20MW
>20 50 MW
> 50 100 MW
11.5327
11.4460
11.3560
10.8920
10.8101
10.7251
The National Electric Power Regulatory Authority (NEPRA) is the sole regulator
in the power sector in Pakistan.
NEPRA issues generation licenses, establishes and enforces standards,
approves investment and power acquisition programs of the utility
companies, and determines investment tariffs for bulk generation and
transmission and retail distribution of electric power.
The AEDB is a one-window facilitator at the federal level for processing
solar projects of all sizes.
Most provincial governments have also set up their own one-window
facilities at provincial levels.
There are three methods for tariff determination: Competitive bidding
(solicited proposals), Direct negotiations for cost plus tariff (unsolicited
proposals), and FIT setting.
Unless it is a solicited competitive bid, NEPRA determines the level of tariff.
NEPRA determines the FIT in accordance with NEPRA Tariff Standards and
Procedures Rules 1998.
Once the FIT is determined the developers can apply for it within 6 months of
the publication.
>50 MW 100 MW
>20 MW 50 MW
1,193,940
1,210,871
> 1 MW 20 MW
1,227,540
The following risk mitigation institutions are active in the Pakistan power
sector: Multilateral Investment Guarantee Agency (MIGA), World Bank
(IBRD/IDA), Asian Development Bank, Frances PROPARCO, EXIM Bank of
Korea, EXIM Bank of China, Netherlands Development Finance Company,
Chinese Sinosure, and OPOC and the Islamic Development Bank.
All renewable energy projects are exempted from income tax in Pakistan.
Income from sources other than the generation of electricity, including
interest income, is taxable at the corporate tax rate of 32% for tax year 2016.
The withholding tax rate on dividends for wind and solar power projects is
7.5%
Solar projects are not exempt from sales tax. Generally the sales tax is 17%
Equipment for renewable energy projects is exempted from import duties.