Govt begins Rs80,000 subsidy disbursement for e-bikes, rickshaws

The Engineering Development Board (EDB) has begun implementation of the Prime Minister’s Pakistan Accelerated Vehicle Electrification (PAVE) Scheme, under which electric bikes, rickshaws and loaders are being offered on subsidised rates and easy instalments.

EDB Chief Executive Officer Hamad Ali Mansoor said subsidies of up to Rs80,000 per electric bike are being transferred directly to approved applicants through the State Bank of Pakistan (SBP). Financing for electric bikes and rickshaws is being facilitated through bank leasing arrangements.

According to the EDB, around Rs9 billion in subsidies will be provided during the current fiscal year under the scheme, with cumulative subsidies projected to exceed Rs100 billion by 2030.

In the first phase, 41,000 electric vehicles are being supported, including 40,000 electric bikes and 1,000 electric rickshaws and loaders. 

The second phase is expected to cover more than 78,000 additional electric vehicles. Officials said only applicants who complete the approved process under the PAVE framework will qualify for government subsidies.

The scheme is aimed at promoting electric mobility, reducing reliance on imported fuel and expanding access to alternative energy transport options. It also seeks to facilitate access to electric vehicles for students, youth and women through instalment-based financing.