New electric vehicle funding plan in limbo pending EU approval

The new funding plan for the purchase of electric vehicles is currently awaiting approval from the European Union, as announced by the Ministry of Transport, Communications, and Works last November. The official announcement of the plan was initially scheduled for December 2023.

According to sources from the Ministry of Transport, officials are still in a holding pattern, anticipating approval from the European Commission for the new scheme and the allocated funding amount to boost the adoption of electric cars.

The funding amount, as per the same information, will determine the overall framework of the plan, including criteria and conditions that will need adjustment based on the available funds. Additionally, corrective measures are expected to be implemented in the new plan, addressing problematic aspects identified during the implementation of previous schemes.

As outlined by Transport Minister Alexis Vafiadis, the plan encompasses grants for the purchase of electric vehicles and low-emission CO2 vehicles up to 50 g/km, as well as the retirement of older polluting vehicles.

It is worth noting that two similar funding schemes with significant success have already been completed.

These funding plans for electric vehicles align with Cyprus’s goal of reducing pollution in transportation, following the commitments of the Republic of Cyprus to the European Union. The financing for these schemes is provided by the European Union’s Recovery and Resilience Fund.