The Federal Government is set to announce a new five-year electric-vehicle (EV) policy, supported by the International Monetary Fund (IMF), aiming to provide 116,000 Electric Rickshaws and bikes on an easy installment plan, sources of the Ministry of Industries and Production revealed.
The new EV Policy is set to encourage the public to use electric Rickshaws and Motorcycles for daily commuting. For the ongoing fiscal year, the IMF has already provided Rs 9 billion out of a total of Rs. A 100 billion subsidy package to support energy-efficient transport.
EV Scheme Launch Date
Prime Minister Shehbaz Sharif is likely to officially announce the release of the new policy and the launch of the electric bike on Independence Day, August 14, as a gift to the public.
Eligibility Criteria for EV Bike Scheme
The scheme will be available to individuals aged 18 to 65 years. The price of each electric bike is estimated to be around PKR 250,000, with the subsidy reducing the upfront cost. The remaining amount, over PKR 200,000, will be payable in installments.
According to the policy, 116,000 Electric Rickshaws will be provided over the time span of two years, starting from the implementation date. Additionally, a subsidy of Rs 50,000 will be given with each electric Rickshaw or Bike.
The new EV policy is prepared with the consultation of the IMF itself, whereas the total period for the completion of the bike and Rickshaw distribution will be applicable till 2030.
The fresh EV policy tends to cover all the errors made in the previous policies, which failed to fulfill expectations. The previous policy, which was intended to bring a total target of 500,000 EVs, could only provide as many as 50,000 two- and three-wheelers, which was far behind the original target.
Moreover, only 200 electric buses were put into service against a target of 1,000. For four-wheelers and trucks, only 3,000 and 1,000 units, respectively, reached the market against a target of 100,000.
However, in the future, Subsidy disbursements under the revised policy are estimated at Rs. 19 billion in FY27, Rs. 24.16 billion in FY28, Rs. 26.62 billion in FY29, and Rs. 22.64 billion in FY30.