In a development that has caught the attention of many, naveed Qamar says climate funds must not be consumed without projects • Panel seeks stricter recovery of petroleum levies from OMCs • Islamabad token tax hike approved despite middle-class concerns ISLAMABAD: A parliamentary committee on Saturday raised concerns over the proposed carbon levy amid growing climate challenges, warned that reduced duties on scrap could create environmental risks and approved an increase in Islamabad ’ s token tax that is likely to affect middle-class vehicle owners. The National Assembly Standing Committee on Finance and Revenue reviewed the National Tariff Policy 2025-30 in detail, focusing on the phased reduction in import duties.

Background

A look at the history of this issue reveals why today's developments carry such weight.

The committee took up the petroleum levy and the newly introduced climate endorsement levy amid concerns over Pakistan ’ s commitments under the IMF ’ s climate resilience framework.

Finance Secretary Imdad Ullah Bosal informed the committee that an agreement had been signed with the IMF on climate resilience.

Adding further dimension to the story, committee chairman Mr Qamar, however, criticised the government for collecting levies without initiating any concrete projects, warning that such practices would damage Pakistan ’ s image.

Analysis

With opinions divided in some quarters, the overall assessment remains significant.

Mr Qamar countered that the government ’ s approach amounted to “ lip service ” on climate, with policies running contrary to stated commitments.

At the same time, pPP lawmaker Hina Rabbani Khar recalled that Pakistan was once recognised globally as a leader in climate support but had gradually lost that approach.

Meanwhile, sources familiar with the matter indicate that commerce Secretary Jawad Paul advised the committee that certain industries imported waste to produce fuel, but PPP lawmaker Nafisa Shah questioned why Pakistan, already burdened with domestic waste, could not generate fuel locally.

National Impact

The impact of this situation is expected to be felt across multiple areas.

The secretary responded that Pakistan lacked the machinery to convert waste into fuel, adding that most imported waste was used in furnaces.

Notably, the committee also strongly opposed tariff concessions on environmentally hazardous imports such as shredded tyres, observing that such measures contradicted Pakistan ’ s climate commitments and undermined domestic recycling efforts.

Significantly, islamabad token tax After detailed deliberations, the committee approved an increase in token tax on vehicles registered in Islamabad.

It has also emerged that islamabad Deputy Commi­ssioner Irfan Nawaz Memon briefed the committee that token tax had not been revised since 2019, while all provinces had already raised rates.

Meanwhile, sources familiar with the matter indicate that this translates into Rs2,500 for pre-2010 models and Rs6,200 for post-2010 models, c

What Happens Next

As this story continues to evolve, all eyes will remain on how key figures and institutions respond. Further developments are expected, and this news outlet will continue to follow the situation closely as it unfolds in the coming days.