Punjab partners with private sector for Rs8.1bn green mobility project

LAHORE: The Punjab government has signed a green mobility agreement with the private sector to launch a sustainable bike-sharing programme in Lahore, aimed at curbing severe air pollution and modernising the provincial capital’s public transport system.

Under the initiative, aligned with the Punjab chief minister’s vision to transition toward eco-friendly transit, 50,000 electric bikes will be deployed across the city under a 100 per cent privately funded Build-Operate-Own (BOO) model.

Lahore Horticulture Agency (PHA) Managing Director Mansoor Ahmed signed the agreement with a private sector representative.

Senior provincial officials, including the Punjab chief secretary and the Lahore deputy commissioner, attended the ceremony.

Officials said that the project requires an initial investment of Rs8.1 billion, which will be entirely borne by the private sector, placing zero financial burden on the provincial exchequer.

The green mobility project will be implemented in phases to ensure a gradual rollout across the city.

In the first phase, 10,000 electric bikes will be introduced at key locations in Lahore. The system will then be expanded to reach a total fleet of 50,000 e-bikes within 18 months.

To support the service, 1,500 smart docking stations will be set up across public parks, green belts, and other high-traffic areas in the city.

To ensure continuous operational availability, the project will utilize an advanced battery-swapping model, minimizing downtime for recharging.

The project features a carbon credit and revenue-sharing framework between the private operators and municipal authorities. The Lahore Horticulture Agency will secure a 50% share in the generated carbon credits. Additionally, a 5% revenue-sharing model has been established to benefit the Lahore Horticulture Agency, the Lahore Parking Company, and the Punjab Transport Department.

Environmental authorities estimate that the initiative will mitigate approximately 5,000 tons of carbon dioxide emissions annually.

“This eco-friendly transport initiative will significantly improve Lahore’s air quality index and serve as a crucial tool in combatting the city’s seasonal smog crisis,” a provincial transport official said.

To maintain security and operational transparency, commuters will access the e-bikes via a dedicated mobile application integrated with GPS tracking and real-time monitoring features. Users will be required to complete a mandatory identity verification process linked to their National Identity Card (CNIC) before renting a bicycle.

The government has set a regulated fare structure to keep the service affordable for the public. Under the pricing plan, the first kilometre will cost Rs25, while each additional kilometre will be charged at Rs15.

The provincial government plans to review the pilot phase of the e-bike program before replicating the green mobility model in other major urban centers across Punjab.