The Sindh government has extended tax and registration concessions for electric vehicles by two more years, prolonging a package first introduced to encourage the shift towards cleaner transport in the province.
The decision was taken at a meeting of the Sindh Cabinet, chaired by Chief Minister Syed Murad Ali Shah at the Chief Minister House. The extended incentives will remain in effect from May 30, 2026, to May 29, 2028, covering non-commercial electric vehicles and electric motorcycles.
Under the approved terms, electric vehicle owners will continue to pay a registration fee of just Rs1,000, while the annual motor vehicle tax for non-commercial electric vehicles has been kept unchanged at Rs500. Electric motorcycles will be charged a one-time, lifetime motor vehicle tax of Rs500.
For larger electric vehicles with an engine capacity equivalent to 2,000cc or above, a luxury tax of Rs5,000 will apply. Owners who fail to register their vehicles on time will face a penalty of Rs1,000.
Alongside the extension, the cabinet approved a related proposal from the Excise, Taxation and Narcotics Control Department outlining the framework for administering these concessions.
Speaking after the meeting, Chief Minister Murad Ali Shah said the move reflected the provincial government’s continued commitment to environmentally sustainable transport.
The Chief Minister said wider adoption of electric vehicles would reduce the province’s dependence on imported fuel, lower carbon emissions, and help address air pollution in cities.
He described the policy as a central part of the government’s strategy to promote electric mobility, adding that sustained tax relief would encourage greater investment in the sector while contributing to cleaner urban air.
The extension builds on incentives the Sindh government first rolled out to accelerate the transition to electric transport, as authorities across Pakistan look to curb fuel imports and reduce emissions from the transport sector.