Pakistan to distribute over 100,000 EV bikes to make electric mobility more accessible

Pakistan's top economic decision-making body—the Economic Coordination Committee (ECC)—on Tuesday approved a subsidy program for electric vehicles and a PKR 30 billion technical supplementary grant to clear pending reimbursement claims under the Telegraphic Transfer Charges (TTC) Incentive Scheme for the fiscal year 2024-25.

According to a statement from the Finance Division, the ECC meeting, chaired virtually by Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb, approved a subsidy scheme to promote the use of electric bikes and rickshaws/loaders, aiming to make electric mobility more accessible to citizens.

The initiative includes the distribution of 116,000 electric bikes and 3,170 electric rickshaws/loaders in two phases, with the first phase—comprising 40,000 bikes and 1,000 rickshaws/loaders—expected to be launched soon by the prime minister. Top-performing students at government colleges will also receive free electric bikes under the scheme.

The subsidy, financed through a PKR 9 billion budgetary allocation for fiscal year 2025-26, was submitted by the Ministry of Industries and Production.

Separately, the ECC approved a PKR 30 billion technical supplementary grant requested by the Finance Division to partially clear outstanding TTC incentive claims totaling PKR 58.26 billion. The scheme encourages overseas Pakistanis to use official channels for remittances.

The Finance Division was directed to coordinate with the State Bank of Pakistan (SBP) to finalize payment modalities and conduct a comprehensive assessment of the remittance initiative. Final recommendations, incorporating stakeholder input, are expected by mid-September.

The committee also conditionally approved a PKR 2 billion bailout grant for Quaid-i-Azam University. The university, in coordination with the Higher Education Commission, must submit a roadmap toward long-term financial self-reliance to qualify for the release of funds.

Federal Ministers Sardar Awais Ahmed Khan Leghari (Power), Ali Pervaiz Malik (Petroleum), and Rana Tanveer Hussain (National Food Security and Research) were among those present at the meeting, along with senior officials from various ministries and departments.