ISLAMABAD — The Government of Pakistan has launched an ambitious new chapter in its green energy transformation, unveiling the New Energy Vehicle (NEV) Policy 2025–30 during a high-level dissemination and feedback session in Islamabad last month.
Framed under Prime Minister Shehbaz Sharif’s vision for a clean, smog-free Pakistan, the policy sets bold targets: converting 30% of all new vehicle sales to electric by 2030, reducing 4.5 million tons of carbon emissions, and saving nearly $1 billion in oil imports. Yet, amid the optimism, several key implementation questions remain unanswered, raising concerns among stakeholders, including environmental advocates, industry insiders, and energy economists.
A Green Shift with Economic Stakes
Addressing the session, Special Assistant to the Prime Minister (SAPM) on Industries and Production, Haroon Akhtar Khan, called the NEV policy a “milestone initiative” positioning electric mobility not just as an environmental priority but as an economic necessity.
“This policy is a beginning, not an end,” Mr. Khan said in his closing remarks. “Let us transform Pakistan’s roads into corridors of clean innovation.”
The policy proposes sweeping incentives to stimulate consumer adoption:
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Rs 65,000 subsidy for electric two-wheelers
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Rs 400,000 for electric three-wheelers
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Rs 15,000 per kilowatt-hour for four-wheelers
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Free registration, tax cuts, and green financing options
On the infrastructure front, 40 fast-charging stations are expected to be operational along national highways by the end of 2025. The policy also blends global best practices—drawing on Norwegian EV mandates, Indian subsidy models, and European regulatory standards—while highlighting Pakistan’s advantage as a “clean-slate market” without legacy constraints.
From Policy to Practice: What the Numbers Say
While the blueprint is promising, progress so far remains limited. According to government figures shared during the event:
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Only 50,000 electric two- and three-wheelers and 2,500 EV cars are currently on the roads—less than 0.1% of the total vehicle fleet.
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57 local manufacturing certificates have been issued for two- and three-wheelers, and two for electric cars.
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Over 90% localization has been achieved in electric motorcycles and rickshaws, signaling strong industrial potential.
International interest is rising, with automakers like BYD and Master Motors exploring market entry. The policy also outlines institutional support, including a dedicated NEV Fund (NEVF), a NEV Center (NEVC), and a skills program under NAVTTC to train 5,000 high-skilled workers for the sector.
Three Key Questions Still Await Answers
Despite progress, critical operational details remain unclear. The News Today submitted specific queries to the Ministry’s Public Relations Office (PRO), which remain unanswered. These questions spotlight the gaps between vision and execution:
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Who will run the charging network?
Will EV charging stations be managed by private operators, or will there be a public-private partnership (PPP) model? Clarifying operational responsibility is critical for long-term reliability. -
What happens when electricity prices surge?
While the government plans to fix charging tariffs, in the event of power shortages or price spikes, who will absorb the financial burden—operators, the state, or consumers? -
Is there a standard for chargers and batteries?
Without uniform charging protocols or battery specifications, vehicle compatibility becomes a major risk. Which agency will enforce standardization across brands and charging infrastructure?
These questions may appear technical, but they carry real consequences for adoption, investment, and consumer trust.
Policy Architecture and Oversight
The NEV strategy rests on five pillars:
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Consumer incentives
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Tariff protections for local manufacturers (phased out by 2030)
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Charging infrastructure rollout with Viability Gap Fund support
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Enforcement of safety and quality standards under the UN regulatory framework
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Institutional coordination, including a federal Steering Committee, provincial implementation, and draft laws for building code reforms and emergency NEV management
Mr. Khan emphasized the importance of provincial ownership. Provinces are encouraged to offer free NEV registration, develop model e-mobility cities, and align local laws to facilitate charging infrastructure in residential and commercial buildings.
The Road Ahead
The NEV Policy 2025–30 may be the most comprehensive electric mobility plan Pakistan has launched to date. Yet, as with any transformative policy, its success hinges on clarity, coordination, and consistent follow-through. Industry experts warn that high-level targets and subsidies mean little without clear regulatory frameworks and risk-sharing models.
“We welcomed your feedback today not as criticism but as collaboration,” Mr. Khan concluded. His statement signals openness to engagement—but until concrete answers arrive, stakeholders remain cautiously optimistic.
As electric vehicles edge closer to the mainstream, Pakistan’s transport future stands at a crossroads: high-speed progress or a stalled start.
