August 11, 2025

Government Launches NEV Policy to Promote Electric Bikes in Pakistan


Introduction

In a significant step toward sustainable transportation, the Government of Pakistan has launched the National Electric Vehicle (NEV) Policy 2025–30. This comprehensive policy aims to increase the adoption of electric bikes (e-bikes) and other electric vehicles, reduce environmental pollution, and cut down the country’s fuel import bill.


Key Objectives

  • Promote clean energy transport
  • Reduce air pollution
  • Lower fuel dependency
  • Encourage local manufacturing of EVs
  • Provide affordable transport options, especially for the youth and women

Subsidies and Financial Assistance

Under the policy, the government has allocated Rs. 9 billion in subsidies specifically for electric bikes and rickshaws. The plan includes:

  • Subsidies for around 116,000 electric bikes in the first phase
  • A 25% quota reserved for women to encourage female mobility
  • Cost-saving benefits for users, with reduced maintenance and fuel costs

Government Launches NEV Policy to Promote Electric Bikes in Pakistan

Tax Relief and Incentives

To support local manufacturers and make electric bikes more affordable, the policy includes:

  • Reduced sales tax on electric bikes
  • No customs duty on EV parts and batteries
  • Minimal registration fees
  • Income tax relief for companies involved in EV production

Environmental and Economic Impact

The widespread use of electric bikes is expected to:

  • Save approximately 2 to 3 billion liters of petrol annually
  • Cut carbon emissions by over 4.5 million tonnes
  • Save millions in health costs due to reduced pollution
  • Decrease the national fuel import bill, improving foreign exchange reserves

Infrastructure Development

The policy also includes the development of a strong support system for EVs:

  • Installation of charging stations on main highways and in urban centers
  • Conversion of some existing CNG stations to EV charging points
  • Introduction of battery swapping stations
  • Support for vehicle-to-grid (V2G) technology integration

Implementation and Oversight

  • A federal oversight committee will supervise implementation
  • Audits will be conducted every six months to ensure transparency and performance
  • Local bodies will also be involved in the distribution and regulation of subsidies

Conclusion

The NEV Policy 2025–30 is a major leap toward clean mobility in Pakistan. With strong financial incentives, infrastructure development, and inclusive planning, the government aims to create a future where electric bikes become a common, affordable, and eco-friendly mode of transport for all citizens

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