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Punjab to Offer Interest-Free Loans for E-Taxi Scheme Backed by EV Training

  • July 18, 2025
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The Punjab government is rolling out a new electric taxi scheme aimed at encouraging sustainable transportation and self-employment, particularly among the youth. As part of the initiative, interest-free loans will be provided to eligible drivers through the Punjab Small Industries Corporation to facilitate the purchase of electric taxis. The move is designed to lower the entry barrier for individuals looking to shift to electric vehicles and to contribute to a cleaner, more affordable urban transport system.

In its pilot phase, the scheme will deploy 26 electric vehicles on the roads, coupled with support programs that focus on capacity building and operational facilitation. A key component of this project is the establishment of a Centre of Excellence for EVs and e-Taxi operations at the Government College of Technology Railway Road in Lahore. This facility will manage training, driver screening, and registration to ensure a transparent and merit-driven selection process.

The initiative targets individuals who meet basic eligibility requirements, including a minimum of matric-level education and possession of a valid Light Transport Vehicle (LTV) license. Once selected, participants will undergo dedicated training covering EV driving techniques, battery management, and charging station operations. The training is intended to ensure that recipients not only adopt electric taxis but are also equipped to manage and maintain them efficiently.

Officials involved in the scheme highlight that the introduction of interest-free financing is a strategic step toward promoting electric vehicle adoption. By removing the cost barrier of loan interest, the program is expected to attract a wider range of applicants, particularly those unable to access commercial loans. This initiative aligns with Punjab’s wider objectives of reducing fossil fuel dependence, curbing environmental pollution, and fostering economic participation through green technologies.

The launch of the e-taxi scheme also reflects the government’s focus on integrating innovation with public service delivery. By combining financial incentives with skill development, the program offers a comprehensive model that addresses both technological transition and employment generation. Authorities expect the initiative to create new career avenues in the transport sector, particularly in urban centers where demand for low-emission mobility options continues to grow.

If the pilot phase meets its operational and environmental goals, there are indications that the scheme may be extended to include more cities and an expanded fleet. The long-term aim is to build a scalable ecosystem for electric mobility in Punjab that is both economically inclusive and environmentally sustainable. As the program gets underway, stakeholders across government, education, and industry will play a key role in shaping its outcomes and future trajectory.

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Related Topics
  • electric vehicles Pakistan
  • EV loans
  • EV training center
  • green mobility
  • interest-free loans
  • Punjab e-taxi scheme
  • Punjab transport policy
  • self-employment
  • sustainable transport
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