New electric car scheme launched

The Transport Ministry is launching the second phase of a EUR 30 mln incentive scheme to encourage motorists to go electric in the coming months.

Rollout of the 2022-2023 plan comes after phase one saw hundreds of motorists receive generous grants to replace their old bangers with cleaner, eco-friendly vehicles.

The ministry has unveiled the second phase of an incentive scheme to promote electric vehicles, with a EUR 10 mln budget aimed at offering 2,518 grants.

The scheme goes live on January 9, from 11am, with interested parties having until March 9 at 11am to submit their applications.

Transport Minister Yiannis Karousos said the first phase was deemed successful after 7,000 people applied for a grant and almost 100% completed the process of obtaining their electric vehicle.

It cost EUR 8 mln, covering just 360 applications for new electric cars and 320 used cars, and a limited number for other categories, such as taxis and vehicles for people with disabilities.

Karousos said: “Our national goals for electric vehicle registrations in 2022 were exceeded by 140%”.

A significant part of the funding comes from the EU as part of the Cyprus-Tomorrow plan, to boost the number of vehicles on Cyprus roads running on electricity.

“The grants start at EUR 10,000 for new electric vehicles while the funding for scrapping old vehicles amounts to EUR 7,500, with a total budget of EUR 10.16 mln.”

The grant for a used electric car is set at EUR 5,000.

The scrappage scheme foresees that the applicant should replace their car with a hybrid, or a car with low CO2 emissions (up to 50 gr per km). The vehicle must be at least 12 years old.

Someone with an older car in their possession could opt to withdraw it in exchange for EUR 500 and a number of bus rides worth EUR 250.

Karousos said that a key change in the latest scheme compared to the first, is it will not be a first come, first served.

The ministry will be carrying out a draw to determine the lucky applicants.

Additionally, those interested in purchasing an electric vehicle will have to submit a confirmation letter from a seller that they have been informed of the price.

Just like in the previous phase, the scheme covers the purchase of both used and new electric taxis, electric vehicles for people with disabilities and electric motorcycles and bicycles.

More information can be found at www.ev.gov.cy.