The public authority has endorsed the foundation of 40 electric vehicle (EV) charging stations along Pakistan’s motorways with an initial power tax of Rs 39.75 per unit, part of the main draft of the public EV strategy.
According to a news report, this initiative is expected to help EV reception in Pakistan, alongside proposals to boost the development of electric two- and three-wheelers through funding choices.
The report added that in a meeting on the EV strategy, the Pakistan Banks Association (PBA), led by Chairman Zafar Masud, introduced a financing plan to invigorate interest in two- and three-wheeler EVs. Masud suggested offering a rate of Kibor plus 3% to urge banks to take part, but the chair suggested capping it at Kibor plus 2.5%.
A report of the working group on distinguishing 40 areas on motorways was approved. In such a manner, the ministries of communication, power, petrol, and the Federal Board of Revenue, alongside the Central Power Purchasing Agency-Guarantee (CPPA-G), were mentioned to determine the issues confronting the oil marketing companies (OMCs) to prepare for establishing charging stations within the next three months.
The panel on EV strategy was happy with CPPA-G’s proposal for a power tax of Rs 39.75 per unit for the charging stations. Meeting individuals agreed on a basic level, on the subsidizing plan for electric two- and three-wheelers, presented by the PBA; however, it would be gotten in consultation with the SBP and Finance Division.Â
Read more: Govt is considering cheap electricity for EV charging stations across Pakistan
A working group was framed to recognize a suitable customs and tax structure to energize the reception of EVs and their local manufacturing. One more working group was positioned to execute the funding plan, pointing toward expanding the interest in EVs.
The Energy Centre at the Lahore University of Management Sciences (LUMS) introduced its work also. It was noticed that if the power tariff was kept at around Rs 40 per kilowatt-hour (kWh), the profit from interest in a little electric vehicle would become reasonable for purchasers within three to four years. The panel agreed that a further higher tariff wouldn’t give any incentive for transitioning to electric vehicles.
The extra secretary gave an outline of the advancement in identifying areas for 40 charging stations from Peshawar to Karachi and guaranteeing that the intervals were within 120 km. He expressed that those areas were essentially administration stations along motorways, possessed by the National Highway Authority (NHA).
It was noted that the OMCs operating petrol pumps at those help stations had no issue with the establishment of charging stations at their own expense. However, they will need help with the arrangement of power connections. The new guidelines of Neeca will be of extraordinary assistance in such a manner.
To further reduce power tariffs, the enterprise’s secretary suggested that NHA should consider allowing the utilization of additional land in service areas alongside motorways for laying out solar stations. Tahir Jamil of NHA consented to think about that choice and update the committee in the next meeting.
Ahmed Atteeq Anwar emphasized the requirement for introducing signs to show the presence of charging stations. He also called for going to lengths, like advance booking, to decrease the hold-up time.
ChallengesÂ
To guarantee a smooth change to electric mobility, the public authority is effectively tending to a few difficulties:
• Infrastructure Development: The development of the charging system is essential to work with long travel and mitigate range anxiety among EV clients.
• Financial Incentives: Implementing attractive financial incentives, for example, tax breaks and subsidies, can urge consumers to adopt EVs.
• Public Awareness and Education: Raising awareness to light about the advantages of EVs and dispelling misinterpretations is significant for driving interest.
• Strategy and Administrative Structure: A reasonable and strong strategy system is important to attract investments and work with the development of the EV environment.