Economics

Pakistan Needs Holistic Approach for EV Growth

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The Sustainable Development Policy Institute (SDPI) has called for an integrated strategy combining economic, energy and environmental policies to drive Pakistan’s electric vehicle (EV) transition. During a high-level policy dialogue in Islamabad, experts emphasized that successful EV adoption requires aligning the New Energy Vehicle Policy 2025 with renewable energy development and climate goals. The session marked the launch of SDPI’s comprehensive report analyzing Pakistan’s EV ecosystem challenges and opportunities, attended by policymakers, energy specialists and academics.

Dr. Abid Qaiyum Suleri, SDPI Executive Director, stressed that Pakistan’s EV ambitions must be powered by clean energy to achieve meaningful environmental benefits. Current projections show EVs could reduce transport sector emissions by 45% by 2030, but only if charged through renewable sources rather than the existing fossil-fuel dominated grid. The dialogue highlighted the need for synchronized policies addressing vehicle manufacturing, charging infrastructure, electricity generation and consumer incentives simultaneously rather than through fragmented approaches.

Key recommendations include developing localized EV manufacturing to capture economic value while avoiding complete import dependence. Experts proposed tying EV incentives to renewable energy commitments, ensuring the transition supports both industrial growth and climate resilience. The discussion also emphasized creating an enabling environment for private investment in charging infrastructure, particularly along major transportation corridors. With proper coordination, Pakistan’s EV market could grow tenfold by 2030 while supporting renewable energy expansion and domestic auto sector transformation.

As Pakistan moves toward electric mobility, the SDPI’s integrated framework provides a roadmap to avoid pitfalls seen in other developing markets. The true test will be implementing policies that make EVs accessible and environmentally effective while creating local jobs and industries. If executed strategically, Pakistan’s EV transition could become a model for developing nations seeking to balance economic development with climate action turning an environmental necessity into an engine for sustainable growth. The coming year will prove crucial for translating these policy discussions into concrete actions that accelerate Pakistan’s clean transportation future.

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