ISLAMABAD: In a major push toward sustainable transportation, the Government of Pakistan has finalized plans to distribute 116,000 electric bikes on easy two-year installment plans as part of the National Electric Vehicle (NEV) Policy 2025–30, citing official sources.
Prime Minister Shehbaz Sharif is expected to formally announce the policy on August 14, Independence Day. The initiative, developed in coordination with the State Bank of Pakistan and the Pakistan Banks Association, aims to make eco-friendly transportation more accessible and affordable.
Each electric bike or rickshaw under the scheme will receive a Rs50,000 government subsidy. With the estimated cost of an electric bike at Rs250,000, beneficiaries will be able to pay the remaining amount—approximately Rs200,000—through easy monthly installments over two years. The scheme will be open to citizens aged 18 to 65.
To ensure successful implementation, the federal government has allocated a substantial subsidy pool of Rs100 billion spread across five years. For the current fiscal year, Rs9 billion has been earmarked, with allocations increasing annually—Rs19 billion in 2027, over Rs24 billion in 2028, and more than Rs26 billion in 2029. A Rs23 billion subsidy was already set aside in 2023.
Seventeen manufacturers have so far been licensed to produce electric bikes locally, supporting the policy's long-term goal of converting 30% of all vehicles in Pakistan to electric by 2030. The broader target includes the production of 2.213 million electric vehicles by the end of the decade.
In a parallel initiative, the Sindh government has proposed distributing free electric bikes to working women to ease their daily commute. The Sindh Transport Department has requested Rs300 million in funding outside the regular provincial budget for this purpose.
These combined federal and provincial efforts mark a significant step toward cleaner, greener, and more inclusive mobility solutions in Pakistan.
