Published: 2018-05-04 18:41
Last Updated: 2018-05-04 20:26
The customs duty and sales tax on energy saving equipment and materials used for its manufacturing have been set at zero, according to the bylaw addressing tax exemptions of renewable energy sources, released in the most recent Official Gazette on Wednesday.
The new regulations stipulate that in order for equipment to benefit from the tax exemption, it needs to not have been previously used and achieve at least a 10 percent of energy efficiency improvement according to Jordan’s power efficiency standards.
As for light generating appliances, a 50 percent improvement of efficiency is required.
The bylaw also specified that appliances and input materials to other power sources are exempted from taxes, which applies to including solar, wind, bioenergy, and geothermal sources. Equipment that reduces energy consumption to the aforestated energy sources is also included in the tax exemption.
Such inputs include components used for the manufacturing of solar panels that heat water, electricity generators using renewable energy sources and components that improve energy efficiency.