ISLAMABAD: Soaring petrol prices are fuelling a rapid increase in demand for electric bikes and scooters in Pakistan, with certain models experiencing shortages and the emergence of “on-money” premiums, industry sources report.
Analysts revealed that oil crises globally together with Middle East tensions, are having an important effect on Pakistan’s auto industry. In order to compensate for this, there has been an unprecedented growth of the EV sector in the country.
Popular tractor manufacturer, Millat Tractors, has decided to investigate the possibilities of manufacturing electric bikes in Pakistan. The firm announced to the Pakistan Stock Exchange that one of its subsidiary firms is examining an electric bike project in the initial stages.
However, according to social media reports, some EV bike manufacturers managed to sell about 15,000 bikes in the month of April itself, and some 5,000 bikes. Nonetheless, motorcycle industry specialist Mohammad Sabir Sheikh believes that such figures are highly exaggerated, because electric bikes sold nationwide during March and April were only about 30,000.
To meet the growing demand, assemblers have also allegedly issued further letters of credit to import components. As per Sheikh, “On-money” premiums of PKR 10,000-15,000 are being charged on some popular models.
Moreover, Cherry Master Pakistan is also considering introducing new hybrid and electric vehicle variants in the local market, which include the Tiggo 4 Hybrid Electric Vehicle (HEV), QQ Battery Electric Vehicle (BEV), and Tiggo V. Meanwhile, Pak Suzuki has also revealed pricing information for its upcoming crossover, the Suzuki Fronx.
The heightened interest in EVs suggests that the Pakistani auto industry is witnessing a change, whereby consumers are seeking affordable and sustainable options due to soaring fuel prices.
Govt employees to get electric bikes under new scheme
Meanwhile, the federal government has decided to provide electric bikes to government employees from Grade 1 to Grade 16 under a new self-financing scheme aimed at improving transportation facilities and promoting environmentally friendly commuting.
The sources told that the project will facilitate easy and clean energy modes to employees and will help overcome travel problems as well as environment pollution.
According to the sources, under the proposed scheme, electric bikes can be acquired by the government employees without bearing any extra interest or markup charges. The payment for the bikes will be made through salary reductions so as to ease the burden on employees’ pockets.
The officials from the Ministry of Interior stated that the government was taking measures to conserve energy and facilitate clean energy solutions.
It has been clarified that applications will be invited for the scheme through respective departments, while more details would be shared shortly.
Moreover, a ‘first come, first serve basis’ has been taken into consideration in lieu of balloting. In other words, early applicants shall enjoy priority over other applicants.
Sources have pointed out that the scope of the scheme could be enlarged in future to accommodate armed forces personnel and provincial government employees as well.
