Solar panel prices increase across Pakistan

ISLAMABAD: Solar panel prices have increased dramatically all over Pakistan since the beginning of this year, whereby the local market customers are reported to pay much more than before for the leading imported Chinese brands.

Retailers shared that there has been an average upcharge of around Rs. 5,000 for Chinese solar panels in the 585-watt, 645-watt, and 720-watt categories. The price of a 585-watt solar panel has already reached approximately Rs. 20,000 to Rs. 21,000, which is a rise from Rs. 16,000 to Rs. 17,000.

At the same time, the 645-watt panel has been increased to around Rs. 24,000 to Rs. 25,000, in contrast to Rs. 20,000 about three months ago. Moreover, the 720-watt class has experienced the most significant price hike of all, going up to almost Rs. 30,000 to Rs. 35,000 from Rs. 22,000 to Rs. 25,000.

Saleem Memon, a solar panel importer and vice president of the Karachi Electronics Dealers Association, told The Express Tribune that not only have global silver and copper prices increased, but the prices for the materials have also affected the production cost of Chinese solar companies.

He claimed that the price of solar panels per-watt has risen from Rs. 22 to Rs. 33 during a period of five months due to such pressure. He further stated that the demand from the public, which is already strong, together with further price increases in China, might lift the per-watt price to Rs. 40 in the upcoming months.

Simultaneously, he mentioned the taxes on Chinese solar panel imports as one of the main contributors to the continuous rise in prices. Memon also remarked that the competition regarding solar panel technology at the local level has a bearing on the pricing trends as well.

Nevertheless, he maintained that the country is still sitting on huge stockpiles due to high imports over the past two years; therefore, the pricing pressure is not as strong.

He also indicated that the price hike is not restricted to solar panels only. A concurrent price increase is seen in batteries that are used along with solar systems, with battery prices reportedly having gone up by 10% over the last month.