The Directorate General of Customs Valuation in Karachi has revised customs values for the import of 14 types of solar inverters from China. The revision comes after industry concerns and a formal challenge to the earlier valuation ruling under Section 25-D of the Customs Act, 1969.
Previously, the values were set through Valuation Ruling No. 1913/2024, dated November 5, 2024. However, importers contested the ruling, stating that the assigned values were unrealistically high and called for a more nuanced classification based on inverter capacities. This led to a reassessment order (No. 08/2025, dated February 4, 2025) from the Director General of Customs Valuation, directing the reevaluation of categories and prices.
The Directorate, under Section 25-A of the Act, began the revaluation process, engaging stakeholders and asking them to submit documentary proof such as export Goods Declarations (GDs), Letters of Credit (LCs), and bank documents to support their claims.
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During this process, concerns were also raised over unclear definitions, particularly regarding off-grid inverters. To address this, clear distinctions have now been provided for Hybrid, On-Grid, and Off-Grid inverters:
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Hybrid Inverters combine solar power, battery storage, and grid connection. They can power loads directly, store energy, and feed excess power back to the grid.
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On-Grid Inverters are designed to convert solar energy for immediate use via the grid, with no battery storage capability. They shut down during power outages.
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Off-Grid Inverters use solar panels and batteries and can also connect to the grid or a generator as backup. These do not support net metering and are ideal for locations with unreliable power supply.
This classification clarity and valuation update aim to reflect market conditions more accurately and ensure fair trade practices in the solar energy sector.
