Update (Aug 15, 2022):
Nur E-75 — Pakistan’s First Locally Made Electric Hatchback
Racing towards technological advancements and environmental sustainability, the country’s automotive sector has witnessed many game-changing developments in recent years. The launch of Nur-75, the first made-in-Pakistan electric vehicle, is another noteworthy event aiming to revolutionise the electric vehicle industry.
The launching ceremony was held on the 75th independence day of Pakistan to uplift the significance of the important occasion. The car is still a prototype and shall not be released publicly for the next two to three years. The mastermind behind this unique electric car concept is a non-profit organisation called DICE Foundation. It is run by US-based Pakistani expatriates. The name of the car is inspired by the Urdu word “Noor” while E is for “electric” and 75 represents the “75 years of independence.”
Update (Dec. 24, 2021): Under the Auto Industry Development and Export Policy (AIDEP 2021-26), the federal government has decided to roll out incentives for the electric vehicle sector to pave the way for its success and growth in the country.
The national auto policy for the next five years also aims to promote the concept of small cars and local production, along with incentivising new technologies and products introduced to either directly or indirectly facilitate the growing market of EVs and hybrids in Pakistan, according to a news article by a renowned English Daily.
Under the new policy:
- Customs duty on specific parts of the electric vehicles has been fixed at 1%.
- Customs duty on the EVs completely built-up (CBU) import was slashed to 10%
- Sales tax on hybrid manufacturing in the country has been reduced to 8.5%
- Sales tax on local electric vehicles (EVs) has been slashed to 1%.
- Regulatory duty on the import of CBU hybrids reduced to 15% for vehicles above 1,800cc and 0% for vehicles below 1,800cc
Update (Sep. 09, 2021): Keeping in view the ever-increasing demand and growing number of electric vehicles, the government of Sindh has finally introduced the registration process for EV owners in the province. The announcement of this groundbreaking development was made by the Sindh Excise Minister Mukesh Kumar.
Special attention has been given to the EV policy in Pakistan by both federal and provincial governments and the general public is also pretty excited about it. All these are pretty solid indications that the future of hybrid and electric vehicles in Pakistan is bright.
Update (Aug 4, 2021): According to the Federal Minister for Energy Hammad Azhar, local assembling of electric vehicles (EVs) would start in Pakistan by the end of this year under the Prime Minister’s clean and green initiative.
He made this statement while addressing a consultative workshop named “Scaling up Electric Mobility in Pakistan” that was organised by the National Energy Efficiency and Conservation Authority (NEECA) in collaboration with the United Nations Development Programme (UNDP).
As this emerging transportation technology is powered by electricity, the government would offer full support and work jointly with the private sector to set up the required charging infrastructure in different parts of the country, he further stated.
Update: (July 23, 2021): To add to the convenience of electric vehicle owners in Islamabad, Lahore, and other nearby cities, two EV charging stations have been installed at Bhera and Pindi Bhattian in the immediate vicinity of the Lahore-Islamabad M2 Motorway.
Tesla Industries, which is one of the leading solar energy equipment suppliers in Pakistan, is responsible for designing, manufacturing, and installing these electric vehicle charging stations on the M2 motorway. The private company is now working on the third EV charging station on GT road, near Gujrat.
These new EV charging facilities have been equipped with 60kWh and 120 kWh chargers and also have executive lounges where travellers can wait and relax while their cars get fully charged. Read more updates and details on the national EV policy below.
Update (July 12, 2021): Shell Pakistan Limited (SPL), which is one of the country’s most famous privately-owned fuel companies, joined hands with K-Electric (KE) to inaugurate the very first electric vehicle charging station in Karachi. The facility has been launched by the company under its flagship ‘Shell Rapid Charger’ initiative.
The city’s first electric-vehicle charging facility has been installed at Shell’s fueling station located on the main Rashid Minhas Road at Askari 4 in Gulshan-e-Iqbal. The company has plans to introduce EV stations at other locations in Karachi as well. According to Shell’s official website, its fueling stations in DHA Phase 4 on Khayaban-e-Bahria, and in Gadap Town will also get EV charging facilities soon.
Furthermore, the government has already allocated substantial funds in the federal budget 2021-22 for its EV policy for the next five years. Special incentives and tax exemptions have been announced on the import of electric vehicles and also on electric equipment used in hybrid cars. Continue reading this blog if you want to learn more about the recent electric vehicles policy in Pakistan.
If you thought that your dose of good news only included Moody’s upgrading Pakistan’s economic outlook to stable and the Digital Pakistan Campaign, then think again! Another good news that’s become a hot topic over evening chai at every Pakistani household is the recently announced Electric Vehicles Policy in Pakistan, which is in its final stages of execution.
Based on Google search and some good common sense trends, hybrid cars are being looked up to as a means to protect the environment and combat climatic changes.
Being the country’s most trusted source of accurate and up-to-date information, we’ve taken this opportunity to bring you the crispiest updates on the Electric Vehicles Policy and the future of electric cars in Pakistan. Bookmark this page to remain updated on this developing story. For now, let’s find out what the National Electric Vehicles Policy is all about and how we, as a nation, will benefit from it.
Ready, set, go!
Electric Vehicles Policy in Pakistan – Highlights and Summary
The federal cabinet, under the leadership of Prime Minister Imran Khan, recently approved the National Electric Vehicles (EV) Policy. The principal aim behind this policy is to convert at least 30 percent of the vehicles (including motorcycles and cars) on the country’s roads into electrically fueled vehicles by 2030.
The joint press conference was chaired by PM Khan, and the premier was accompanied by Special Assistant to the PM on Information, Dr Firdous Ashiq Awan, and Federal Minister for Climate Change, Malik Amin Aslam. The press conference was primarily focused on addressing the increasing environmental hazards in Pakistan. During the press meeting, Mr. Malik assured people that the government is taking every measure to implement the National EV Policy and successfully execute it in a few months.
According to the Climate Change Minister, the government has targeted to convert at least 30 percent of the total vehicles in the country to electric vehicles. Speaking on the same agenda, the minister also disclosed that several Pakistani automobile manufacturers have shown great interest and have assured their cooperation in this initiative. He also revealed that some local automobile manufacturers are all set to launch electric cars by saying, “I have recently visited Karachi and was surprised to see that the local car manufacturers are waiting for the cabinet’s approval for EV policy so that they can roll out their electric vehicles into the market.”
Let’s take a look at what to expect from the implementation of the National EV policy!
Economic and Environmental Benefits of Electric Cars in Pakistan
Reducing environmental hazards, including toxic emissions from urban transportation, is a crucial step towards addressing climate change. According to a recent survey conducted in the city, the number of fossil fuel-powered vehicles on the roads doubles every after every decade or so, which is the leading cause behind the increasing CO2 emissions. The authorities also have reported that the condition is only going to get worse, but thankfully, the Government of Pakistan has decided to address this grave concern by approving the National Electric Vehicles Policy with the aim to address climate issues in the country. The National EV Policy aims to eradicate oil dependency along with addressing energy scarcity by shifting to renewable and clean sources of energy.
According to the Climate Change Minister of Pakistan, the EV Policy would be of great help to reduce emissions of greenhouse gases. He said and we quote, “In developed countries, the ratio of emissions of greenhouse gases from vehicles in the total volume of environmental pollution is 20 percent, but here in Pakistan it is different and much worse.” The minister added, “40 percent of the total volume of environmental pollution comes from greenhouse gases from fuelled vehicles.”
Upon being asked as to how the government will address this issue, the minister replied, “With the introduction of electric cars, trucks, vans and even tri-wheeler rickshaws, the rate of pollution and smog will witness a dramatic drop.”
Moving forward, the minister also addressed the economic benefits of the Electric Vehicles Policy in Pakistan and said that the sustainable policy will also provide affordable transportation to citizens. Pointing towards a brighter future of electric cars in Pakistan, the minister said that the cost of running chargeable cars was much lower in comparison with cars that require gasoline, diesel, CNG, or other forms of fuel. The minister also said that the policy will not only help elevate the living standards of an individual, but it will also benefit us all as a nation. Defining the national benefits of the EV policy, he said that by switching to electric cars, the government will be able to save around 2 billion dollars annually on importing oil.
Speaking of which, he also pointed out that the policy will also enable the younger generation to find attractive opportunities for employment. He further said, “Another benefit of the policy is that it will boost the local car industry and will create hundreds of thousands of new jobs in the country.”
The minister also pitched in a great idea for several gas stations that stay closed due to the shortage of CNG and suggested that those gas stations can be converted into EV charging stations. On this subject, he gave a lead to the nation and said, “Our negotiations are underway with some oil companies in this regard. A firm is ready to establish battery change stations to provide batteries to the commuters on lease.”
Shifting a major part of the various modes of commutes, away from fossil fuels to electrically charged mobility, in a country that’s home to around 225 million is by no means an easy task. However, we are sure that this objective isn’t something impossible either. The success of this initiative requires a shared vision, a robust framework, and national collaboration – these things do not seem hard when you have a fighting spirit that’s commonly displayed by the people of Pakistan.
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SM Cover Credits: Business Recorder