The Sustainable Development Agenda 2030 adopted by the UN has shifted the world towards a more sustainable and environmentally friendly transportation sector. Electric Vehicles (EV) are considered an excellent innovation in this regard.
The Sustainable Development Agenda 2030 adopted by the UN has shifted the world towards a more sustainable and environmentally friendly transportation sector. Electric Vehicles (EV) are considered an excellent innovation in this regard.
EVs are on the path to becoming a mass-market product despite some concerns about the pace of growth. Pakistan is also exploring the potential of EVs but despite their various benefits, their adoption in Pakistan faces significant challenges.
The primary challenge is the limited number of charging stations to facilitate the operation of EVs. Power supply in Pakistan is often unreliable which aggravates the issue of the limited charging infrastructure. Second, lack of awareness among the public about technology and the benefits of EVs is another challenge. This limited knowledge makes it difficult to promote the adoption of EVs, especially when fossil fuel powered vehicles have been the norm for decades. Third, EVs are expensive and not easily accessible to the people. EV manufacturing is dependent on imports, thus making them vulnerable to foreign exchange rate fluctuation.
The mentioned challenges, coupled with the country’s economic condition, demand a workable solution to facilitate the adoption of EVs in Pakistan. Public Private Partnership (PPP) can be a viable option to tackle the challenges as an arrangement for coordination and cooperation of the private and public sectors around the world.
PPP has enhanced the economic value of different projects and contributed to the growth of infrastructure projects in particular. The main idea of the PPP scheme is public and private sector collaboration with different tiers of responsibilities and involvement as well as providing public and infrastructure services more proficiently
Public-Private Partnerships (PPPs) can play a vital role in overcoming these challenges. For example, Infrastructure development: PPPs can invest in building a comprehensive charging network to support infrastructure challenges. A suitable PPP model by incorporation of the private sector can ease the infrastructure requirement pressure.
EVs face significant challenges in Pakistan,and public-private partnerships can help overcome these hurdles
Then there is the issue of affordability: PPPs provide financing options, subsidies, or incentives to make EVs more affordable. Adoption of a suitable PPP model can encourage local assembly and manufacturing of EVs, thus reducing reliance on imports and making them more affordable.
On policy support: the Pakistan Public Private Partnership Authority (PPPA) can play a critical role in the formulation of supportive policies such as tax incentives, subsidies and regulation favoring EV adoption in Pakistan.
There is also the issue of awareness: a deliberate awareness campaign needs to be organised to educate the people about range, charging times and EV benefits such as reduced greenhouse gas emissions and lower operating costs. This campaign can also be undertaken through a suitable PPP model.
Public transportation: PPPs provide a great opportunity to attract the public and private sector to work in the EV domain to promote the adoption of EVs in public transportation, such as buses and taxis, to reduce emissions and operating costs.
Finally, R&D: PPPs can invest in R&D to improve EV technology and adapt it to Pakistan’s unique conditions.
Some recommended PPP models that can be adopted in Pakistan to favour EV adoption include: (a) joint ventures between government, private companies, and investors; (b) concessions and build-operate-transfer (BOT) models for infrastructure development; (c) public-private joint ventures for local manufacturing and assembly; and (d) collaborative research and development initiatives.
EVs face significant challenges in Pakistan, and public-private partnerships can help overcome these hurdles. By investing in infrastructure, affordability, awareness, and local manufacturing, PPPs can pave the way for a sustainable and environment friendly transportation sector in Pakistan.
The government, private sector, and the public must work together to create a conducive environment for EV adoption, ensuring a cleaner and greener future for generations to come. The PPPA needs to consider the viability and execution methodology to undertake EV projects via proper PPP models in Pakistan.
The writer is an independent PPP projects consultant.He can be reached at: waseemalitipu@gmail.com
