Islamabad: Energy experts and policymakers at a consultation called for an urgent coordinated policy action to electrify Pakistan's transport sector, warning that geopolitical tensions along with oil market volatility has exposed the country's fragile energy security framework.

The consultative on 'Transport energy Security Amid Geopolitical Shocks' was organized by Sustainable Development Policy Institute (SDPI) here on Tuesday.

Dr. Sajid Amin Javed, Deputy Executive Director (Research), SDPI, said that the ongoing global crisis is 'a reminder not only of oil market instability but also of a fragile global supply chain.'

He noted that Pakistan's energy challenge is primarily a macroeconomic issue, as oil imports remain the largest component of the import bill. He stressed that transport being the largest oil-consuming sector must be the starting point for reform.

He urged policymakers to treat the crisis as an opportunity to push government sensitization and integrate transport electrification into upcoming federal and provincial budgets. He suggested that a replacement strategy for existing vehicles, particularly motorbikes that account for nearly 40% of petrol consumption, alongside budgetary mechanisms and incentives such as trade-in schemes and pooled financing with banks and industry.

Engineer Ubaid ur Rehman Zia, Senior Research Associate and Head of Energy Unit at SDPI, emphasized that electrification is critical in the context of Middle East conflict and their spillover effects. He cautioned that Pakistan's vulnerability lies in disrupted supply chains, not just oil price fluctuations, making energy diversification imperative.

Dr Naveed Arshad, Director, LUMS Energy Institute, pointed out that Pakistan has witnessed a rapid solar boom driven largely by private investment. He maintained that nearly all solar installations in Pakistan are downstream (consumer-driven), unlike other countries where grid-based generation dominates. He suggested leveraging this momentum for EV adoption through grid upgrades, charging infrastructure expansion, and regulatory reforms. He also stressed that highly regulated transport policies are stifling innovation, calling for simplified frameworks and incentives to enable EV ecosystem growth.

Prof. Dr Aazir Anwar Khan, Integrated Engineering Centre of Excellence (IECE) at the University of Lahore, urged Pakistan to learn from China by integrating energy, EVs, and battery industries into a unified strategy. He recommended local manufacturing of EVs and batteries, noting that Pakistan has strong engineering talent. He further argued that EVs should be treated as a separate industrial category rather than conventional automobiles. Highlighting retrofitting of 30 million existing bikes as a key entry point, he also proposed battery swapping systems and spare parts market development.

Dr. Majid Bilal Khan, Program Manager, Just Energy Transition at Indus Consortium, identified financing constraints as the primary bottleneck. He explained that banks remain hesitant due to policy inconsistency and uncertainty about EV resale value and battery life. He suggested consistent long-term policies, removal of financing caps, and concessional loan schemes, particularly for two- and three-wheelers. He also stressed the need for localization strategies and inclusion of overlooked sectors such as fisheries and water transport.

Saleeha Qureshi, Senior Research Associate at SDPI, emphasized the need to strengthen institutional and political will to drive electrification, while Yasir Darya, Founder of Darya Lab, called for building a strong public narrative around EVs, linking it to 'ecological civilization' concept of China. He suggested integrating EVs with urban planning, public transport systems, and reduced car dependency, alongside addressing gaps in charging infrastructure and technical standards.

Presenting the Charter of Demand, Omais Abdur Rehman, Senior Associate Renewable Energy Technology, Renewables First, recommended fast-tracking EV targets from 2030 to 2028, expanding charging infrastructure beyond current projections, and redirecting public development funds (PSDP) toward EV-compatible infrastructure. He further called for ring-fencing petroleum levy revenues for EV development, launching single-window financing schemes, and simplifying licensing procedures for charging stations.

Aiman Shafique, Founder of EV Square highlighted policy gaps in certification and standards, noting that local EV kits are being installed without regulatory oversight. He called upon the government to develop proper standards for retrofitting and conversion of conventional automobiles over EVs.

Asad Mehmood, Energy Efficiency and Renewable Energy Expert, stressed capacity building and workforce training, recommending certification programs for mechanics and technicians to support the EV transition.

Kamil Maqsood, Team Lead (Policy and Strategic Planning), Ministry of Energy, acknowledged policy gaps and underscored the need for resource allocation aligned with energy security priorities as well as better coordination between federal and provincial levels.

Sarim Zia, SDPI Researcher, presenting analysis based on Pakistan Two-Wheeler Fuel Economy Dashboard and petrol price surveys, said that rising fuel prices and subsidies are placing a heavy burden on the government.

He highlighted that pre-crisis fuel expenses have surged dramatically rising from around Rs4,400 to nearly Rs7,000 making transport increasingly expensive for consumers. He emphasized that continued reliance on subsidies is unsustainable, especially as the number of consumers grows.

He added that shifting to EVs would lower running costs for consumers while also addressing two key issues: reducing the import bill and conserving limited petrol reserves. Hussain Jawad, CEO of Indus Consortium, in his concluding remarks, noted that Pakistan's solar boom demonstrates that 'technology-driven transitions are unstoppable when supported by the right policies.'

He summarized key barriers as policy inconsistency, financing gaps, and weak localization, and stressed that stakeholder recommendations would be conveyed to the government ahead of the federal budget.