ISLAMABAD: Prime Minister (PM) Shehbaz Sharif has unveiled Pakistan’s New Energy Vehicle Policy 2025-2030, to promote environment and cost-effective transportation in the country.
As per details, the policy envisages cutting carbon emissions, saving billions of rupees in foreign exchange, driving innovation and empowering youth to lead Pakistan into a new green era.
Addressing the launching ceremony, the Prime Minister said Pakistan is one of the most vulnerable countries in terms of climate change despite the fact that it has little to no contribution in the phenomenon.
He said Pakistan is facing climate induced natural disasters like flash floods, cloudbursts and Glacial Lake Outburst Floods. He said with every passing year, the intensity of these disasters is increasing causing more loss of life and property.
PM Shehbaz said no country can single handedly tackle this mounting challenge. He urged the developed countries particularly the western world to contribute in alleviating the miseries wreaked by climate induced calamities and help the vulnerable countries in building climate resilient infrastructure.
Earlier, speaking on the occasion, Minister for National Food Security and Research Rana Tanveer Hussain said this policy is a clear manifestation of Prime Minister Shehbaz Sharif’s vision of empowering youth and promoting clean mobility in the country.
Special Assistant to the Prime Minister on Industries and Production Haroon Akhtar Khan said the electric vehicle policy is blue print for Pakistan’s clean transport revolution. He said Pakistan is now moving beyond assembly into battery production, charging equipment and advance parts manufacturing.
Haroon Akhtar Khan mentioned that Pakistan spends billions of dollars annually on petroleum import. Similarly, urban air pollution costs over 105 billion rupees in productivity and healthcare losses, while surplus electricity of 126 terawatt hours remains underutilized.
He highlighted that running an electric motorcycle today costs less than one-third of the cost of petrol per kilometer. This affordability coupled with financing reforms, toll exemptions and free registration will make electric mobility accessible to every household, delivery riders, transporters and businesses.
On the occasion, the Prime Minister also distributed free e-bikes among top performing students.
Earlier, in a separate development, the government announced that no accidental, damaged and low-quality used cars will be allowed into Pakistan.
The current government will also impose a heavy 40% tariff on commercial imports of used vehicles starting from September this year however official said that the tariff will result in protecting the local auto industry.
Meanwhile, the car prices will not provide any relief for the local consumers as the assemblers stated that high government taxation, ranging from 30% to as much as 61% of the retail price, already keeps vehicles expensive in the country.
The announcement was made during a joint meeting of the Senate Standing Committees on Finance and Industry yesterday. Joint Secretary for Trade Policy Mohammad Ashfaq told lawmakers that the government, under commitments made with the International Monetary Fund (IMF), will enforce additional tariff protection equivalent to 40% of the price of new cars.
Ashfaq said the government has yet to decide whether to continue with existing import schemes, such as transfer of residence, baggage, and gift, once commercial imports are formally allowed. At present, commercial imports are banned, and nearly one-fourth of market demand is met through vehicles brought in under these schemes, often mildly accidental but preferred by consumers over locally produced options.
