Sri Lanka’s more than 1.2 million three-wheelers provide an important opportunity to reduce fuel imports, lower driver operating costs, improve urban air quality and create green jobs. The Ministry of Transport and UNDP pilot demonstrated that converting petrol three-wheelers to electric vehicles can reduce fuel and maintenance costs while cutting emissions.

Scaling up will require clear safety and conversion standards, affordable financing, charging infrastructure, insurance, after-sales services, skills development, consumer protection and battery recycling. If the full fleet were electrified, Sri Lanka could potentially reduce fuel imports by around USD 500 million annually. An inclusive transition will require an integrated regulatory, financing and risk-sharing framework involving government, financiers, manufacturers, battery suppliers, insurers, charging operators and development partners.

To unlock the full potential of e-tuks, Sri Lanka needs an integrated regulatory and financing package that shares risk across banks, lessors, original equipment manufacturer, battery suppliers, insurers, charging operators, government and development partners.