Government Proposes Significant Reduction in Electricity Rates for EV Charging Stations

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Hassan Khan

Government Proposes Significant Reduction in Electricity Rates for EV Charging Stations

Government Seeks Major Cut in EV Charging Tariffs to Boost Electric Vehicle Adoption

The federal government has formally requested the National Electric Power Regulatory Authority (NEPRA) to approve a significant reduction in electricity tariffs for electric vehicle (EV) charging stations, aiming to promote EV adoption nationwide.

The proposal suggests lowering the base tariff by Rs23.57 per unit. This follows the government’s earlier announcement of a 44% reduction in EV charging tariffs, designed to make electric vehicles more cost-effective and accelerate the transition to clean energy.

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As per the government’s plan, this tariff reduction aligns with Pakistan’s Electric Vehicle Policy 2030, which seeks to enhance EV adoption by providing more affordable charging options. The financial gap created by the concessional tariff is expected to be managed through a cross-subsidy mechanism, preventing any direct burden on power distribution companies.

NEPRA has scheduled a hearing on February 12 to review the proposal. If approved, the reduced tariff will substantially lower EV operational costs, making electric travel up to three times cheaper compared to conventional fuel-based transportation.

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