KARACHI: The Sindh provincial government has announced a two-year extension of tax and registration benefits for electric vehicles (EVs) as part of its ongoing initiative to foster eco-friendly transportation solutions. The Sindh cabinet approved this package during a meeting chaired by Chief Minister Murad Ali Shah, emphasizing the importance of promoting electric mobility to reduce reliance on imported fuel, lower carbon emissions, and improve air quality.
According to the decision, the registration fee for electric vehicles will stay at Rs1,000, and the annual motor vehicle tax for non-commercial EVs will remain at Rs500. Electric motorcycles will be subjected to a one-time lifetime tax of Rs500, while electric vehicles with engine capacities of 2,000cc or higher will be levied a luxury tax of Rs5,000. Additionally, a penalty of Rs1,000 has been set for delayed registration of electric vehicles.
The incentives are set to be in effect from May 30, 2026, to May 29, 2028, effectively maintaining the current concessions for an extra two years. The cabinet approved the proposal submitted by the Excise Department regarding EV taxation and registration procedures.
During the meeting, Chief Minister Murad Ali Shah highlighted that promoting electric vehicles is a core component of the government’s strategy for sustainable development. He stated that increased adoption of EVs would significantly decrease dependence on imported fuels, cut down on carbon emissions, and help combat air pollution.
Shah emphasized that ongoing tax incentives are crucial to encouraging more consumers and investors to embrace electric mobility, further supporting the shift toward cleaner transportation options in Sindh. The government’s measures aim to enhance air quality, promote environmentally responsible transport, and support the province’s transition to sustainable mobility solutions.
