Govt asked to waive taxes on solar energy accessories

Jun 12, 2021

The Government has in the recent past waived taxes on solar panels and batteries to develop the solar energy subsector.

Govt asked to waive taxes on solar energy accessories

Henry Sekanjako
Journalist @New Vision

Solar energy dealers and users have implored the Government to consider waiving taxes on solar power accessories such as bulbs, wires and inverters for increased use of solar energy by Ugandans.

The Government has in the recent past waived taxes on solar panels and batteries to develop the solar energy subsector.

However, according to the solar energy dealers, the Government needs to completely do away with taxes on solar energy products in Uganda.

Joslyn Musiime, the general manager of Fres Uganda, a solar energy company, said the Government had initially waived the taxes on solar energy accessories but reintroduced the tax in 2016.

“The taxes on accessories such as batteries and panels are exempted, but other accessories such as wires and bulbs are taxed,” Musiime said.

She said with taxes removed on solar energy products, Ugandans, especially those in rural areas, will have access to power for domestic and commercial use.

FAKE PRODUCTS

The dealers also asked the Government to take action against people dealing in fake solar energy products, which have flooded the market.

“Someone goes to the market, buys a low-quality solar system and within a few days it is down. Such a person gets fed up, saying solar does not work. The Government should ensure that only quality solar products are on the market. This quality will ensure value for money for the end users,” Musiime said.

She made the remarks during celebrations to mark 10 years of Fres in Uganda.

The company provides solar energy to Ugandans in rural communities.

“We walk the journey with the customer, we install the system and keep ownership of the system. We keep the customer satisfied by doing maintenance, repairs and replacement, be it one or 10 years as long as you are paying the monthly service fee,” Ido Verhagen, the managing director of Fres Uganda, said.

The company currently operates in 33 districts in western, southwestern and central Uganda. To weed out fake solar energy products on the market, Verhagen implored the Government to step up regulation of the sector and widen the scope of legislation, which he said is focused on certification.

He also urged the Government to support the after-sale services to ensure that solar energy users have unlimited power supply.

Youth employment Musiime said Fres Uganda has provided jobs to over 12,000 people, mostly the youth.

“Fres is helping out 3,000 solar-related businesses and these employ 12,000 people indirectly such as the youth operating salons and other businesses that require power,” Musiime said.

Jackson Rusokeza said thanks to Fres Uganda, he is earning a living. The company helped him get power for his salon in Nakivale refugee settlement camp in Isingiro district.

“I use this power to work on my clients. It is available 24 hours,” he said.

Just like Rusokeza, Franklin Arinda, a poultry farmer, said he has been able to take care of his financial needs by using solar energy for his poultry business.

“Broilers eat day and night, and without a reliable solar system, you end up using kerosene lamps which are costly,” Arinda said.

Comments

No Comment


(adsbygoogle = window.adsbygoogle || []).push({});