Cut in climate budget not fair, Sherry tells Senate

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ISLAMABAD: Vice President Pakistan Peoples Party and Chairperson Senate Standing Committee for Climate Change, Sherry Rehman thanked the federal government for making some changes to the PPP’s taxation measures, especially on the grant of solar panels and education.

Addressing the Senate meeting on the Federal Budget 2025-26, Ms Rehman praised the federal government for accepting PPP’s proposals to review the deduction of the universities, which is now being restored to Rs 4.6 billion. He said, “No tax is priority, but at least now on the solar panel, the tax has dropped from 18 % to 10 percent. This is something in which the party has pushed back into forums, including the finance committees of both houses.”

He added, “We are still emphasizing other reforms, but we thank the federal government for provincial sovereignty that the province is with the province to implement the projects that were with Sindh province.” He also said that the tax on goods obtained by the digital platform will be deposited by the Federal Board of Revenue (FBR), but not on services. “It will stay with the provinces.”

Referring to the climate crisis, Senator Rehman was less serious because he said, “We are facing the extreme risks of climate, economic pressure and social inequality. The budget should also reflect its allocation that its allocated amount will face a decade.” Senator Rehman expressed disappointment over the reduction of the budget of the Ministry of Claimat Change from Rs 3.5 billion to Rs 25.7 billion, which has warned that it weakens national harmony, reduction and adaptation as well as access to global climate financing.

He said that the Ministry of Climate will barely work to represent Pakistan in the promises of 27 international agreements. “Where will it now prepare a place to financing the change? We have already lost our voice on the loss and loss funds that we have achieved through the serial hard work and the promises of former Foreign Minister Bilal Bhutto Zardari and Prime Minister Shahbaz Sharif.”

The PPP leader said that Pakistan also had to take the climate crisis as a real emergency, not just one thing. He raised the alarm that Pakistan has now won the top place in the global list of weaker countries in the German Watch Climate Risk Index report 2025, while in addition to facing a critical water shortage, the record temperature of 50C Plus in the south of the country is also declined. “At this point of inflation, we needed to put our money where more and more challenges arise. We are now among the hottest countries in the world. In such a situation, half of the climate budget can be a dangerous view.”

It emphasized more than 50 % deduction in the pollution -controlled budget, decreasing from Rs 7.2 billion to Rs 3.1 billion in environmental protection funds, and 27,000 hectares of agricultural land loss every year, no allocation for rain water harvesting.

Senator Rehman criticized the implementation of 18 % GST on electricity and hybrid vehicles, saying that imposing taxes on EVs in the climate emergency would be contradictory. “As long as the old, the smoke -out vehicles operate on our motorways, air pollution is increasing,” he said. Currently, air pollution causes 128,000 deaths every year in Pakistan, “he said, according to the Air Quality Life Index 2024, adding that poisonous winds have been estimated in the entire population of Pakistan.

Talking about the education sector, he emphasized that 26 million children in the country are still out of school. He added, “I am glad that special attention is being paid to the education of youth in Balochistan and Sindh, but we need a systematic response.”

To tackle wages disparity and reactionary taxes, he said: “I would also like to say that when the Prime Minister and the Finance Minister have made a great effort to improve the economic indicators in the essence of the resources between the debt, and need to be defense, we still have to increase the minimum wage.

“I am unhappy to see that we have raised our salaries but have failed to raise the minimum wage? Why? The common family faces more difficulties than imagining utility bills and high heat. Still, the minimum wage is not below the threshold of global poverty.

“Still, big companies have to adhere to the standards that the state determines, so please let’s look at the bottom of the real lesen social pyramids.”

Senator Rehman linked the issue of a sudden rise in petrol prices to the wider economic tension associated with global oil prices. “Oil prices are already rising after the Israeli war against Iran. In such difficult times, we should stand for our people, they should not face economic difficulties.”

He also touched India’s unilateral suspension during the condition of drought and water shortage in Pakistan, calling it “a weapon of water in this country which is already water shortage this year”.

“Pakistan always wants peace, but India’s decision to treat common water as a weapon is unprecedented and dangerous,” he said. “When we met leaders in Washington, London and Brussels, our point was clearly understood,” he added. Senator Rehman said India had no justification for the unilateral suspension of the Indus Waters Treaty. He said, “We presented a strong case in this delegation. And we met with everyone, we understood. We talked about lasting peace and did not go towards war. Pakistan served as a responsible and firm nuclear power. But there was no clear message from the Indian delegation.”

Senator Rehman ended his address by recognizing key partners in Pakistan’s international advocacy. “I pay tribute to the Foreign Office for effectively advocating the issue of Pakistan on the global level. We have a productive conversation everywhere and the story of Pakistan stood firmly.”