Norwegian electromobility policy for 2020.

Norwegian electromobility policy for 2020
Per-André Torper
Norwegian Ministry of Transport and Communications
Oslo, June 11th 2015
Samferdselsdepartementet
Sold cars in May 2015
1. Volkswagen Golf
1 323
2. Tesla Model S
3. Toyota Auris
346
352
4. Toyota Rav4
296
5. Skoda Octavia
329
6. Toyota Yaris
7. Nissan Leaf
371
176
8. Mitsubishi Outlander
399
9. Volkswagen Passat
236
10. Mazda CX-5
286
Source: OFV
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
EVs in Norway
EVs:
• 54 000 (may 2015)
• 18 per cent of new cars sold in 2014
• 1,5 per cent of passenger car fleet
PEVs:
• 4000 (april 2015)
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Background
• Transport sector accounts for approx. 1/4 of
Norway’s GHG-emissions
• Two broad political agreements on climate in the
Norwegian Parliament (2008 and 2012)
• The 2012-agreement protected existing taxincentives until 2018, or until 50 000 EVs reached
• Goal from climate agreement: 85 gram CO2/km
in 2020 from new cars
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Tax exemptions for EVs
• No purchase tax (EUR 350 – 60 000 for
conventional cars)
• No VAT (25% for conv. cars)
• Reduced annual vehicle license fee (EUR 50 per
year vs. 400)
• Imposed benefit taxation for private use of a
company car halved compared to conventional
cars (EUR 2500 – 4500 per year)
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Purchase tax-exemption for EVs
8 NOK = 1 EUR
600000
500000
,-
400000
NOK
300000
Weight
Power
200000
CO2
100000
0
-100000
Tesla Model S
Performance
Tesla Model S
Performance
Nissan Leaf
Nissan Leaf
Hypothetical tax: EUR 400
Hypothetical tax: EUR 60 000
-200000
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
In addition, electric vehicles have…
•
•
•
•
•
7
Free parking (EUR 25/day in Oslo)
No road toll (EUR 4/day in Oslo)
Free ferry (from EUR 10/trip)
Access to public transport lanes
Higher compensation for use in work (about 10%)
Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Charging stations
• Charging stations: 1700
• Charging points: 6400, of which 5600 are publicly
available
• A large share has received government support
• In addition many municipalities provide financial
support for charging stations
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Electric cars sold in Norway
12000
10000
Number
8000
No
purchase
tax
Free parking
Transnova
established
6000
Access to public
transport lane
No road toll
4000
Free ferry
No VAT or other taxes
Half tax for using electric car as a
bussines car
2000
0
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Year
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Effect of the policy
Some arguments in the debate:
• Reduced CO2-emissions
• (personal cars sold in May 2015: 99 g/CO2/km -average)
• Reduced NOx-emissions
• Development of technology for the low emissions society
• Switch from public transport, cycling and walking to EV, increased
traffic
• Delays for public transport and using space in the cities
• Income loss to the state, municipalities and road toll companies
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Income loss 2015
Mill €
11
Free Parking
15
Tolls/ferry
30
Annual tax
20
VAT
200
Purchase tax
200
Sum
4-500
Norske elbil-insentiver
2015.06.12
Samferdselsdepartementet
Future policy - taxes
• Number of EVs passed 50 000 april this year
• New political agreement in 2015:
• No VAT on leasing of electric cars
• Tax incentives to kept until 2018, and thereafter gradually
reduced
• Annual tax introduced with half rate from 2018, and full
rate from 2020
• Purchase tax exemption prolonged to 2020.
• Change from no VAT to a system with a grant scheme?
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Future policy – local benefits
• New political agreement in 2015 (2):
• Local municipalities will have central influence over the
“access to public transport lanes".
• Local municipalities decides free parking etc
• Looking at environmental effect of a system with
differenced taxes in the toll rings and on the ferrys.
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Public transport lanes
• Public transport lanes are starting to fill up (with
EVs), and delays the public transport
• Due to construction work in the tunnels in Oslo
Electric vehicles need a passenger to use the bus
lanes
• Result: Busses use half time
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Summary – policy towards 2020
• Slow reduction in benefits
• Other new instruments?
• More local influence
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Thank you for your attention!
Samferdselsdepartementet
Samferdselsdepartementet
1 € ≈ 8 NOK
CO2-element in purchase tax
80000
70000
60000
50000
40000
€
30000
20000
10000
0
-10000
-20000
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Electric vehicles in Norway
CO2 (g/km)
2015.06.12
Samferdselsdepartementet
Main instrument: Purchase tax
• High level (on average EUR 14 000/car)
• Four components:
• Weight
• CO2-emissions
• Power (kW)
• NOx-emissions
• All elements are progressive
• In addition, cars with very low CO2-emissions
(<105 g/km) get a deduction in the tax levied on
weight and power (≈800-1000 NOK per g CO2)
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Average CO2-emissions of new cars
200
180
CO2 (g/km)
160
140
120
100
80
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
Year
20
Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
PHEV
• Plug-in hybrids do not have the same benefits as
pure electric vehicles.
• They pay full VAT, are not allowed in bus lanes
etc., and do not have EL number plates.
• However, they do get a deduction of 26 per cent
in the weight component of the purchase tax, and
the power associated with the electric motor is
not included in the basis for the engine power
component in the purchase tax.
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
RED
• 4,5 per cent renewable energy share in transport
in 2013
• Biofuels essential for reaching 2020 target
• The Parliament has decided to increase biofuel
sales requirement from 3,5 to 5 per cent
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Electric vehicles in Norway
2015.06.12
Samferdselsdepartementet
Thank you!
Samferdselsdepartementet