ISLAMABAD – A massive scam surfaced in Sindh Solar Energy Project, where solar kits meant for thousands of homes were sold at prices up to 700% higher than declared. Fake invoices, offshore payments, and undelivered kits have turned a clean energy initiative into one of Pakistan’s biggest financial scandals.
A massive financial scandal rocked Sindh Solar Energy Project (SSEP) as under-invoicing, tax evasion, and suspected trade-based money laundering surfaced in import of solar home system kits.
Federal Board of Revenue (FBR) revealed jaw-dropping discrepancies in the pricing of solar kits supplied under the project, sparking outrage in the Senate.
According to FBR report shared with the Senate Standing Committee on Economic Affairs, contractors declared solar kits at just $16 to $23.40 per unit for customs clearance, while World Bank paid up to $112.44 per unit, translating into an $89, 96 per unit gap. Investigations are now underway into potential money laundering, fund layering, tax evasion, and foreign exchange violations.
FBR report disclosed that M/s Beyond Green, Karachi, imported 200,968 solar kits in 10 consignments between December 2024 and July 2025 through clearing agent M/s Vista Impex. Four consignments were cleared via the “Green Channel,” and the goods were declared under HS Codes 8501.7210 and 8501.711, attracting zero customs duty, 18% sales tax, 3% additional sales tax, and no income tax.
Official contracts show that M/s Shenzhen LEMI Technology Development Co Ltd, China, supplied the kits at $112.44 per unit, paid directly by the World Bank. For tax assessment, FBR set the transactional value at $103.08 per unit, resulting in 10 contraventions being referred to customs adjudication authorities. Show-cause notices have been issued, but the case is still pending.
Further investigations exposed fake invoices worth $12.5 million and suspicious third-party payments routed through UAE-based entities, raising serious money laundering alarms.
Committee chairman Saifullah Abro expressed outrage at the lack of accountability, noting that no officials have been suspended. He directed a letter to the chief minister to ensure responsibility is enforced. The Senate panel also criticized the repeated absence of Minister for Economic Affairs Ahad Khan Cheema and senior bureaucrats, with the minister’s claim of attending the World Economic Forum in Davos failing to satisfy lawmakers.
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