In today’s fast-evolving world of sustainable transport, initiatives like the Chief Minister of Punjab’s E-Taxi Scheme are making real waves.
Launched in 2025 by CM Maryam Nawaz, this program isn’t just about getting electric taxis on the road—it’s a smart push toward economic growth, cleaner air, and better livelihoods in Pakistan.
With the pilot phase kicking off in August 2025, introducing 1,100 e-taxis in Lahore, the scheme is already showing promise in sparking local industry and creating jobs.
As someone who’s followed green mobility trends closely, I see this as a game-changer, especially when you consider how it ties into Pakistan’s broader EV policy goals.
But let’s get into the details. This article breaks down how the CM Punjab E-Taxi Scheme is fueling local manufacturing, generating employment, and rippling through the economy.
We’ll look at the nuts and bolts, backed by the latest updates as of August 18, 2025, including fresh insights on financing and expansions.
What Is the CM Punjab E-Taxi Scheme All About?
Picture this: Unemployed youth in Punjab getting behind the wheel of a brand-new electric taxi, earning a living without worrying about sky-high fuel costs.
The core objective of the CM Punjab E-Taxi Scheme 2025 is to offer interest-free financing for electric taxis to unemployed youth, promoting eco-friendly transportation and job creation.
It’s an interest-free financing program where banks offer loans up to Rs. 6.5 million for EVs, with the government covering the interest, markup, token tax, and registration fees.
For vehicles costing Rs. 4-10 million, the Punjab government chips in with a subsidized down payment, making it accessible for unemployed youth and women.
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The pilot focuses on 1,100 Chinese-made but locally assembled EVs, like the Honri VC20 (around Rs. 4 million) and VC30 (Rs. 5 million), which offer ranges of 200-300 km per charge.
There’s a quota for women to promote inclusivity, and units are allocated for fleet owners and individual drivers. Applications are handled through an official digital platform of the Punjab government, with online registration starting in August 2025.
To qualify, you need to be 21-55 years old, unemployed, hold a valid driving license and CNIC, and be a Punjab resident.
Monthly installments can be as low as Rs. 8,000-10,000, deducted from ride-hailing earnings via apps like Uber or Careem.
The government has allocated Rs. 2 billion for this, and 18 solar-powered charging stations are already up in Lahore, with plans to expand every 3 km and to other cities like Faisalabad and Multan.
| Key Aspects of CM Punjab E-Taxi Scheme | Details |
| Pilot Phase Taxis | 1,100 (including reservations for women and allocations for fleets and individuals) |
| Financing | Interest-free loans up to Rs. 6.5M; govt covers subsidized down payment, markup, taxes |
| Vehicle Models | Locally assembled Honri VC20 (Rs. 4M, 200km range) & VC30 (Rs. 5M, 300km range) |
| Installments | As low as Rs. 8,000-10,000/month from earnings |
| Infrastructure | 18 charging stations in Lahore; expanding to other cities |
| Eligibility | Unemployed youth 21-55; valid license, CNIC; Punjab domicile |
| Budget | Rs. 2 billion allocated |
How It’s Revving Up Local EV Manufacturing
One of the scheme’s smartest moves is prioritizing local assembly over full imports. The Punjab government has shortlisted nine EV suppliers to not only provide vehicles but also set up charging stations, service centers, and spare parts facilities across the province.
Dewan Motors, a key partner, is assembling models like the Honri VC20 and VC30 in Pakistan, shifting from completely knocked-down (CKD) kits to more localized production.
This creates a demand pull for domestic components—think batteries, wiring, and electronics sourced from Pakistani firms. It’s aligned with the National Electric Vehicle Policy 2025-2030, which offers tax breaks and duty-free imports to lure investors.
Chinese companies like Letin Auto are even establishing small EV plants in Punjab, drawn by the scheme’s scale. Experts say this could lead to full battery and motor production by 2030, cutting costs and building a self-reliant industry.
Already, with over 60,000 applications submitted, the buzz is driving investments and positioning Punjab as South Asia’s EV hub.
Job Creation: From Drivers to Technicians
Jobs are where this scheme really shines. Directly, it turns 1,100 unemployed folks into owner-operators, with potential earnings boosted by low maintenance EVs.
But the first phase alone could create over 10,000 jobs, including indirect roles in assembly, logistics, and maintenance.
Local assembly at Dewan Motors means hiring for production lines, quality checks, and supply chain management.
Charging infrastructure expansion? That adds hundreds of positions in installation and operations.
Plus, training programs for EV mechanics and electricians are ramping up, equipping thousands with future-proof skills. Women get a boost too, with quotas and support in driving and support roles.
Take Ayesha from Multan, for example—she went from unemployed to earning steadily as an e-taxi driver, supporting her family while cutting emissions.
Stories like hers show the human impact, with estimates suggesting every 1,000 EVs create up to 500 jobs in related sectors.
The Bigger Economic Picture
The effects don’t stop at factories and roads. By slashing fuel imports, the scheme saves foreign exchange and pumps money back into local businesses.
Drivers save up to 40% on operating costs, leaving more cash for spending. It ties into CPEC’s green focus, attracting FDI from China and beyond for EV clusters in Punjab.
Environmentally, fewer emissions mean healthier communities and lower healthcare bills. Economists forecast billions in GDP growth by 2030 from job multipliers and potential EV exports.
With expansions to 10,000 units planned, the scheme’s scale could transform Punjab’s industrial base.
Hurdles and the Road Ahead
Sure, challenges like expanding charging networks and initial costs exist, but subsidies and partnerships are tackling them head-on.
Looking at successes in India and China, Punjab could build a thriving EV sector with the right push.
Future plans include more cities, female safety features like GPS and panic buttons, and even green credits for drivers.
As of August 2025, with the financing structure just revealed, momentum is building fast.
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Wrapping It Up: A Drive Toward Progress
The CM Punjab E-Taxi Scheme isn’t just policy—it’s a lifeline for manufacturing, jobs, and sustainability.
By partnering with locals like Dewan Motors and focusing on inclusivity, it’s setting Punjab up for a greener, more prosperous future.
If you’re eligible, head to the official portal and apply today. Who knows? You could be part of this electric revolution.
I’m M. Ali Sher, founder of Aft4all, a platform where I share updates and insights across 📂 categories like 📰 News & Media, 🚗 Car Dealership, 🎤 Motivational Speaking, and 🚲 Bike Parking Solutions. My goal is to inform, inspire, and offer practical content for everyone.