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Eco Car Subsidy

Source: IEA/IRENA Renewables Policies Database
Last updated: 5 November 2017
Between 1 April 2007 and 31 December 2009, any private individual who buys a new low-emission car for private use will receive an "eco car subsidy" of SEK 10,000. For a car to be able to qualify for the subsidy, it must meet certain requirements. The vehicles covered are conventional fuel-efficient cars, cars that run on biofuels and electric cars meeting certain efficiency requirements. After subsidies, a small diesel car with low emissions costs about SEK 100,000, while the largest hybrid models may cost around SEK 250,000. First and foremost, it must be assigned to one of the following environmental classes: - Mk 2005 - Mk 2005 PM (cars run on diesel) - Mk EL - Mk Hybrid For conventional fuel-efficient cars, including hybrids, running on petrol, CO2 emissions may not exceed 120 grams/km during mixed driving. For those that runon diesel, they may not exceed 120 grams/km and particulate matter emissions may not exceed 5 mg/km during mixed driving. For alternative fuel cars, fuel consumption in connection with mixed driving may not exceed 0.92 litres petrol/10 km or 0.97 cubic metres of LPG/10 km (with some exceptions for automatic transmission cars). For electric cars, the consumption of electric energy per 100 km may not exceed 37 kilowatt hours; however, this type of car does not currently exist on the market. The rebate is paid automatically and directly to the purchaser once they have owned the car for six months. The programme has been considered a success, as sales of hybrid or biofuel-powered vehicles rose by 49% in 2007, according to the Swedish Environmental Protection Agency, and "green" vehicles made up 18% of the total number of cars sold as of January 2008. In April 2008, a further SEK 240 million were injected into the scheme, as the programmes popularity threatened to overrun the original allotment of SEK 150 million.

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