Punjab Launches E-Taxi Scheme with Interest-Free Loans

Punjab launches the E-Taxi Scheme 2025! Get a subsidized electric car with an interest-free loan for 5 years. A major opportunity for youth and women
A young woman proudly receiving the keys to a new, modern pink e-taxi as part of the CM Punjab E-Taxi Scheme, with an official in the background
The new E-Taxi scheme offers an unprecedented interest-free loan for 5 years, with a special focus on empowering women and youth.

LAHORE – The Government of Punjab, under the leadership of Chief Minister Maryam Nawaz, has officially launched the CM Punjab E-Taxi Program 2025, a landmark initiative aimed at creating employment and promoting environmentally friendly transport. The scheme will initially roll out as a pilot project in Lahore, providing 1,100 subsidized electric and hybrid taxis to eligible citizens through an exceptionally attractive, interest-free financing model in partnership with the Bank of Punjab (BOP).

This "Green & Clean Transport Initiative" is designed to empower youth, women, and low-income families by making vehicle ownership accessible. With online registration set to begin in August 2025, the program is being hailed as a major step towards developing a sustainable e-mobility ecosystem in Punjab and tackling the dual challenges of unemployment and urban pollution.

The Vision: Employment, Empowerment, and a Greener Lahore

The E-Taxi Program is more than just a vehicle distribution scheme; it's a comprehensive policy with a dual vision. Firstly, it aims to create thousands of respectable employment opportunities, particularly for the youth. Secondly, it is a strategic effort by the Transport and Masstransit Department to reduce urban vehicular emissions and introduce an efficient, modern mode of public transportation.

The government's official documentation frames the initiative as a "foundational step toward the development of a robust e-mobility ecosystem." By providing citizens with the means to own an electric vehicle, the government is not only creating entrepreneurs but also building the bedrock of a larger green transport network. The scheme gives special preference to women, differently-abled persons, and applicants from rural or low-income backgrounds, ensuring its benefits are inclusive and far-reaching.


The Financial Model: An Unprecedented Support Package

What makes the CM Punjab E-Taxi Program truly groundbreaking is its financial structure. The government is offering a comprehensive package of financial incentives to make ownership as affordable as possible.

The key components of the financing model include:

  • Interest-Free Loan: The Government of Punjab will pay the complete bank interest for a 5-year loan taken through the Bank of Punjab. This means the beneficiary only has to pay back the principal amount.
  • Share in Equity: The government will also contribute a share towards the initial equity or down payment, further reducing the upfront financial burden.
  • Free Vehicle Registration: All vehicle registration charges will be paid by the Government of Punjab.
  • Vehicle Price Cap: The government will finance electric cars priced up to PKR 6.5 million. If an applicant chooses a vehicle priced higher, they must pay the additional amount upfront.

Eligibility and Application Process

The eligibility criteria have been kept simple and inclusive to encourage widespread participation.

Who Can Apply?

  • Age: Applicants must be between 21 and 55 years old.
  • Residency: Must be a permanent resident of Punjab.
  • Driving License: Must hold a valid driving license (a learner's permit is acceptable at the time of application).
  • Traffic Record: Must have a clean traffic record with no major violations.

How to Apply Online (Starting August 2025):

  1. Visit the official Transport Department website: transport.punjab.gov.pk.
  2. Create an account using your CNIC and registered mobile number.
  3. Fill out the online application form with personal and professional details.
  4. Upload scanned copies of required documents.
  5. Submit the application and await confirmation.

Alongside its focus on urban development, the Punjab government continues to launch major initiatives for its rural and agricultural sectors. A prime example is the recently announced CM Punjab Green Tractor Scheme, a large-scale program designed to boost farm mechanization. The scheme provides thousands of heavily subsidized tractors to eligible farmers, aiming to increase productivity and support the backbone of the province's economy.


Ensuring Quality: Strict Requirements for Car Suppliers

To ensure the long-term success of the scheme, the government has placed stringent requirements on the companies that will supply the e-taxis. Only entities and car models that meet minimum standards for safety, performance, and after-sales support will be registered.

Key requirements for suppliers include:

  • Extensive Warranties: A six-year warranty for the vehicle's battery and a six-year warranty for the electric motor are mandatory.
  • After-Sales Service: Companies must establish at least two 3S (Sales, Service, Spare Parts) facilities in Lahore.
  • Charging Infrastructure: For every 25 e-taxis they supply, the company must set up at least one charging station in Lahore.
  • Vehicle Specifications: The cars must be four-door hatchbacks, have a minimum range of 300 km on a single charge, and include safety features like a tracker and a panic button.

These strict conditions ensure that beneficiaries receive a high-quality, reliable vehicle and have access to a robust support ecosystem, safeguarding their investment and livelihood.


Frequently Asked Questions (FAQs)

1. What is the biggest financial benefit of the CM Punjab E-Taxi Scheme?

The most significant benefit is the 5-year interest-free loan provided through the Bank of Punjab, where the government pays the full markup. Additionally, the government contributes to the down payment (equity) and covers all vehicle registration fees, making it an exceptionally affordable path to vehicle ownership.

2. Who is eligible to apply for this scheme?

To be eligible, you must be a permanent resident of Punjab, be between 21 and 55 years old, and hold a valid driving license. The scheme gives special encouragement and preference to women, differently-abled persons, and applicants from rural or low-income backgrounds.

3. How can I apply for the E-Taxi program?

The application process is entirely online and is scheduled to begin in August 2025. You will need to visit the official Transport and Masstransit Department website (transport.punjab.gov.pk), create an account, fill out the application form, and upload your required documents.

4. What kind of cars are being offered?

The scheme offers new electric and hybrid taxis (four-door hatchbacks) from government-approved manufacturers. These vehicles must have a minimum range of 300 km on a single charge and include modern safety features. The government will provide full financing for models priced up to PKR 6.5 million.

5. What warranties and after-sales support is included?

The government has mandated strict requirements for suppliers to protect consumers. Every vehicle comes with a comprehensive **six-year warranty for both the battery and the electric motor**. Suppliers are also required to establish at least two 3S (Sales, Service, Spare Parts) facilities and a network of charging stations in Lahore to provide long-term support.

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