Cyprus expands incentive scheme for electric cars, vehicle replacement

The Council of Ministers intends to increase the EUR 3 million package. Cyprus set aside EUR 5,000 for new electric cars that cost up to EUR 40,000 and EUR 2,000 apiece for those who switch to a new conventional unit and scrap a vehicle older than 15 years.

Thousands of drivers applied for a chunk of funds that Cyprus earmarked for the renewal of the vehicle fleet in the country, so the quotas for new electric cars and the replacement of obsolete conventional units were topped almost immediately.

The Council of Ministers has approved the expansion of the program and the proposal will be detailed later in the month, Yiannis Karousos revealed. The message is that it is promoting the use of electric vehicles for environmental reasons, according to the minister of transport, communications and works.

The public call, which lasts until March 5, was announced in Cyprus for 100 electric cars and the withdrawal of 1,250 motor vehicles older than 15 years. The current incentive is EUR 5,000 and EUR 2,000 apiece, respectively, translating to EUR 3 million in total.

A quarter of all applications in the first few days was for electric vehicles, the government said. It expressed determination “to meet as many applications as possible” in the segment. The purchase price of the new electric car via the scheme mustn’t exceed EUR 40,000.

The incentive per car won’t be changed

Karousos stated the incentive per car would remain the same. The new measures will take into account other parameters such as infrastructure and charging stations, he said.

“We got the message that there is an interest in electric cars and we are immediately responding and will expand the plan,” the minister asserted and added the package would be implemented next year as well.

The state must address the charging infrastructure as it is “extremely inadequate” and to maintain the momentum in Cyprus with regard to electric cars, said Slav Bakalov, a sector specialist. He told philenews that domestic consumers have also been trying to get information on services, battery life and other matters.

The charging infrastructure in the island state is “extremely inadequate,” expert warns

Those who want to replace an old car get stimulus only for a new unit graded Euro 6AD or higher with engine capacity up to 1,800 cubic centimeters and maximum emissions of carbon dioxide of 160 grams per kilometer in WLTP terms. The Worldwide Harmonised Light Vehicle Test Procedure was devised in 2015 and introduced in full by last September.

The passenger cars eligible for replacement can have up to nine seats including the one for the driver. Cargo vehicles with a maximum gross mass of 3.5 tons can also be pulled.