The Irish government’s decision to reduce its subsidy for privately purchased electric vehicles has caused a stir among electric vehicle enthusiasts in the country. From 1 July 2023, the purchase premium will drop from 5,000 to 3,500 euros, marking a significant decrease in government support for private EV buyers.
The reduction of the registration tax, however, will remain unchanged. Buyers of electric cars with a list price below 40,000 euros will still receive up to 5,000 euros, while a reduced rate applies to electric cars with a list price of up to 50,000 euros.
Despite the reduction in subsidies, the government’s focus on the growth of the electric vehicle market in Ireland remains unchanged. The country has already seen an increase in demand for electric vehicles, with 81 per cent more electric vehicles registered in 2022 than in the previous year.
According to a climate protection plan presented in November 2021, the government aims to have one million electric vehicles on the country’s roads by 2030. To achieve this goal, the government is now focusing on improving the infrastructure for electric vehicles. Earlier this year, Zero Emission Vehicles Ireland (ZEVI), a department of the Department of Transport, published Ireland’s first charging infrastructure strategy. The Shared Island Sports Club EV Charging Scheme was also launched, funding €15 million in fast charging stations for electric vehicles at sports clubs across Ireland.
The Irish government’s decision to reduce subsidies for privately purchased electric vehicles may not sit well with some electric vehicle manufacturers, such as BYD, which recently set up new dealer partnerships in Ireland. However, the focus on infrastructure development and expansion in the coming years is expected to boost electric vehicle adoption and use in the country.
In conclusion, while the reduction in subsidies for privately purchased electric vehicles may cause some disappointment, the Irish government’s commitment to the growth of the electric vehicle market in the country through infrastructure development is a positive step towards a sustainable future.
