Here’s how you can get E-bike with govt’s new subsidized scheme

ISLAMABAD: The Economic Coordination Committee of the Cabinet on Tuesday approved a comprehensive subsidy E-bike scheme aimed at promoting the adoption of electric bikes and rickshaws in Pakistan.

The Ministry of Industries spearheads the initiative, and production is backed by a Rs 9billion allocation in the budget for the fiscal year 2025-26.

According to the exclusive detail, the scheme aims to make electric two and three-wheelers more accessible to the public, reduce fuel consumption, and promote environment-friendly transport alternatives.

The government plans to roll out the initiative in two phases, with 40000 electric bikes and 10000 electric rickshaws to be subsidized initially.

The second phase will cover the remaining 760000 bikes and 2170 rickshaws. The basic financing structure includes both conventional and Islamic financing options.

E-Bike scheme

Under the scheme, the maximum loan covered will be Rs 200,000 for electric bikes and Rs 880,000 for electric rickshaws.

The markup rate will be 6-month KIBOR+ 2.75% with a loan tenor of up to two years for bikes and three years for rickshaws.

However, the borrowers will not have to pay any markup, as the government will bear this cost in full.

In addition, the government of Pakistan will contribute equity up to Rs 50,000 for bikes and Rs 200,000 for rickshaws.

The debt-to-equity ratio has been fixed at 80: 20 and a 20% portfolio guarantee will be provided on a first-loss basis to participating financial institutions.

The scheme will be implemented via a fully digital platform, which will manage applications, ballototing, and progress tracking. Only those manufacturers and assemblers shortlisted by the Engineering Development Board will be eligible to participate based on the criteria such as technical capacity and financial strength, and after-sales service capabilities.

To ensure transparency, the scheme will be subject to regular audits by the Auditor General of Pakistan and third-party auditors. The EDB’s shortlisting and quality checks will also undergo third-party validation.

Eligibility Criteria

• Pakistani Citizens aged 18 to 65 are eligible for electric bikes
• Pakistani citizens aged 21 to 65 years are eligible for electric rickshaws.
• Citizens from all regions, including Gilgi Baltistan and Kashmir, can apply.
• The distribution of vehicles will be based on 2023 census population data.
• 10% quota is reserved for Balochistan.
• 25% of electric bikes are reserved for women.
• Up to 10% of electric bikes are allocated for commercial use.
• For rickshaws, individual applicants get top priority.
• up to 30% the rickshaw quota may go to the fleet operator if the individual quota remains unused.
• The Steering Committee will define the eligibility criteria for commercial users and fleet operators.

How to Get E-Bikes

• Applications will be invited through public advertisement.
• If the application exceeds the quota, an electronic ballot will be conducted.
• Each citizen can apply for one electric bike or rickshaw.
• Applicants can select from a range of shortlisted electric vehicles approved by the Engineering Development Board (EDB).
• Vehicles must meet quality, safety, and performance standards.
• All vehicles under the scheme will carry official government-approved branding.
• The Steering Committee may make minor adjustments during implementation (e.g., quota redistribution or unit count changes) as long as they remain within the approved budget.