How Pakistan’s Hybrid failure could learn from Indonesia’s LCGC scheme

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Hybrid cars in Pakistan were launched in a bid to win the fight against energy crisis, more specifically; to make people stop using CNG. The government introduced special duty and tax relaxations on Hybrids but it has all backfired, Indus Motors launched Prius for 4.5 million while Honda introduced the CR-Z Hybrid for 3.5 million rupees, the same cars can be bought for 2-3 million rupees from the used imported car dealers.

Hybrids thus remain away from the reach of masses who seek refuge from the spiraling prices of fuel and cars as well. Although PML-N led government’s attempt by special amnesty provided to Hybrids, does reflect their aim to ease the pressure on oil import bill and CNG crisis, but they remain shortsighted.

Government should’ve instead controlled Diesel prices and bring them lower and focused to bring automakers which have breakthrough diesel technologies. VW with their BlueMotion, which is available in the cheap and affordable Polo and Golf even though Germans aren’t known for low-cost cars yet they remain market leaders in Europe where fuel is expensive and have gained a considerable ground in India.

Small, economical, and cheap cars were the right way ahead, Indonesia recently finished handing out LCGC scheme certifications wherein Automakers were offered high incentives who built LCGC (Low Cost Green Car) which are to be built to the following regulations; priced at 50 million Rp for Villagers and at 85 Million Rp for general public, offer a mileage of 20km/l, and made up of at least 60% domestic components.

All four manufacturers Toyota, Daihatsu, Suzuki and Honda, are set to produce 500,000 cars a year combined to take advantage of the scheme. Suzuki Indonesia’s first customer for LCGC is in fact Pakistan. Pak Suzuki has begun importing Karimun Wagon R which is built to LCGC specifications.

If we in fact followed the model of the Indonesian LCGC Scheme, our resident pundits believe that this will help increase jobs, bring relief to our import bill, improve localization, give Pakistani buyers options in low cost car where there is none, bring balance by giving some bargaining power to the buyers, 20 kmpl + mileage will ease up pressure on CNG and many more indirect influences.

The Pakistani government has on the other hand taken a hasty decision and burdened the import bill without offering any relief to the people.

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10 Comments
  1. Sher Ahsan Kamran says

    this shows how detached our government is from the masses issues. Can we have a debate on what the specifications for this LCGC should be in Pakistan, I suggest start stop technology and immobilizer against theft as must.

  2. Shoaib Ali says

    Government’s special amnesty for Hybrid cars is not for masses rather to facilitate rich ones on fuel economy.

  3. Qamar Malik says

    Our Minister for economy is short sighted. A vision less man.

  4. Aatif Chaudhry says

    3 to 4 times expensive car to "save" fuel cost … what a joke.
    If a person had 3.5 million to buy a hybrid, what would be the problem in running their Mehran, Alto, Cultus or even Xli on Petrol rather than CNG?

  5. Kilo Alfa says

    I can buy a cheap car and travel around the world at least four times with 4.5 Million

  6. Mian Murad says

    Our govt. can also do as Indonesian govt. if they have vision and knowledge regarding issues

  7. Saim Razzaq says

    When toyota suzuki and honda are embedded in our blood streams and when the ministry responsible for the policies are happy with bags full of money delievered to their door steps every month by the big three, then stop expecting too much out this. Kis mulk may baith kar ye batein kar rahay hain saray!!!!

  8. Abdullah Vayani says

    (y) well said 😀

  9. Wasim Ahmed says

    friends i m in motor registration business u can call me for that wasim ahmed 03014494808

  10. Shak Khan says

    Wasim bhai meri ghari idar hai mujay pakistan ka number laga doh

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