Fresh policy to transition 30pc vehicles to electric by 2030

Amid reservations from key stakeholders, the government on Wednesday announced the New Energy Vehicle (NEV) policy aimed at transitioning 30 per cent of all new vehicles — imported and locally manufactured — in Pakistan to electric power by 2030. Minister for Industries and Production Rana Tanveer Hussain unveiled the measures at a news conference, claiming that all stakeholders had been consulted in the policy-making process. However, soon after his address, the Pakistan Automotive Manufacturers Association (PAMA) issued a statement expressing strong reservations about the potential impact of the new policy on the local auto industry. The new policy includes electric vehicles (EVs) and other emerging energy sources like hydrogen. As part of the policy, the minister said, the government introduced subsidies of Rs50,000 for electric motorcycles and Rs200,000 for three-wheelers (rickshaws), with a total allocation of Rs4 billion. These subsidies will be distributed through auctions. So far, two companies have been granted licences, and 31 more applications are under review.