Government Exemptions for Electric Vehicles

In a bid to incentivize electric vehicle usage in Pakistan, the federal government notified the concerned ministries and departments to exempt electric vehicles from the registration fees and motor vehicle tax on 2-3-Wheelers, Heavy Commercial Vehicles (HCV), and four-wheelers.

Previously, the federal government launched Pakistan’s first Electric Vehicle policy to increase endorsement of electric vehicles in Pakistan. In order to incentivize citizens to purchase electric vehicles, the government exempted the buyers from paying the Federal Excise Duty and General Sales Tax on those vehicles. This policy is also in line with the government’s objective to shift to renewable and environmentally conscious sources of energy.