Islamabad, June 19, 2025: In a bold step toward a cleaner, fuel-independent future, the federal government has launched Pakistan’s Electric Vehicles (EV) Policy 2025. This landmark initiative is part of a broader green energy shift, aiming to cut oil imports and promote eco-friendly transportation across the nation.

The five-year policy promises to save around 2.7 billion litres of petrol annually translating into $1 billion in oil import savings each year.

Rs9 Billion Subsidy for Electric Bikes and Rickshaws

A major highlight of the new EV policy is the Rs9 billion subsidy earmarked for electric bikes and rickshaws in the upcoming fiscal year. The government aims to put over 116,000 e-bikes and more than 3,100 e-rickshaws on the roads through this package. In a significant push for inclusivity, 25% of this quota is reserved for women.

Officials shared that the subsidies will be funded through levies on older, high-emission vehicles, ensuring a sustainable transition.

Push for Local EV Manufacturing

The EV Policy 2025 puts strong emphasis on domestic production. The government has targeted 90% localization in the manufacturing of electric bikes and rickshaws. This move is expected to boost local employment, lower production costs, and drive technological advancement in Pakistan’s auto sector.

Infrastructure to Support EV Growth

To meet the rising demand, 40 EV charging stations will be built nationwide in the first phase. Plans also include developing battery-swapping stations to support users with limited charging access.

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PM Shehbaz Sharif’s Directive

Prime Minister Shehbaz Sharif has instructed authorities to fast-track the adoption and manufacturing of EVs—ranging from two-wheelers to electric buses. Chairing a high-level meeting in Lahore, he underscored the urgency of establishing supportive infrastructure and finalizing the Electric Vehicles Policy 2025 without delay.

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