electric car incentives


How do you convince car owners worldwide to make a switch and use a more sustainable and clean vehicle? There is a lot of information out there talking about how much better they are for the environment. However, many drivers still need convincing.

You can’t blame people who have happily driven their diesel or gas-powered cars all their lives. For those, you need a little more than just information.

Most countries think it is giving incentives to electric car owners. That is exactly what is happening across the globe. Different countries give different incentives to electric car owners. That proves to be a successful strategy as there has been an increase in the purchase of electric cars.

Electric Car Incentives In The US

In the US, the federal taxes that are based on fuel consumption are all waived. Add to that, people who buy electric cars also receive a federal tax credit amounting to up to $7500.

However, there is a limit to this. It is only for the first 200,000 units. Once the manufacturers reach that number, the subsidy expires. So far, there are only two companies that have reached this limit.

Each state also offers various additional incentives for those with electric vehicles.

The US isn’t the only country that offers great incentives for its electric car buyers. There are a lot of countries that do it too. Let’s tell you what each of these countries has to offer:


The largest market for electric cars is in China. There is continuous growth in the number of sales. The increase in number is mainly due to the incentives plus the larger number of choices available.

In China, those with electric cars are exempted from the restrictions or driving bans on certain days that other engines have. Additionally, there are also purchase incentives for electric cars.


In Germany, those who purchase pure electric cars will receive a total incentive of 4000 Euros. The 2000 Euros comes from the government and the other half comes from the manufacturer. However, this is only offered for cars that have a value of 60,000 Euros.

There is also a tax exemption for 10 years for electric cars. There is also a special tax bonus that is based on the size of the car’s battery. They could have as much as 10,000 Euros. This is the maximum amount and is calculated by multiplying a kilowatt-hour battery capacity by 200 Euros.


Norway is one of the leading countries when it comes to renewable energy. They are also leading when it comes to buying electric cars. In this country, there is no import tax for pure electric as well as fuel cell cars. Plus, electric cars also do not have the 25% VAT that is imposed on all other vehicles.

With such incentives, the price of an electric car is quite similar to that of a fuel-combustion engine car of similar size. Electric cars also have savings on selected parking fees and ferry crossings. They can also use the bus lanes in some areas.


In Sweden, those who purchase pure electric cars will receive a purchase incentive of 60,000 Swedish Krona. Six months after the vehicle is registered, the bonus will be directly paid to the owner. This prevents the car from being sold immediately within that time period.

United Kingdom

In the United Kingdom, there is a grant for pure electric plug-in vehicles of up to 3500 British pounds. There used to be government incentives for plug-in hybrid vehicles but that’s no longer the case today.

Another advantage is to allow the motorists to enter the London Congestion Zone without paying the daily price of 11.5GDP. There is also an Ultra Low Emission Zone that has a daily entry price of 12.5 GDP. Those with zero-emission vehicles could also enter this zone for free.