Czech Republic considers Subsidies for Electric Vehicles, sparksโ Debate Over Potential for Abuse
PRAGUE – The Czech government is weighing a โnew subsidy program for โelectric vehicles, aiming to boost adoption but facing criticismโ that dealers could exploit โthe system by inflating โprices. The potential program comes as other European nations, like France, already offerโ substantial incentivesโ for electric car โpurchases.
While theโ Czech Republic โขcurrently offers companies tax breaksโ for emission-free vehicles, private citizens receive no directโ financial assistance. The proposed โฃsubsidies wouldโฃ address this gap, but concerns are โคmounting that the program could simply increase profits for dealerships rather than genuinely lowering costs for consumers. Green Party MPโ Paula Piechottovรก โคhas urged the government to address this potential issue during the final drafting ofโข the proposal.
France currently providesโข targeted support to low-incomeโ households, contributing up to 170,000 Czech โคcrowns (approximately โฌ7,400) towards the purchase of an electric car.โข France also offers a “scrapping bonus” โขfor those who trade in older, combustion engine vehiclesโ for electric orโค hybrid models. โ
The newโค Czech initiative requires approval from theโ European Commission. The move also arrives as electric vehicle production is slated to increase within the country,โฃ with manufacturing planned in Mladรก Boleslav and Kolรญn, where Toyota intends to establish its first European electric car production facility. The government has yet to announce any changes to its existing corporate incentives.
