The federal government is preparing to introduce a broad package of incentives under its proposed New Energy Vehicle (NEV) policy aimed at accelerating the adoption of electric and clean-energy vehicles, particularly electric motorcycles and rickshaws, 24NewsHD TV reported.
Under the draft policy, NEVs registered in Islamabad will be exempt from registration fees and annual token taxes, significantly lowering ownership costs for consumers in the federal capital.
The policy also encourages provincial governments, as well as authorities in Gilgit-Baltistan and Azad Jammu and Kashmir, to adopt similar measures in their respective regions in an effort to expand incentives nationwide.
In another major proposed relief measure, the National Highway Authority (NHA) is expected to exempt NEVs from toll charges on motorways and national highways to reduce travel costs for electric vehicle owners and promote cleaner transportation.
Officials said the government’s primary focus is to speed up the adoption of electric two- and three-wheelers, which are widely used for urban commuting and are considered crucial to Pakistan’s shift toward environmentally friendly transport.
Although electric vehicles currently remain more expensive than conventional fuel-powered vehicles, policymakers believe the proposed incentives — including tax exemptions, fee waivers and toll relief — will improve affordability and lower long-term operating costs.
Authorities also believe the financial impact of the concessions on government revenue would remain limited, as most NEVs are expected to operate mainly within cities rather than on long-distance highway routes.
While implementation details for Islamabad have been outlined in the draft framework, nationwide adoption of similar incentives will depend on whether provincial governments choose to align their policies with the federal plan.