Govt Slashes EV Charging Tariff by 45%

The federal government has reduced electricity tariffs on electric vehicle (EV) charging stations by 45 percent to encourage the adoption and development of the technology. Federal Minister for Energy Awais Leghari announced this during a press conference on Wednesday. The revised tariff reduces the cost of electricity for EV charging stations from Rs. 71.10 to Rs. 39.40 per unit. Leghari said the high electricity rates and a lack of regulatory support had previously hindered the growth of charging infrastructure across the country. The minister further revealed that approvals for setting up such stations will now be granted within 15 days through an e-portal. Leghari urged international financial institutions to support Pakistan’s green energy initiatives through targeted financing. He added that with ongoing reforms, Pakistan is on track to offer the region’s cheapest electricity to industries and consumers in the coming months. Updating on the energy sector’s performance, Leghari added that circular debt had been reduced by Rs. 12 billion to Rs. 368 billion during the first five months of FY2024-25. Additionally, losses incurred by distribution companies (DISCOs) were reduced to Rs. 170 billion in the same period, down from Rs. 223 billion in FY24. He acknowledged that losses could have been further reduced to Rs. 140 billion with timely reforms in the Sukkur and Hyderabad DISCOs.