ISLAMABAD: In a significant move to boost local electric vehicle (EV) production, the government has granted licenses to 57 manufacturers, Radio Pakistan reported on Tuesday.
The licenses include 55 manufacturers for the assembly of two- and three-wheelers, and 2 for the production of four-wheelers. Additionally, the government is planning to establish charging infrastructure, including fast chargers and battery swapping stations, to support the growing EV market.
The new EV policy offers several incentives, such as free vehicle registration, exemptions from annual token fees, and toll taxes. A proposal for setting up at least one EV zone in each province, including Islamabad, is also under consideration.
Facing challenges such as limited foreign exchange and rising environmental concerns, the government has been actively promoting renewable energy infrastructure. This initiative comes on the heels of pressure from the Senate Standing Committee on Climate Change, which has called for stronger renewable energy and EV initiatives to address the climate crisis. Senator Sherry Rehman criticized Pakistan’s slow EV production, pointing out that only 60,000 EVs have been produced, far below the target of 600,000.
To further encourage EV adoption, the government also announced a 45% reduction in the tariff for EV charging stations, lowering the rate from Rs71.10 to Rs39.40 per unit. Federal Minister for Energy Awais Ahmad Leghari emphasized that this price reduction will facilitate the growth of charging stations and allow individuals to start small charging businesses. The process for setting up a charging station has been streamlined, with an approval system in place through an online portal, promising approval within 15 days.
The energy minister also urged international financial institutions to support Pakistan’s EV transition through green financing options.
