With petrol prices in Pakistan currently hovering above a staggering Rs320 per litre, the financial logic of owning a traditional sport utility vehicle is undergoing a radical transformation. Industry experts suggest that the high cost of fuel is rapidly shifting consumer preference toward Plug-in Hybrid Electric Vehicles (PHEVs) and Range-Extended Electric Vehicles (REEVs). Syed Asif Ahmed, Director of Sales and Marketing at Chery Master Pakistan, notes that for the average commuter, the move toward “new energy” vehicles is no longer merely an environmental statement but a critical economic necessity. As petrol remains at approximately Rs321 per litre at the ex-depot level, the vulnerability of household budgets to imported fuel volatility has reached a breaking point.
The economic disparity between conventional combustion engines and modern hybrid technology is stark. A standard C-segment petrol SUV typically delivers around 10 kilometres per litre, resulting in a running cost of roughly Rs32 per kilometre at current rates. Even a conventional hybrid, which might achieve 18 kilometres per litre, still costs nearly Rs18 per kilometre to operate. While hybrids improve efficiency, Ahmed argues that they do not fully insulate drivers from petrol price shocks. In contrast, PHEVs and REEVs change the equation by allowing the majority of urban daily driving to be powered by electricity rather than expensive fuel.
Taking the Chery Tiggo 9 PHEV as a practical example, Ahmed highlighted that the vehicle’s 34.46 kWh battery offers an electric-only range of approximately 170 km. At a standard household electricity tariff of Rs50 per unit, a full charge costs about Rs1,723. When spread across its range, the running cost drops to roughly Rs10 per kilometre. This represents a massive saving of Rs22 per kilometre compared to a petrol SUV and stays significantly cheaper than a conventional hybrid by Rs8 per kilometre. For families who have invested in rooftop solar systems—a market that has seen gigawatt-level growth in Pakistan by 2025—the cost of driving can be reduced even further through self-generation.
The transition toward these advanced powertrains is particularly relevant for the Pakistani market because it addresses the limitations of the country’s developing charging infrastructure. Unlike a full battery electric vehicle (BEV), a PHEV or REEV provides the benefits of electric-led commuting without the “range anxiety” associated with a lack of public charging stations. This flexibility allows SUV owners to maintain the space and long-distance usability they require while drastically cutting their daily operational expenses. This synergy between the energy transition and mobility transition is creating a new class of “prosumers” who generate their own power and use it to fuel their transportation.
On a broader scale, this shift carries significant implications for Pakistan’s national economy. The country’s heavy dependence on imported petroleum places immense pressure on foreign exchange reserves and public finances. Current fiscal risk statements warn that a 20 percent shock in global oil prices could widen the national fiscal deficit by as much as Rs487 billion in the 2026 fiscal year. By adopting PHEVs and REEVs, consumers are not just saving personal funds but are also contributing to a reduction in the national oil import bill. As petrol prices remain elevated, the market consensus is clear: for those who wish to continue driving SUVs without the burden of fuel inflation, plug-in and range-extended technologies are the most practical and sustainable answer.
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