Pakistan’s Govt Cuts 45pc Tariff for EV Charging Stations

Wed Jan 15 2025
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Key points

  • Charging stations to get power at Rs39.70 per unit
  • 10 million motorcyclists spend $6 billion on fuel annually in Pakistan
  • Permission for setting up charging stations can now be obtained in just 15 days

 

ISLAMABAD: In an effort to improve electric vehicle (EV) charging infrastructure in Pakistan, the government has announced a decrease in the tariff for EV charging stations by 45 per cent.

Awais Ahmad Khan Laghari
Minister for Energy Sardar Awais Ahmad Laghari —Phot by APP

The announcement was made by Pakistan’s Minister for Energy Sardar Awais Ahmad Laghari during a press conference in Islamabad on Wednesday. He said that the power division has decreased 45 per cent power tariff for electric vehicle (EV) charging stations and now charging stations will get Rs. 39.70 per unit from the current Rs. 71 per unit.

EV charging stations

The minister said that regulations related to EV charging stations will be implemented and registration and business will be allowed within 15 days.  He said that a special concessional electricity rate was announced today for electric vehicle charging stations.

EV cars

The special concessional electricity rate for charging stations has been reduced from the current Rs. 71 per unit to Rs. 39.70 per unit. Thus, for the first time in the history of the country, the per unit electricity price for electric vehicles has been decreased by 44 percent.

Along with this, regulations related to the establishment of the first electric vehicle charging stations and battery replacement points in the history of the country have also been implemented. These regulations have been implemented under the National Energy Conservation Authority, an institution of the Power Division, for which a regular gazette notification has also been issued.

EV

The Minister said that the circular debt decreased to 12 billion rupees, reaching 2,381 billion rupees for the period from July to November 2024 as the debt was 2,393 billion rupees on June 30, 2024.

The minister highlighted that the recovery rate for the period from July to November 2024 has reached 96 per cent, significantly improving compared to the same period in 2023 due to the prudent policies of the government.

The minister also revealed that the power division proposed revised agreements with eighteen more Independent Power Producers (IPPs) before the federal cabinet.

The Cabinet Committee on Energy approved the Power Division’s summary, granting permission for a

Dealing with air pollution

According to an estimate, there are currently 10 million motorcyclists in the country and they spend $6 billion on fuel annually.  Similarly, the use of electric technology in three-wheeled vehicles (rickshaws) is also likely to significantly reduce the cost of travel within the city, which will not only make a significant difference in fares but will also help in preventing the cost of harmful gases, which will help in dealing with air pollution.

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The reduction in travel costs will also have an impact on the delivery of goods within the city, which will also make a positive difference in the prices of necessities of life.

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