ISLAMABAD – The Pakistani government has rolled out a groundbreaking National Electric Vehicle (NEV) Policy, announcing a Rs9 billion subsidy to make electric bikes and rickshaws more accessible. Under the initiative, over 116,000 electric bikes and 3,100 electric rickshaws will be subsidized, with the process managed via a fully digital platform to ensure transparency.
Spearheaded by the Sharif administration, the broader NEV policy includes over Rs100 billion in total subsidies, with 25% reserved specifically for women to promote inclusive participation in eco-friendly transportation.
To encourage the shift from traditional vehicles, a NEV Adoption Levy has been introduced on petrol and diesel cars. The levy varies by engine size: 1% for vehicles under 1300cc, 2% for 1300cc–1800cc, and 3% for engines above 1800cc — effectively increasing the cost of conventional vehicles to steer demand toward electric options.
The policy also supports local EV manufacturing, with protective tariffs and a 90% localization target for two- and three-wheeled electric vehicles to boost domestic production.
On the infrastructure front, the government plans to install 40 EV charging stations along major highways, launch battery swapping stations, and update building codes to include mandatory EV charging facilities in new constructions. Private sector investment is also being encouraged, with a nationwide goal of 10,000 EV charging stations by 2030.
