The industry of electric vehicles faces serious challenges in Pakistan.

The major problem is the lack

of awareness among common car buyers about the advantages of EVs over the combustion engine
vehicles. The shortfall of electricity and lack of charging infrastructure are the major reasons why
electric vehicles aren't considered by the public. Charging time required by the electric vehicles and
the driving range that they offer are considered to be the negative factors that discourage the local
consumers from buying EVs.[28] Also given the amount of load shedding in Pakistan because
of WAPDA’s massive circular debt due to which home and electric charging stations might not
receive uninterrupted supplies of electricity. It is usually questioned whether Pakistan's electricity
power generation capacity will be able to cater to increased demand from electric vehicles in the
future.
High cost of lithium-ion batteries due to lack of local production, regulations, and incentives for it is
also hindering the adoption and assembling of good quality electric vehicles in Pakistan.

Introduction
Rapidly deteriorating environmental conditions, financial deficit of the power sector and the
declining economy pose grave threats to Pakistan. The situation is anticipated to further worsen
in the upcoming years if significant efforts are not made to deal with the aforementioned
emerging threats. Therefore, the country is in a dire need for a comprehensive strategy to be
formulated and implemented to face the potent challenges. Transport sector in Pakistan is the
largest contributor towards release of Green House Gases (GHGs) into the atmosphere, which
are a leading factor in rapidly diminishing the air quality index. On average, the concentration of
various environmental pollutants is ten times the optimal level set by the World Health
Organization (WHO) and the situation is expected to further exaggerate in the upcoming years.
As a consequence, the estimated number of deaths and other ailments associated with air
pollution have reached an alarming scale. To put these numbers in a perspective, mortality rate
due to environmental pollution far exceeds many other high profile causes of death including
epidemics such malaria, tuberculosis and AIDS. Hence, such emissions have manifested
deleterious consequences on the health of the population. The magnitude of the problem is
forecasted to increase further at an escalating pace in the near future. Hence, there is an imminent
need for a solution that can solve the above mentioned predicament. The power sector in
Pakistan also faces momentous challenges. Although, the power sector in Pakistan currently
fulfills the demand, it has become a severe financial burden on the plunging economy of the
country. The current average demand for power is around 18,000-20,000 MW, while the system
has the capacity to generate 33,961 MW [23]. Hence, there exists a gap of thousands of MW of
unutilized power, which is the fundamental cause for the deficit. The capacity charge payments
being made for these MW of power currently amount to billions of dollars annually. This amount
is expected to multiply by many folds in the upcoming years due to an increase in the above-
mentioned power gap. Such a vast deficit can potentially cripple any economic growth in future.
Pakistan’s economy has been declining at an accelerating rate. A fundamental reason behind
such a decline is the increasing trade deficit due to increasing imports and declining exports. Bill
for fuel imports currently amounts to USD 13.3 billion, which is estimated to reach a staggering
value of USD 30.7 billion by 2025, further exaggerating the already declining economy [34].
Hence, to support the deteriorating economy and to limit the accelerating trade deficit, there is a
need for an immediate attention. Introducing EVs can solve these dilemmas. EVs run on electric
power instead of gasoline. Therefore, EVs do not emit harmful pollutants. Hence, replacement of
FFVs with EVs can significantly reduce the emission of pollutants and so help ameliorate the
disintegrating environment. EV commuters will purchase each unit of electricity from the
government at a notable price tag. In such a manner, the government can not only arrange the
amount for capacity payments but also earn a substantial revenue. Introduction of EVs is bound
to add numerous other socio-economic advantages. EVs will limit the rising trade deficit by
significantly reducing import of fuel. Incorporation of EVs into the transportation network has
the potential to introduce a whole new industry in Pakistan; creating numerous employment
opportunities and adding value to the economy of the country. In the contemporary situation,
EVs have become indispensable. Any further delays can exaggerate the above mentioned
problems to such an extent that they can have long lasting impacts. In the upcoming sections of
this report, we will provide a detailed analysis of advantages that EVs bring to the transportation
network and will also provide a comprehensive framework for introducing EVs in Pakistan.
Environmental pollution is a serious concern for earth’s atmosphere and so there emerged a dire
need to address the potent threat. The world has realized the significance of EVs towards a
sustainable global development. Whether developed, developing or underdeveloped, many
countries across the globe have set targets to incorporate a fixed number of EVs into their
network of transportation over the next few years. Numerous ambitious goals have been set by
the international community to achieve a transition from FFVs to EVs. According to the
‘30@30’ initiative, many economies of world have pledged to reach 30 percent sales share for
EVs by 2030. In fact, some countries have also aimed for much higher goals.
Electrification of mobility offers numerous benefits such as reduction on oil dependency and
improvement of the environment [1]. The electric mobility is represented by electric vehicles (EVs),
which consume less energy and emit zero tailpipe greenhouse gases (GHG) [2]. Battery electric vehicles
(BEVs) have largely been praised for their better energy-efficient system than internal combustion
engine vehicles (ICEVs). Unfortunately, no prior research is performed which directs the type of EVs that
could be more successful in the developing countries. Hence, we will explore the barriers and
opportunities related to electric four-wheelers (E4Ws), electric two-wheelers (E2Ws) and hybrid electric
vehicles (HEVs). There are numerous forces that push and pull the equilibrium state of the established
market for different mobility vehicles. Similarly, there are several driving forces associated with EVs’
adoption, such as the reduction in greenhouse gas emissions (GHG), efficient energy use, gasoline
savings and low operational cost. The resisting forces influencing the acceptance of EVs include high
purchase price, inadequate range, slow charging and new production adoption anxiety [3–5]. In this
study, a comparative analysis was performed to understand the resisting and driving force for adopting
the different types of EVs in the developing countries. We used the Preferred Reporting Items for
Systematic Reviews and Meta-analysis (PRISMA) guidelines to compose the methodology for the
literature review. We narrowed our search by developing a search protocol and screening process. In
the results, it was highlighted that E2Ws and HEVs hold more potential in developing countries than
E4Ws.
Introduction of EVs in the transportation grid has already been commenced by many nations
worldwide. A large number of EVs currently dominate the transport sector across many
countries. Surprisingly, even those nations that face the least threat from the environmental
pollution have also discerned the significance of clean air and so have incorporated a
considerable number of EVs. Neighbors of Pakistan have also realized the significance of EVs.
Environmental pollution in China was a well-known dilemma, which accounted for nearly one
million deaths in the country. Hence, to deal with the potent threat, a comprehensive strategy was
formed to limit the environmental pollution through mass introduction of EVs. Similarly,
Pakistan also witnessed some of the worst forms of air pollution and 14 of the world’s most
polluted cities were once located there. To deal with such magnitudes of air pollution, the
Government of Pakistan has launched an aggressive plan to achieve partial electrification of its
transport sector. Even Sri Lanka, with its meagre economic resources, has embarked on an
ambitious plan to achieve a substantial transition from FFVs to EVs. In Pakistan, environmental
pollution is not a threat, instead its adverse effects can be easily quantified. Despite having one
of the most polluted air in world, there exists no strategy to limit the emission of pollutants from
the transport sector. The air quality index in the country is so abysmal that it has crossed the safe
limits by many folds. Therefore, Pakistan needs even a more ambitious plan to limit
environmental degradation and introduction of EVs in Pakistan can potentially be a substantial
component of this plan.
Electric Vehicles (EVs) have already caught the interest of large populations of the developed
countries and the Pakistani public as well awaits with excitement. Tesla has surpassed all
international car manufacturing companies in terms of market capitalisation. The financial
incentive in the form of hard cash given by the western governments to the consumers has been
the key factor in the rapid adoption of EVs.

Despite these incentives, the road to achieving full conversion to EVs from conventional petrol-
based vehicles is going to be a long one. The main limitations of EVs are their high cost and
limited range (distance travelled between charges). As Pakistan considers the adoption of EVs on
a large scale, there is a need to learn some useful lessons from the experience of other countries.

When Tesla came out with its first series of EVs, its success was largely due to a lucrative cash
subsidy that the governments of the USA and Canada directly gave to the consumer which made
a very expensive car more affordable for the buyer. The attraction for EVs is also due to the
awareness about global warming the effects of which have already started becoming visible.

Another factor is cheap electricity due to a sharp drop in the price of solar and wind turbines.
Tesla built its own free-of-cost charging stations in many locations making its products even
more attractive. Probably none of these factors is on the mind of Pakistani consumer, which is
mainly interested in EVs because it is the latest trend.

Before riding the EV wave in a big way, Pakistan must consider all the factors because due to
their high-cost EVs will be a big burden on the country’s import bill. Small vehicles such as auto-
rickshaws and motorcycles can be replaced with those that run on electricity and for this the government
should be ready to give the necessary subsidies as they will benefit the lower-income population
 By replacing the conventional vehicles with EVs, Pakistan’s fuel import bill will be reduced
as most of the finished petroleum products used in transport are imported. Homes equipped
with solar roof-tops can charge their EVs with clean energy virtually for free as long as the
sun is shining.
 However, it will not contribute much to a reduction in global Greenhouse Gases (GHGs)
because Pakistan has a negligible GHG footprint. Furthermore, EVs will not cause a major
reduction in GHGs if they are charged with grid-based power because most of our electricity
generation continues to be based on fossil fuels. To have any meaningful GHG reduction,
commercial charging stations will need to be fully based on their own solar/wind power
sources.
 The EVs can be charged in two ways: slow charging using a typical power outlet at homes
and fast charging at a commercial charging station. Charging them at home is a slow process
while fast charging stations too, if available, can take up to an hour. Further, such charging
stations will need to be widely available on urban roads and highways for which the nation
will have to pay a heavy price.
 The more common mode of charging that the Pakistani EV owners will use will be their 220-
volt electric outlets. As vehicles are in use during the day and parked at night when they
would normally be recharging, they cannot benefit from the home-based solar roof-top
system. The alternative would be to install a battery storage system to store the energy
produced by the solar cells during the daytime and use it to charge the vehicles at night
which is highly cost-prohibitive and inefficient.
 The future of the transportation world indeed lies in EVs and the question is how Pakistan
can best prepare for that future. As the technology will take many years to fully mature,
Pakistan should make a gradual, phase-wise entry into the EV space.
 As a first step, small-utility vehicles such as auto-rickshaws and motorcycles can be replaced
with those that run on electricity and for this, the government should be ready to give the
necessary subsidies as they will benefit the lower-income population. Electric auto-
rickshaws, besides removing noise pollution, will improve the income of their owners by
replacing expensive liquid fuels with a relatively cheaper electricity source although a full
economic comparison with liquid fuels is not available.
 The motor-cycle owners too, belonging to the low-income class, would benefit from any
financial incentive, especially those who use their bikes to make a living. Next, smaller size
compact passenger EVs will make sense for Pakistan’s situation as they offer the advantage
of replacing oversized, old passenger cars and cause lesser traffic congestion on the roads.
 These types of vehicles use relatively smaller batteries and their charging will not be as
cumbersome as large passenger vehicles. New business activities, eg stations where fully
charged batteries can be swapped with depleted batteries must be actively promoted. Such
battery-swapping “on-the-go” would be especially convenient for two- and three-wheelers
and small passenger cars due to their smaller sizes.
 In terms of investment opportunities, Pakistan can build an indigenous manufacturing base of
small EVs and their related industries, namely batteries and charging stations. Due to a larger
 market of such vehicles, it would be financially viable to develop an indigenous production
capability that can be later on geared towards export sales.
 Meanwhile, the import of EV passenger vehicles should not be encouraged as they require a
substantial foreign exchange due to their high cost. There is a need to carefully tread on the
path to the wide-scale adoption of EVs as the storage technology is still evolving and it is
possible that Lithium-ion will be replaced by some other technology.
 However, as an interim measure, until domestic manufacturing capability is created, the
import of batteries for small-size vehicles may be encouraged. A focused and carefully
formulated strategy will ensure that EVs bring maximum economic benefit, including
investment and employment to Pakistan.
Given the shortcomings in the literature, especially in a developing country like Pakistan, this
study attempts to explore the travelers’ EVs purchase and usage intentions through the
application of the Norm Activation Model (NAM) theory. This may assist the researchers in
identifying the driving factors for the adoption of EVs in developing countries with similar
socioeconomic and infrastructural characteristics. Furthermore, it proposes a framework for the
encouragement and adoption of green mobility implementation. A comprehensive questionnaire
was designed in this study, which was conducted in Lahore city. The factors affecting the
travelers’ willingness to buy and use an EV were identified using factor analysis and Structural
Equation Modeling techniques.

The rest of the paper is organized as follows: in Section 2, relevant literature studies are
mentioned, and Section 3 describes the data collection and organization of the questionnaire
survey. Section 4 discusses the research results and main findings of this research study. Finally,
Section 5 summarizes the main findings and proposes some policy interventions for the
promotion of EV adoption in Pakistan.

Literature Review

Fossil fuel consumption has increased with the new advancements and rapid industrialization.
These fossil fuels are an injustice to the environment that we are living in as is it being
continuously harmed and damaged. The damage has created a bigger gap between living
organisms living and surviving in this world. Fossil fuels are the reason that huge amounts of
Carbon Dioxide (CO2) are being released to the environment (Perera 2018). Such release into the
environment is making it hard for the people especially for the younger children to survive,
owing to the harmful diseases developed in them (Perera 2017).

Furthermore, the population of the world is increasing at a phenomenal rate. In 1950, New York
City was labeled as a megacity, while other 83 cities had a population that exceeded one million.
The increasing population resulted in the hike of vehicles which was responsible for the increase
of environmental emissions (Mage et al. 1996). These issues sparked an interest in moving
toward electric vehicles, a cleaner form of transportation. Due to the current scenario, the world
is continuously moving toward sustainable resources to counter the harmful damage to the
environment and the people. Various countries are now trying to not only move toward
renewable fuels but also eco-friendly products (Klemeš et al. 2019). One of the steps taken
globally is the adoption of Electric Vehicles (EVs) which are both environment-friendly and can
be operated on electricity generated from various renewable energy sources. In 1965, the Clean
Air Act was passed, which triggered several types of research in EVs and firms started to
develop electric cars. Unfortunately, the results were not satisfactory mainly in terms of
technological performance and price comparison to their gasoline counterparts (Mom 1997). In
early 1990, studies were carried out in Europe, in the field of E-mobility which renewed the
hopes of environmentalists that EV could finally become a mass-market reality.

The majority of the research on electric mobility comes from European countries. In the earlier
stages, the adoption of electric vehicle technology was subjected to experiments in various parts
of the developed countries. Experiments were conducted on electric vehicles in countries like
Germany (Rugen Island, 1992–1996), Switzerland (Mendrisio, after 1995), Norway (1991), and
several other European countries to see its impact on the society in the longer terms. The most
extraordinary of these projects was the one, which was led by France. Approximately 2000 EVs
were ordered for the experiment that was carried out in the city of LaRochelle on the West coast
of France. During these experiments, it was observed that people were interested in EVs as long
as there were incentives and when the incentives ceased, the enthusiasm for the green transport
also faded away (Hoogma et al. 2002). Furthermore, a few studies also include a feasibility
analysis of the electric vehicles based on their implementation. In Europe, it was concluded that
approximately 12 percent of the total carbon emissions come from transport vehicles. However,
in 2013, the European Union (EU) devised a policy on conventional vehicles (European
Commission 2013). The commission has set itself to achieve a target of 95 g of CO2 per
kilometer (g/km) by 2021 as opposed to its current level of 130 g of CO2 per kilometer. This can
only be achieved when the electric vehicles are preferred over conventional vehicles. Similarly,
advanced countries like Norway are planning the complete adoption of electric vehicles. Norway
has already achieved the electric vehicle market share of 29%. In 1994, Norwegian EV producer
PIVCO launched 12 eco-friendly vehicles. 150,000 eV's are operating currently in Norway with
approximately 9000 charging stations. The target set to achieve the Norwegian sustainable goals
is right on track with approximately 37–40% EVs possessing zero emissions. By the end of the
year 2020, new EV's CO2 emissions in Norway would stay at a minute number of 85 g of
CO2/km (Kristensen et al. 2018). Furthermore, China launched an initiative in 2009 to increase
its number of charging stations and charge poles. In 2010, 20 charging stations were constructed
for the 10,000 EVs project. This was done to bring the country's overall CO 2 emissions. By 2020,
the country aims to bring it below a 40–45% level as compared to that of the 2005 figure for
CO2 emissions. The implementation of EVs in their full capacity will save up to 68% of
CO2 emissions by following the standard procedure for the transition toward sustainable
transportation (Tagscherer 2012). Currently, Pakistan produces 261 Tera-grams (Tg) of
CO2 annually. It is expected that the overall 58% of the Pakistan n population would be living in
urban areas in the coming future. To counter this, Pakistan also plans to implement EVs by
2030. The initial figures suggest that Pakistan would be able to save up to 64% of road-based
energy demand. In this way, the country would be able to reduce 37% of Carbon emission by the
year 2030 (Thamarappally 2019). Furthermore, a study conducted in Pakistan suggested a hybrid
electric vehicle based on its consumption and carbon emissions. It was concluded that HEVs can
save up to 40% fuel and operate with reduced emissions by the factor of 25–30% annually. In
that way, Pakistan can easily look forward to implementing EVs by the year 2030 as planned by
the current government (Khan et al. 2020).

The implementation of EVs is not yet fully efficient and in this regard, various studies have tried
to focus on a specific EV that can prove to be beneficial for a specific country. This study aims
to introduce a novelty in the shape of performing a viability study in the first stage. The aim is to
find the future viability of the EVs in the Pakistani market as compared to the classical fossil
fuel-based vehicles. Furthermore, the second objective of this study aims to achieve is the
selection of a most effective EV based on the viability study, that can provide a better solution to
Pakistan's ever-growing environmental and sustainability issues.

According to a study, China and the United States makeup 65% of global E4Ws users. The
second position is held by Europe, which makes up 23% of the global share [17]. In 2016, there
were six countries that attained an E4Ws market portion above 1% of their total passenger light-
duty vehicles (PLDV) sales. Considering these countries, Norway was the indisputable global
frontrunner, with 29% E4Ws market in its PLDV share [18]. Norway achieved this result due to
pragmatic environmental policies in recent years involving a wide variety of incentives, tax
reductions and exemption of tolls on the road for E4Ws [19,20]. After Norway, The Netherlands
and Sweden hold the largest E4Ws markets, having 6.4% and 3.4% PLDV share, respectively.
The majority of electric cars registered in the U.K, Netherlands and Sweden are plug-in hybrid
electric vehicles (PHEVs). France and China mainly have BEV-oriented markets; in 2016, 75%
of electric cars sold were as E4Ws and 25% were (PHEVs). However, in Norway, Japan and the
rest of the globe, electric car sales on the average were equally divided between E4Ws and
PHEVs [18].

Except for China, electric cars remain unpopular in developing regions. Pakistan has a less than
1% E4Ws’ share considering car ownership [17]. When EVs are discussed, people generally
think of electric cars, however, in the situation of the emerging countries such as China and
Vietnam, an overwhelming number of E2Ws are sold [21]. This is mainly related to ease of
travel and the low purchase price of E2Ws [13]. In 2018, E2Ws had a sale of 30 million units
and a total stock of 250 million units in China [22]. Market share for E2Ws is slowly growing for
other Asian countries as well, such as Pakistan , Vietnam and Taiwan. In developing countries, it
is important to develop EVs that would resonate with the electrical power structure in those
countries. A study by Wu and Zhang [23], observed the electricity mix in the developing
countries. In that study, adoption of HEVs was suggested as they yield higher energy and
emissions savings for countries having a predominantly thermal-based electricity mix. The next
question is affordability or cost of ownership for citizens. Considering the case of E4Ws, they
are out of the reach for the common middle-class person due to higher purchase prices. In this
regard, the way forward will be to promote E2Ws in developing countries. China is a prime
example where E2Ws have been propelled to an exponential number [24,25].

EVs offer superior energy-saving performance than their counterpart gasoline vehicles. The
energy savings may refer to petrol or gasoline savings due to switching on electric power for
mobility. Currently, Pakistan saves 44,000 L of gasoline and 109,884 kg of CO2 per day due to
electrification of mobility [18,42]. A study was performed by Zhou and coworkers [35]
considered the life cycle assessment of E4Ws in China. The life cycle assessment involved two
major aspects, total energy use from vehicle production to end-of-life and well-to-wheel energy
use. This study revealed that E4Ws saves 35% more energy than conventional cars. Whereas,
HEVs saved almost 20% more energy than ICEV cars. In another study performed by Orsi and
coworkers [12], using the well-to-wheel process, they compared HEVs and E4Ws. The results
from this study revealed that HEVs consume twice the energy compared to E4Ws. The E2Ws are
considered to be more energy efficient than their petrol-based two-wheelers counterparts [43].
An E2W consumes 3–5 times less energy than a gasoline-based two-wheeler. Gasoline two-
wheelers mostly use their energy (75%) in the tank-to-wheel process, whereas E2Ws mostly use
energy in the production stage [13,44,45]. In a study conducted in the UK, using the tank-to-
wheel process, it was found that E2Ws consume 6.1 and 2.9 times less energy than gasoline cars
and motorcycles, respectively [37]. Considering China, the large majority of the E2Ws are fitted
with lead-acid batteries that carry an energy density of 30 Wh kg−1 . On the contrary in Europe,
E2Ws are fitted with lithium-ion batteries that are more costly but provide 140 Wh kg−1 of
energy density [13].

Framework in Consumer Perception and Adoption of EV

Adoption of any Innovation by consumers is based on awareness and perception regarding the
innovation. The literature review shows that the perception and adoption of Electric vehicles in
various parts of the world is studied by focusing on reducing Co emission (Pro Environmental
lifestyle), technology (Speed, distance, efficiency), cost (EV and Fuel), infrastructure (charging
points) and social acceptance. The Current Exploratory study focused on Perception and
adoption of Electric Vehicle in Pakistan by comparing the use, features, acceptance,and
reliability of traditional cars with upcoming Electric vehicles. It would help in Growth of
technology and this is the most relevant topic for modern Pakistan . This study enables to
understand and explore the driving parameters that would lead to change in adoption of electric
vehicle in changing Pakistan n ideologies.

3. Methodology
3.1 Sample and Procedure

An internet based survey was framed and conducted to collect sample for the study. The
Purposive random sampling techniques were used and sample comprised of owner of fuel cars
and have the intension of getting feedback was based on perception and adoption of upcoming
electric vehicles. Data was collected from service and business class people, who are almost
every day use fuel cars. Based on sample it was assumed that the entire population was well
aware of technology used in fuel cars and potential benefits of using electric cars.A total of 247
respondents filled the survey, with varied demographics like location, education level, salary etc.
out of which 14 were rejected because of incomplete information and the remaining 233 were
used for the study. The sample had significantly higher participation of males (73%) and the
female number was only 27%. Respondents sample was within age group of 24-47 years of age.

3.2 Tools Used

A survey questionnaire was developed comprising 35.questions which were responsible for
identifying various aspects of the research. Independent variable is the choice of adoption of
electric vehicle and dependent are the benefits or barriers to acceptance of EV. As both, benefits
and barriers might be based on environmental, cost, comfort, trust and technology, social
acceptance, infrastructure availability argumentations for both cars and electric cars.
We assume that these factors have direct influence on individual choice of vehicle. The first
section of questionnaire was related to demographics of respondents. Respondent’s views about
various parameters that effect purchase decision was analyzed in second section and finally in
third section respondents view about technology adoption was measured.

Analysis of the Data

The collected data were tabulated as per the research design to meet out the objectives of the
study and suitable statistical tools were used to analyze the data.

Environmental Concern

Environment is decorating day by day, and the crown for the same can be placed on head of
technological advancement. People now, are well aware of the harmful effect of environment
degradation and are put effort to safeguard the same. These concerns are even visible during
purchase decision of consumer products especially transport vehicles. Government of every
country is also concerned for the same aspect and is either prohibiting the use of vehicles
responsible for higher degree of pollution. In Pakistan , apart from driving license, pollution
check is equally important. Kahn’s [70] study indicated that “environmentalists are more likely
to purchase hybridelectric vehicles than non-environmentalists”. Jensen et al. [48] argued that
“environmental concern hasa positive effect on the preference for electric vehicles both before
and after experiencing an electricvehicle”. Peters and Dutschke [56] found that “having
environmental advantages is a motivator foradopting electric vehicles”. Bockarjova and Steg
[35] stated that “people are more likely to adopt an electric vehicle when they expect electric
vehicles to decrease environmental risks”. Environmentalconcern is a basic dimension which
motivated manufactures to build electric vehicles, government to thrust its production and
consumer to increase its sale.
The current study reveals that correlation between environmental concerns and adoption of
electric vehicle is 0.53 means as the concern for the environment among fuel car users will
increase the adoption of electric vehicle will also increase.

∑(X - Mx)(Y - My) = 39.638

r = ∑((X - My)(Y - Mx)) / √((SSx)(SSy))
r = 39.638 / √((187.612)(28.862)) = 0.53

Low Cost of Vehicle

 Purchase decision of vehicles always come under Rational Model Of purchase , which means
that the vehicle which provides Value For Money is always sort after. But in Regards to Electric
Vehicle a very interesting phenomenon is studied that the initial heavy cost of Electric Vehicle is
responsible for negative perception of Electric Vehicles and on contrary long run fuel saving and
effectiveness leads to a little positive thrust to perception and adoption. But theory of Time
Value of Money actually creates a negative perception in minds of consumers. This can lead to a
new model, which can be purposed to Government of Pakistan ,” to safeguard the future of
country , environmental need to be protected for which government is fueling manufactures to
make Electric Vehicles. But this cannot be successful , until and unless consumers purchase it.
To increase sale government must facilitate people with free or subsidized loan, free insurance ,
free parking”This would generate a new vision for purchase intention. Evidence of same can be
taken from Norway-Global leader of Electric Vehicle Market Share.In2007, EU ministers agreed
to outline three 2020 goals: to cut carbon emissions by 20%, increase the share of renewables
inthe energy mix to 20% and improve energy savings by 20%. In line with these goals, the
European Commission supports aEurope-wide electro-mobility initiative, Green eMotion, worth
€41.8 million, to exchange and develop know-how and facilitatethe market roll-out of electric
vehicles in Europe (European Commission, 2012). In addition to such supports,
nationalgovernmental bodies develop their own supportive policies for reducing the emissions
and enhancing the adoption of EVs.For example Sweden has a goal for 2030 to become fossil
fuel independent.The current study reveals that the correlation betweenlow cost and purchase
intention is significant means if the cost of the vehicle will go down the intention to purchase the
decision will go up. Here it is the responsibility of the electric vehicle producers to produce low
cost vehicle by minimizing various variable costs and also government must offer some subsidy
to the customer and or provide bank loans at reduced interest rate. These measures will definitely
be useful in increasing the buying intention of potential customer,

∑(X - Mx)(Y - My) = 21.966

r = ∑((X - My)(Y - Mx)) / √((SSx)(SSy))
r = 21.966 / √((118.241)(28.862)) = 0.37

Comfort
Another important parameter which is sought after while buying a vehicle is comfort levels in
using it. This parameter is highly personalized, because the level of comfort and even perception
of Comfort varies from individual to individual .Research literature reviews that purchase of
vehicle is dependent upon comfort levels while using a vehicle. But as electric vehicles, are not
well adopted in Pakistan , it isbased on assumption that the vehicle would give a high level of
comfort, this perception is driven based on technology advancements. Many participants stated
they would only consider purchasing an electric vehicle once it has achieved certain levels of
market penetration. And it was found that comfort and intention to buy is positively correlated
means if the driving and owning of the vehicle is comfortable then the consumer may buy the
electric vehicle. But here the government has to lay very vital role and during the interaction
with the potential electric vehicle buyers it was observed that they are apprehensive in using
electric vehicle because of lack of availability of electricity in various cities and the cost of the
lectricty is also very high.
∑(X - Mx)(Y - My) = 14.034
r = ∑((X - My)(Y - Mx)) / √((SSx)(SSy))
r = 14.034 / √((128.241)(28.862)) = 0.2307

Trust

To build trust on an engine or machine which is being used is very easy , but to imagine a
product and then put trust on it becomes very difficult. Similarly in Pakistan n Market people
have trust on technology but trust parameter is lacking on electric vehicles. Trust is an important
dimension , which had to made stronger and stronger with passage of time, but is this trust is
broken it would lead to fall in market share and the organization would not be able to stand
back . No relevant literature review is about trust parameter on Electric vehicle is there. The
current study reveals that there is no correlation between Trust and perception of Electric
Vehicles because the commercial use of electric vehicle is yet to come and the consumers has to
see various aspects of the vehciles and then will develop trust in them.
∑(X - Mx)(Y - My) = 12.155
r = ∑((X - My)(Y - Mx)) / √((SSx)(SSy))
r = 12.155 / √((121.888)(28.862)) = 0.297

Technology

From the respondents feedback it is analyzed that people rely and have faith on technology but
the technology is move at a rate that it keeps on depleting soon, because of change at a very high
pace people are not ready or are confused to choose a technology. This can be concluded as
people perceive that changing technology is very good and beneficial but adoption of the same is
very slow.
∑(X - Mx)(Y - My) = 18.353
r = ∑((X - My)(Y - Mx)) / √((SSx)(SSy))
r = 8.353 / √((239.06)(28.863)) = 0.4901

Infrastructure

Infrastructure is a basic requirement for any new vision to be converted into reality. Lack of
infrastructure makes an innovation die at its induction stage. Infrastructure required for creating
positive perception for electric vehicles and finally its adoption is roads, recharging stations,
battery exchange and service stations. Non availability rather poor conditions of existing
infrastructure are compelling consumers not to shell out their money into adoption of electric
vehicle.

∑(X - Mx)(Y - My) = 10.207

r = ∑((X - My)(Y - Mx)) / √((SSx)(SSy))
r = 10.207 / √((123.241)(28.784)) = 0.1714

Social Acceptance

Society plays a very prominent role in purchase decisions, the product or services adopted by
society becomes an instant hit but if society does not accept it even survival becomes very
difficult. Social acceptance was taken from very divergent views based on demographics of
respondents. Educated, salaried respondent of urban areas considered it good option but high
income urban respondent was ready to buy only if it comes in high end model, public image was
considered. Acceptability among young respondents was comparatively higher but acceptability
level among rural respondents is comparatively lower. Respondents were of opinion that
acceptability would be measured only if vehicle start running on roads, but currently the
acceptability is of the idea.

∑(X - Mx)(Y - My) = 9.897

r = ∑((X - My)(Y - Mx)) / √((SSx)(SSy))
r = 9.897 / √((163.31)(28.784)) = 0.1443

Table 1: Showing Rank Order of Preference in Buying Electric Vehicle

Conclusion
Based on the analysis, electric vehicle manufacturers and Government of Pakistan have to invest
more on social acceptance of the vehicle by creating more infrastructural facilities, putting more
thrust on technology that can create trust in vehicles. The result clearly depicts that the
population is well aware of the environmental benefits. Now responsibility lies on shoulders of
Government and manufacturers that parallel to investing in manufacturing of vehicles, Consumer
perception has to created by providing the above said facilities so that dream can be converted to
reality, people start adopting electric vehicle and safeguard the future of Pakistan from several
respiratory problems including asthma,lung cancer, Chest pain, Congestion, throat inflammation,
Cardiovascular disease, Respiratory disease.