Iraq targets 1M electric vehicles via Green Taxi initiative

Baghdad (IraqiNews.com) – The Iraqi Ministry of Environment reaffirmed on Tuesday, October 6, 2026, that private sector investment forms the bedrock of its national “Green Taxi” initiative and the phased transition toward deploying one million electric vehicles (EVs). Speaking to the Iraqi News Agency (INA), Haidar Qasim Al-Darraji, Director General of the General Company for Carbon Economics at the Ministry of Environment, outlined a comprehensive framework to transform Iraq’s transportation grid into an investable, eco-friendly ecosystem. Al-Darraji emphasized that the green transit transition cannot operate as a conventional state-run enterprise, but rather as an integrated public-private partnership (PPP) bringing together government regulators, commercial banks, private equity investors, energy providers, and automotive innovators. Under this model, the state will establish statutory and technical codes, streamline the regulatory climate, lay foundational infrastructure, and verify carbon credit baselines. In turn, private industry will handle capital expenditure, vehicle manufacturing, importation, fleet operations, maintenance logistics, and the rollout of solar-powered charging networks. Inter-agency groundwork is already underway through coordinated channels involving the Ministry of Environment, the Ministry of Transport, and the General Company for Private Transport Management. The bodies are evaluating existing municipal transit garages and public transport depots for conversion into EV charging hubs powered by distributed solar photovoltaic systems. Clarifying the scale of the transition, Al-Darraji noted that the target of one million electric vehicles is a phased, metrics-driven national roadmap rather than an overnight influx. Rollouts will begin via scalable pilot projects across Baghdad before expanding into the provinces. The strategic objective is to cultivate an integrated domestic industrial value chain around e-mobility—spanning local assembly, maintenance, bank lending, commercial insurance, ride-hailing software, and monetization under sovereign carbon credit mechanisms—thereby curbing state fiscal burdens and generating skilled technical employment. In tandem with public sustainability policies, regional automotive distributors are expanding their electrified footprints across the domestic market. Ahmed Al-Ani, Branch Director of Toyota Iraq, revealed to INA that Iraq has emerged as a major regional adopter of hybrid electric vehicles (HEVs), ranking as the second-largest consumer of hybrid cars in the Middle East. Highlighting consumer demand for green mobility, Al-Ani announced the official domestic market launch of two electrified Toyota flagships: the all-electric bZ4X Touring SUV and the RAV4 Plug-in Hybrid Electric Vehicle (PHEV), offering extended electric range and modern efficiency tailored to Iraq’s expanding charging landscape.