The adoption of electric vehicles is expanding in the UAE and could account for up to 25 per cent of all new passenger cars and light commercial vehicle sales by 2035 amid the country's decarbonisation efforts, a report has found.

EVs will have a market share of more than 15 per cent of all sales in the UAE by 2030, and could reach about 110,500 vehicles five years later, PwC's recently released Mobility Outlook report found.

Currently, EVs – also known as battery electric vehicles – represent 3 per cent of all vehicles sold in the UAE, the report said, with internal combustion engine vehicles dominating the market.

The growth projections are contingent on several factors such as an increased variety in EV model offerings, charging infrastructure investments and the total cost of EV ownership continuing to decline, according to the report.

Battery electric vehicles currently make up 7 per cent of the cars offered by UAE dealers, compared with 26 per cent in Europe.

"While all these car options are available in the world, they're not necessarily available here [in the UAE]," said Heiko Seitz, PwC's global and Middle East e-mobility leader.