The transfer of subsidy amounts under the Self Finance Scheme and Bank Finance Scheme has commenced as part of the Pakistan Accelerated Vehicle Electrification (PAVE) Scheme, approved by the Prime Minister. The scheme aims to provide electric bikes, rickshaws, and loaders to the general public across Pakistan.
The PAVE Scheme is designed to accelerate Pakistan’s transition to clean, affordable, and sustainable mobility, reduce dependence on fossil fuels, and promote domestic electric vehicle manufacturing. A total subsidy of Rs. 100.36 billion will be provided over five years until 2030 for electric bikes, rickshaws, loaders, cars, buses, and trucks.
The Engineering Development Board (EDB), under the Ministry of Industries and Production, is implementing Phase-I of the Prime Minister’s Electric Vehicle Adoption Scheme under the New Energy Vehicles Policy (NEVP) 2025–2030. This phase provides financial and capital subsidy support for 41,000 electric vehicles nationwide, including 40,000 electric bikes and 1,000 electric rickshaws and loaders. Phase-II will extend facilitation to an additional 78,170 electric vehicles, with a total subsidy of Rs. 8.95 billion during 2025–26.
Under the Self Finance Scheme, successful applicants pay the full price of the e-bike to the manufacturer, and a subsidy of up to Rs. 80,000 is reimbursed directly by the State Bank into the applicant’s account after verification. Under the Bank Lease Scheme, electric 2–3 wheelers are provided by the Government on easy installments at subsidized rates.
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Following the formal launch of Phase-I, the capital subsidy disbursement process has begun, marking the operational implementation of the scheme. Subsidies have already been transferred to the first set of verified applicants under both schemes, with further disbursements continuing progressively according to the approved verification framework.
The scheme is being implemented in close coordination among the EDB, Ministry of Industries and Production (MoIP), State Bank of Pakistan (SBP), Punjab Information Technology Board (PITB), NADRA, participating banks, and approved Original Equipment Manufacturers (OEMs) to ensure robust digital verification, transparency, and timely release of subsidies.
Successful applicants have expressed gratitude to the Government for promoting affordable and cleaner mobility for the public.
It is reiterated that only electric vehicles duly registered with federal and provincial registration authorities are eligible for subsidy claims. Individuals without proper registration cannot claim the subsidy.
