Government incentives for plug-in electric vehicles

More recently, some governments have also established long term regulatory signals with specific target timeframes such as ZEV mandates, national or regional CO2 emissions regulations, stringent fuel economy standards, and the phase-out of internal combustion engine vehicle sales.

[9][10] In addition to the subsidy, the Chinese government is planning to introduce, beginning on January 1, 2012, an exemption from annual taxes for pure electric, fuel-cell, and plug-in hybrid vehicles.

"[13] A mid-September joint announcement in 2013 by the National Development and Reform Commission and finance, science, and industry ministries confirmed that the central government will provide a maximum of US$9,800 toward the purchase of an all-electric passenger vehicle and up to US$81,600 for an electric bus.

Tesla Motors has been offered tax incentives and potential financial backing via Special Purpose Vehicles ('SPV's) to establish a domestic manufacturing unit in India.

[32][33] Under President Duterte's administration, the Tax Reform for Acceleration and Inclusion Act was signed into law, which has exemptions for anyone buying an electric vehicle alongside hybrids.

[35][needs update] The government's plan also includes the development of an electric car battery, beginning in 2016, with energy density high enough to more than double the travel distance on a charge to 400 km (250 mi).

DG TREN is supporting a large European "electromobility" project on EVs and related infrastructure with a total budget of around €50 million as part of the Green Car Initiative.

The country has already been granted relevant funds for undertaking this project, and as the minister states "in case of everything proceeding swiftly, all Cabinet members will be issued electric cars by year-end".

[78] As part of the package of financial incentives approved in 2016, private owners of plug-in electric vehicles that charge their cars in their employer premises are exempted from declaring this perk as a cash benefit in their income tax return.

[85][86] The abrupt termination of the environmental bonus on December 17, 2023, sparked considerable criticism, especially due to the lack of notice and the resulting uncertainties for consumers and the automotive industry.

[76] As of September 2016[update], BMW, Citroën, Daimler, Ford, Hyundai, Kia, Mitsubishi, Nissan, Peugeot, Renault, Toyota, Volkswagen, and Volvo had signed up to participate in the scheme.

[141] EV owners in the city of Rotterdam are entitled to one year of free parking in downtown and enjoy subsidies of up to €1,450 if they install a home charger using green electricity.

[139] Other factors contributing to the rapid adoption of plug-in electric vehicles are the relative small size of the country, which reduces range anxiety (the Netherlands stretches about 100 mi (160 km) east to west); a long tradition of environmental activism; high gasoline prices (US$8.50 per gallon as of January 2013), which make the cost of running a car on electricity five times cheaper; and also some EV leasing programs provide free or discounted gasoline-powered vehicles for those who want to take a vacation driving long distances.

The system was designed to be scalable and used in multiple geographies, overcoming the current situation of lack of communication among the different electric mobility experiences that are being deployed in Europe.

[172] Spain's government aimed to have 1 million electric cars on the roads by 2014 as part of a plan to cut energy consumption and dependence on expensive imports, Industry Minister Miguel Sebastián said.

In Aragón, Asturias, Baleares, Madrid, Navarra, Valencia, Castilla-La Mancha, Murcia, Castilla y León electric vehicles are eligible to a €6,000 tax incentive and hybrids to €2,000.

[179][180][181] BIL Sweden, the national association for the automobile industry, requested the government an additional 100 million kr to cover the subsidy for another 2,500 registrations of new super clean cars between August and December 2014.

However, since the tax on fossil fuels are relatively high in all European countries, including Switzerland, there is still an indirect, but quite strong incentive for car buyers to decide for energy efficient vehicles.

[197] Vehicles eligible for the subsidy must meet the following criteria:[190][198] In February 2015 the government announced that to take account of rapidly developing technology, and the growing range of ULEVs on the British market, the criteria for the plug-in car grant was updated and from April 2015, eligible ultra-low emission vehicles (ULEVs) must meet criteria in one of the following categories depending on emission levels and zero-emission-capable mileage, with a technology neutral approach, which means that hydrogen fuel cell cars are also eligible for the grant:[191][192] In December 2015, the Department for Transport (DfT) announced that Plug-in car grant was extended until March 2018 to encourage more than 100,000 UK motorists to buy cleaner vehicles.

[208] On 19 November 2009, Andrew Adonis, the Secretary of State for Transport, announced a scheme called "Plugged-in-Places", making available £30 million to be shared between three and six cities to investigate further the viability of providing power supply for electric vehicles, and encouraging local government and business to participate and bid for funds.

The scheme offers match-funding to consortia of businesses and public sector partners to support the installation of EV recharging infrastructure in lead places across the UK.

Under iZEV, the purchaser or lessee is entitled to a rebate of up to CA$5,000 on the after-tax cost of an eligible new electric- or hydrogen-powered vehicle in addition to any provincial incentive programs.

All-electric vehicles with high-capacity battery packs were eligible for the full CA$8,000 rebate, and lower incentives were set for low-range electric cars and plug-in hybrids.

[242][243] Mexico has set a minimum goal of clean energies as part of the electric power generation mix in for the next years (25% in 2018, 30% in 2021 and 35% in 2024)[244] as a strategy to reach Greenhouse Gases (GHG) emission cuts.

[260] The Ministry of Energy and the state owned electric power utility, Comision Federal de Electricidad, will destine $25 million MXN to install 100 more charging stations through 2017–2018 in the metropolitan areas of Guadalajara, Monterrey and Mexico City.

[264] Considering that actual plug-in car sales were lower than initially expected, as of early 2013, several industry observers have concluded that Obama's one million goal was unattainable.

[288] A 2013 study published in the journal Energy Policy determined that current federal subsidies are "not aligned with the goal of decreased gasoline consumption in a consistent and efficient manner."

CARB staff presented a proposal to the board to overcome the funding shortage and also to facilitate the rebates to benefit buyers in disadvantaged communities who live in areas with bad air quality or who can't afford high-end electric cars.

[311] A bill signed into law in September 2014, mandated the CARB to draft a financial plan to meet California's goal of putting one million vehicles on the road while making sure that disadvantaged communities can participate.

The study concluded that the ability to use potentially time-saving HOV lanes prompted the purchase of more than 24,000 plug-in electric cars and hybrids in the four urban areas from 2010 to 2013, or about 40% of the total of such vehicles.

BYD e6 all-electric taxi in Shenzhen, China
Foton BJ6160SHEVCA-3 plug-in hybrid bus in Beijing
Mahindra e2o which is manufactured in India
The cost of the Mitsubishi i MiEV in Japan falls from ¥ 4 million to ¥2.8 million after all government incentives are discounted from the sales price. [ 31 ]
Electric cars purchased under a battery leasing contract, such as the Renault Zoe , are eligible for the full €6300 bonus for zero CO 2 emission vehicles.
Electric cars equipped with a range extender , such as the BMW i3 REx , are entitled to the €6300 bonus if emitting between 21 and 60 g/km of CO 2 .
Chancellor Angela Merkel announced her goal to bring 1 million electric vehicles on German roads at the 2010 Electromobility Summit in Berlin.
The Tesla Model S and other premium cars with a purchase price over €60,000 ( US$67,800 ) are not eligible to the purchase bonus.
Annual registration of plug-in electric cars in Germany by type of powertrain between 2010 and 2021. The economic incentives issued in 2020 as part of the COVID-19 recovery plan increased plug-in car sales significantly in 2020 and 2021. [ 97 ] [ 98 ] [ 99 ] [ 100 ] [ 101 ] [ 102 ] [ 103 ] [ 104 ] [ 105 ] [ 106 ]
The Opel Ampera plug-in hybrid is available in several European countries.
Annual sales of light-duty plug-in electric vehicles in the Netherlands by year between 2011 and 2020. The strong fluctuation in annual registrations is the result of frequent changes in purchase and tax incentives. [ 2 ] [ 131 ]
Launched in the Dutch market in 2013, the Mitsubishi Outlander P-HEV is the country's top selling ever plug-in hybrid electric vehicle . [ 131 ]
The Buddy and REVAi were among the top selling electric cars in Norway until 2010. Shown a free parking lot for EVs with charging stations.
Electric cars have access to bus lanes in Norway. Shown a Nissan Leaf, the top selling plug-in electric car in the country since 2012.
The government's initial goal of 50,000 electric cars on Norwegian roads was reached on 20 April 2015. The plate "EL 60000" was granted to the 50,000th electric car registered, [ 155 ] which was a Tesla Model S .
The Tesla Roadster was available in the UK but not included on the government's plug-in electric car grant list of eligible vehicles. [ 194 ]
The Mercedes-Benz Vito E-Cell is eligible for the Plug-In Van Grant.
Nissan Leaf , Smart electric drive , and Mitsubishi i-MiEV (from farthest to closest) electric cars in downtown Toronto
Design of the Ontario Green Vehicle License Plate
EVstation at Parque España, Mexico City. Charging is free at EVstations and available for plug-in cars, electric bicycles and motorcycles.
Example of phaseout
Plug-in electric drive conversion were also eligible for a maximum $4,000 federal tax credit. Shown here are normal Toyota Priuses that were converted to Plug-in hybrids recharging in San Francisco .
An initiative by the Obama administration to increase the maximum tax credit for plug-in electric vehicles to US$10,000 would not apply to luxury vehicles with a sales price of over US$45,000 , such as the Cadillac ELR (shown) and the Tesla Model S .
The Tesla Model S is eligible for a US$7,500 federal tax credit and a rebate in California , depending on income.
Besides a US$2,500 federal tax credit, the Toyota Prius Plug-in Hybrid is eligible for a rebate in California , depending on income.
The 2012 Chevrolet Volt fitted with a low emissions package qualified in California for the US$1,500 CVRP rebate and had free access to high-occupancy vehicle lanes .