Jordan’s Minister of Energy and Mineral Resources, Dr. Saleh Kharabsheh, has unveiled a new tax exemption system for renewable energy and energy efficiency technologies, which was approved by the Cabinet on Monday. This system, effective from the date of publication in the Official Gazette, will exempt these technologies from customs duties and impose a zero rate for general sales tax.
The new policy includes exemptions for several key areas. Electrical energy storage systems generated from renewable sources, along with associated charging regulators, will be exempt. Concentrated solar power (CSP) systems for steam production, energy audit services, and inputs for bioenergy and geothermal energy systems will also benefit from the new exemptions.
Dr. Kharabsheh highlighted that the system continues to support existing exemptions for solar panels, inverters, solar collectors, and direct water heating pipes, without requiring further approval from the Exemptions Committee. Additionally, it maintains the current exemptions for components used in solar and wind energy systems, including metal bases, cables, and control systems, as well as for solar water heating systems and their associated inputs.
The new framework also preserves exemptions for energy-saving systems and devices, with a focus on enhancing energy efficiency and optical performance. This initiative aims to encourage the adoption of advanced electrical appliances and lighting, promoting reduced energy consumption across all sectors, particularly in residential areas.
Dr. Kharabsheh emphasized that the updated system is designed to align with global technological advancements and bolster Jordan’s commitment to sustainable energy practices.
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