Pakistan is rapidly moving toward electric public transport, with electric buses, e-rickshaws and e-taxis expanding across the country. But as public transport becomes cleaner and more affordable, an important question remains: what happens to the millions of drivers who currently depend on taxis, rickshaws, vans and other fuel-powered vehicles for their daily income?
Pakistan Is Entering a New Era of Public Transport
Pakistan’s transportation system is beginning to change.
Electric buses are being introduced in major cities, provinces are planning larger public-transport networks, and government programs are also supporting electric taxis, bikes and rickshaws.
Punjab, for example, plans to introduce 1,500 electric buses across 91 tehsils beginning in January 2027, with a target of 3,000 electric buses operating across the province by June 2027. More than 600 electric buses are already reported to be operational in different districts.
The objective is clear: reduce fuel consumption, improve urban mobility, lower pollution and provide affordable transportation.
But there is another side to this transformation.
What Happens to the Existing Drivers?
For thousands of Pakistani families, driving is not simply a method of transportation — it is a source of livelihood.
Rickshaw drivers, taxi drivers, van drivers, local bus drivers and other transport workers depend on daily passengers to support their families.
This raises a genuine question:
If people increasingly choose government-operated electric buses because they are affordable and convenient, will traditional drivers lose their customers?
The answer will depend largely on how Pakistan manages the transition.
Electric buses will certainly compete with some existing transport services, particularly on routes where buses provide frequent service at lower fares.
However, buses cannot provide every type of transportation.
They operate on fixed routes and stops, while many passengers still need door-to-door transportation, short-distance trips, late-night travel, school transport, deliveries and connections between their homes and major bus stations.
This creates an opportunity for existing drivers rather than making their role completely unnecessary.
The Future May Be Electric — But Drivers Are Still Needed
One of the most important points in Pakistan's electric-vehicle transition is that the government is not focusing exclusively on large buses.
The federal electric-vehicle financing scheme includes approximately 116,000 electric bikes and 3,170 electric rickshaws/loaders for FY2025-26. The scheme provides financing support and government subsidies, including up to Rs200,000 in capital subsidy for eligible three-wheelers.
This means the future could look less like:
Fuel vehicle → driver loses job
and more like:
Fuel vehicle → electric vehicle → same driver continues earning
The vehicle may change, but the driver's role can remain.
Electric Rickshaws Could Become Part of the Solution
Electric rickshaws could play an especially important role because they can provide the type of transportation that large buses cannot.
In January 2026, Khyber Pakhtunkhwa's Transport and Mass Transit Department was considering the introduction of 10,000 electric rickshaws in Peshawar. The proposal specifically discussed employment generation and integrating e-rickshaws with the city's BRT and other transport services to improve last-mile connectivity.
This is an important concept.
Imagine a passenger living several kilometres away from a major bus station.
Instead of taking a private car for the entire journey, the passenger could:
Home → electric rickshaw → electric bus → electric rickshaw → destination
In such a system, the bus does not necessarily eliminate the rickshaw driver.
It can actually create a new role for the driver.
The Rise of Electric Taxis
Pakistan is also beginning to experiment with electric taxis.
Punjab launched its e-Taxi Scheme in February 2026, with an initial phase involving 1,100 electric vehicles. The scheme also includes a 30% quota for women.
Punjab's official transport department describes its interest-free electric-taxi program as a way of supporting individual drivers and fleet owners, with government assistance including capital subsidy and registration-related support.
This demonstrates an important possibility:
The existing taxi driver does not necessarily have to disappear from the transportation market.
Instead, the driver can potentially transition from a petrol or diesel vehicle to an electric vehicle.
Lower Fuel Costs Could Change Driver Economics
For professional drivers, fuel is one of the largest recurring operating expenses.
Electric vehicles have different operating economics because they use electricity instead of petrol or diesel, although the actual savings depend on electricity tariffs, vehicle efficiency, battery condition, charging arrangements and financing costs.
For a driver who spends a large portion of daily earnings on fuel, reducing energy costs could potentially increase the amount available for household income — provided that the financing, maintenance and charging costs remain manageable.
This is why access to affordable financing is critical.
An electric vehicle may have a higher upfront cost than an older used petrol or diesel vehicle, even if its operating costs can be lower.
Without financing support, many low-income drivers may struggle to make the transition.
The Biggest Risk: Leaving Drivers Behind
Pakistan's electric-transport transition will not succeed simply by purchasing thousands of buses.
The country also needs to consider the people whose livelihoods are connected to the existing transport economy.
A driver who has spent 10 or 20 years operating a rickshaw cannot simply be expected to purchase a new electric vehicle without financial assistance.
A successful transition could therefore include:
- Affordable financing for existing drivers
- Subsidies for electric rickshaws and taxis
- Driver training
- Charging stations in transport hubs
- Battery and vehicle maintenance training
- Integration of private drivers with public-transport networks
- Dedicated feeder routes
- Digital booking and payment systems
- Opportunities for drivers to work with fleet operators
- Skills development for electric-vehicle maintenance
The federal NEV policy itself identifies the development of green jobs as one of its objectives and aims to increase new-energy-vehicle sales across two- and three-wheelers, passenger cars, light commercial vehicles, buses and trucks.
A New Transport Ecosystem Could Emerge
The future of transportation in Pakistan does not necessarily have to be a competition between government buses and private drivers.
It could become a connected ecosystem.
Large electric buses could handle high-volume routes.
Electric vans could serve smaller communities.
Electric rickshaws could provide last-mile transportation.
Electric taxis could provide door-to-door journeys.
Private vehicles could continue serving people who need personal transportation.
And behind all of these vehicles, there will still be drivers, technicians, charging operators, fleet managers and other workers.
The technology changes.
The need for transportation does not.
What Could Happen to Petrol and Diesel Vehicles?
As electric transportation expands, demand for conventional fuel-powered vehicles may gradually change.
However, this will not happen overnight.
Pakistan has millions of existing cars, motorcycles, rickshaws, vans and buses. Replacing such a large vehicle fleet requires time, investment, charging infrastructure and affordable financing.
The government's NEV policy targets 30% of new vehicle sales being new-energy vehicles by 2030 and proposes the development of 3,000 charging stations by 2030.
This means the transition is likely to be gradual rather than an immediate replacement of every petrol and diesel vehicle.
The Question Pakistan Needs to Answer
The real question is not:
“Will electric buses replace local drivers?”
The more important question is:
“How can Pakistan make sure local drivers benefit from the transition to electric transportation?”
If drivers receive access to affordable electric vehicles, financing, training and new transport networks, the transition could create new economic opportunities.
If they are excluded from the process, some drivers operating on routes directly competing with large subsidized bus networks could face pressure on their earnings.
That makes driver inclusion an important part of transport planning.
The Road Ahead
Pakistan's transportation future is becoming increasingly electric.
From Punjab's expanding electric-bus plans to electric taxis and proposed electric-rickshaw networks, the country is moving toward a transportation system that relies less on imported fuel and more on electric mobility.
But successful transformation is not only about vehicles.
It is about people.
The bus driver, rickshaw driver, taxi driver, mechanic and transport worker should all have a place in the next generation of Pakistan's mobility system.
Electric buses may change the way Pakistan moves.
The real opportunity is to make sure they do not leave the people who move Pakistan behind.