By Engr. Mian Shahid Hamid
The escalating global temperatures have worsened climate change; moreover, greenhouse gas (GHG) emissions from transportation contribute significantly. Consequently, transportation produces almost one-fifth of global emissions. Gasoline and petroleum-based fuels provide approximately 95% of transportation energy. In addition, compressed natural gas vehicles release methane, a potent GHG that forms ground-level ozone. Therefore, air pollution from road transportation kills and sickens more people than malaria, HIV/AIDS, and tuberculosis combined.
Pakistan’s transportation sector faces a critical challenge because it depends heavily on imported fossil fuels. Although electric vehicles (EVs) provide environmental benefits, adoption rates remain low. Specifically, EVs make up just one percent of the market. Furthermore, inadequate charging infrastructure slows the transition, leaving EV users with high energy costs. As a result, studies show EVs can help Pakistan reduce environmental degradation and lower its fuel import burden, thereby narrowing trade deficits.
Pakistan’s EV policy targets GHG emissions and affordable transportation, aiming for 30% EV sales by 2030. Accordingly, the government launched the Automobile Industry Development and Export Plan (AIDEP) in July 2021. This plan supports EV production through incentives. Although EVs currently have higher upfront costs due to batteries, technological advancements and increased adoption should lower these costs.
Therefore, the government should actively encourage consumers to switch from internal combustion engine (ICE) vehicles to EVs. Additionally, collaboration with universities and a stronger media presence can educate the public about electric vehicles. Moreover, inviting experts to speak on social media platforms and at exhibitions can further improve awareness.
To attract consumers, the government should reduce customs duties and sales taxes for EV manufacturers. Since EVs in Pakistan remain in early stages, abolishing the current 1% sales tax and making EVs tax-free for the next decade could boost adoption. Furthermore, financial subsidies should support special low-interest loans for purchasing new EVs or upgrading from ICE vehicles. Special incentives should also encourage the commercial sector to install charging infrastructure, including lower electricity prices and reduced import duties on batteries. Additionally, the government should partner with battery manufacturers and technology companies to develop local battery manufacturing capabilities. Finally, charging stations should appear at every filling station nationwide, and public-private partnerships should accelerate deployment.
Engr. Mian Shahid Hamid, the writer of this article, leads as Project Director of Progressive Climate Foundation – PCF and is an accomplished EV Research Scholar. This article, titled “The EV Transition: A Solution to Climate Challenges and Economic Burdens,” appeared in the Daily Soon Times Newspaper on 22nd January 2025.
