Govt to roll out 116,000 electric bikes on installments under New EV policy

The federal government is set to launch an electric bike scheme offering 116,000 units on a two-year installment plan as part of a broader initiative to promote sustainable transport and reduce dependence on fossil fuels.

Sources said the scheme is in its final stages and will be formally announced by Prime Minister Shehbaz Sharif on Independence Day as part of the new Electric Vehicle (EV) Policy. The plan includes a Rs50,000 subsidy on each electric bike and rickshaw, lowering the estimated cost of Rs250,000 per bike for buyers.

The remaining amount will be payable in installments through a facility developed in coordination with the State Bank of Pakistan and the Bank Association.

The initiative is available for individuals aged between 18 and 65 years and aims to make eco-friendly transport more accessible.

Seventeen companies have reportedly received licenses to manufacture electric bikes under the policy, which targets having 30% of all vehicles in Pakistan electric by 2030.

To support this transition, the government has earmarked Rs100 billion in subsidies over the next five years.

The breakdown includes Rs9 billion for the current fiscal year, followed by Rs19 billion in 2027, Rs24 billion in 2028, Rs26 billion in 2029, and Rs23 billion in 2030.

The policy envisions the production of 2.213 million electric vehicles by 2030, with a goal of 90% electric vehicle penetration by 2040. The plan also targets a complete shift to zero-emission vehicles by 2060.