STAFF REPORT KHI: Suraj Cotton Mills Limited, has resolved to form a 50 megawatts solar company S2 Solar Limited in Punjab with a long-term equity investment of up to Rs50 million.
“Management of the company has suggested making an investment in the 50MW solar power project,” the company notice said, adding shareholders will consider approving the resolution in the next EGM to be held on May 30. The Punjab govt has announced a guaranteed return of 17 per cent to 18 per cent on equity in dollar terms. Moreover, solar power projects are exempted from income tax, turnover tax, and withholding tax on imports, as well as custom duties on import of renewable energy plants and equipment on condition of guaranteed off-take of power generation.