Mansoor Sadiq

Under the Energy Conservation Plan to promote clean and green energy, the government has approved a scheme for providing 15,000 electric bikes and rickshaws at zero markup in three years. Nadeem Ahsan, a senior official at the Ministry of Industries and Production, told WealthPK that a summary detailing the viability, demand and possible incentives for potential buyers of electric bikes and rickshaws was presented to the Economic Coordination Committee (ECC) of the cabinet. The goal is to make these vehicles more affordable in the country.

A loan of up to Rs0.5 million will be provided in the first category at zero interest for repayments in three years in 36 instalments. For the current financial year (2022-23), a total of Rs7.5 billion has been allocated to finance 15,000 electric bikes and rickshaws for individuals under 45 years of age. “The loan scheme will prove beneficial for reducing import bill as millions of bikes and rickshaws consume fossil fuels daily in the country, which is a huge burden on the economy,” Nadeem said.

He said more people are likely to adopt e-bikes and rickshaws after seeing its benefits. The price of a 70cc electric motorcycle in market ranges between Rs170,000-180,000, while the price of a 125cc electric motorcycle is approximately Rs275,000. These motorcycles could be charged with an ordinary electric circuit. About 3-4 hours charging will cost 1.5 units of electricity, which will cost about Rs60. With one full charge, an e-bike can travel up to 100km and reach speeds of 80-100km/h. Currently, the cost per kilometre on conventional motorcycles is around Rs6-7, while on electric bikes, this per kilometre cost drops to just Rs1. The battery of an electric bike can last up to five years and can be easily changed.

According to a report of Pakistan Bureau of Statistics (PBS), there are approximately one million conventional rickshaws on the roads in the country, which are consuming expensive fuel. Replacing these rickshaws with e-rickshaws can save huge fuel costs and benefit the environment. Abdul Rahman, an economic expert, told WealthPK that two years ago, people were reluctant to install solar panels at their homes, but nowadays after a huge increase in power tariffs, the sale of solar panels has risen dramatically. In similar ways, he said, people will start switching to e-bikes and rickshaws after seeing their benefits.

Credit: Independent News Pakistan-WealthPk