https://www.southasiainvestor.com/2019/11/brief-overview-of-pakistans-electric.html
Pakistan has a low level of motorization with just 9% of the households owning a car. Nearly half of all households own a motorcycle. Motorization rates in the country have tripled over the last decade and a half, resulting in nearly 40% of all emissions coming from vehicles. Concerns about climate change and environmental pollution have forced the government to to take a number of actions ranging from adoption of Euro6 emission standards for new vehicles with internal combustion engines (ICE) since 2015 and announcement of a national electric vehicle (EV) policy this year.
Vehicle Ownership in Pakistan. Source: PBS
EV Policy:
Pakistan electric vehicle policy 2019 sets EV adoption targets and includes incentives for buyers and manufacturers. It also focuses on development of nationwide charging infrastructure to ease adoption of electric vehicles. Here are some of the salient points of the policy:
Policy Targets:
1. Goal for cars: 30% of new sales by 2030 and 90% of new sales by 2040
2. Goal for 2 and 3 wheelers: 50% of new sales by 2030 and 90% of new sales by 2040
3. Goal for buses: 50% of new sales by 2030 and 90% of new sales by 2040
4. Goal for trucks: 30% of new sales by 2030 and 90% of new sales by 2040
Buyer Incentives:
1. 1% GST for EVs vs 17% for regular vehicles
2. Lower electricity tariffs for EVs
Charging Infrastructure:
1. Only 1% import duty on charging equipment.
2. Lower power tariffs for charging stations.
3. One fast DC charging station per 3km by 3km area in all major cities
4. DC fast chargers on all motorways every 15-30 km.
5. Ensure uninterrupted power on feeders for charging stations.
Manufacturer Incentives:
1. All greenfield investments apply to EV manufacturers and those converting their existing facilities to manufacture EVs.
2. State Bank to offer lower rate financing for EV manufacturing.
Summary:
Announcement of National Electric Vehicle (EV) Policy 2019 by Pakistan government is a step in the right direction. It is a forward looking step needed to deal with climate concerns from growing transport sector emissions with rapidly rising vehicle ownership. It also focuses on development of nationwide charging infrastructure to ease adoption of electric vehicles. Meanwhile it's crucial that Euro6 emission standards be seriously enforced with proper inspections to limit emissions from internal combustion engine (ICE) vehicles being sold now.
Related Links:
Haq's Musings
South Asia Investor Review
Vehicle Ownership in Pakistan
Low Carbon Energy in Pakistan
Pakistan Transport Sector
Recurring Cycles of Drought and Floods in Pakistan
Pakistan's Response to Climate Change
Massive Oil and Gas Discovery in Pakistan: Hype vs Reality
Renewable Energy for Pakistan
Digital BRI: China and Pakistan Building Fiber, 5G Networks
LNG Imports in Pakistan
Growing Water Scarcity in Pakistan
China-Pakistan Economic Corridor
Ownership of Appliances and Vehicles in Pakistan
CPEC Transforming Pakistan
Pakistan's $20 Billion Tourism Industry Boom
Riaz Haq's YouTube Channel
PakAlumni Social Network
https://www.southasiainvestor.com/2019/11/brief-overview-of-pakistans-electric.html
Pakistan has a low level of motorization with just 9% of the households owning a car. Nearly half of all households own a motorcycle. Motorization rates in the country have tripled over the last decade and a half, resulting in nearly 40% of all emissions coming from vehicles. Concerns about climate change and environmental pollution have forced the government to to take a number of actions ranging from adoption of Euro6 emission standards for new vehicles with internal combustion engines (ICE) since 2015 and announcement of a national electric vehicle (EV) policy this year.
Vehicle Ownership in Pakistan. Source: PBS
EV Policy:
Pakistan electric vehicle policy 2019 sets EV adoption targets and includes incentives for buyers and manufacturers. It also focuses on development of nationwide charging infrastructure to ease adoption of electric vehicles. Here are some of the salient points of the policy:
Policy Targets:
1. Goal for cars: 30% of new sales by 2030 and 90% of new sales by 2040
2. Goal for 2 and 3 wheelers: 50% of new sales by 2030 and 90% of new sales by 2040
3. Goal for buses: 50% of new sales by 2030 and 90% of new sales by 2040
4. Goal for trucks: 30% of new sales by 2030 and 90% of new sales by 2040
Buyer Incentives:
1. 1% GST for EVs vs 17% for regular vehicles
2. Lower electricity tariffs for EVs
Charging Infrastructure:
1. Only 1% import duty on charging equipment.
2. Lower power tariffs for charging stations.
3. One fast DC charging station per 3km by 3km area in all major cities
4. DC fast chargers on all motorways every 15-30 km.
5. Ensure uninterrupted power on feeders for charging stations.
Manufacturer Incentives:
1. All greenfield investments apply to EV manufacturers and those converting their existing facilities to manufacture EVs.
2. State Bank to offer lower rate financing for EV manufacturing.
Summary:
Announcement of National Electric Vehicle (EV) Policy 2019 by Pakistan government is a step in the right direction. It is a forward looking step needed to deal with climate concerns from growing transport sector emissions with rapidly rising vehicle ownership. It also focuses on development of nationwide charging infrastructure to ease adoption of electric vehicles. Meanwhile it's crucial that Euro6 emission standards be seriously enforced with proper inspections to limit emissions from internal combustion engine (ICE) vehicles being sold now.
Related Links:
Haq's Musings
South Asia Investor Review
Vehicle Ownership in Pakistan
Low Carbon Energy in Pakistan
Pakistan Transport Sector
Recurring Cycles of Drought and Floods in Pakistan
Pakistan's Response to Climate Change
Massive Oil and Gas Discovery in Pakistan: Hype vs Reality
Renewable Energy for Pakistan
Digital BRI: China and Pakistan Building Fiber, 5G Networks
LNG Imports in Pakistan
Growing Water Scarcity in Pakistan
China-Pakistan Economic Corridor
Ownership of Appliances and Vehicles in Pakistan
CPEC Transforming Pakistan
Pakistan's $20 Billion Tourism Industry Boom
Riaz Haq's YouTube Channel
PakAlumni Social Network
https://www.southasiainvestor.com/2019/11/brief-overview-of-pakistans-electric.html
