Eco Fund reduces subsidies for electric vehicles

Ljubljana – The Eco Fund has reduced subsidies for electric vehicles in its latest tender published in the Official Gazette. The fund decided for the move because the overall volume of subsidies had been rising in recent years as the number of subsidised vehicles almost doubled each year while the price of vehicles has been dropping.

In the two public calls for application, for individuals and companies, which were published on Friday, the rules stipulate that subsidies cannot exceed 20% of the vehicle’s value and thus range from EUR 300 to EUR 4,500.

Only vehicles that cost no more than EUR 65,000, including VAT, other discounts and battery lease included, can receive state subsidies.

In practical terms this means a subsidy for a typical electric car will drop to a maximum of EUR 4,500 from EUR 6,000, while subsidies for cargo vehicles will be EUR 1,000 lower and for light four-wheeled vehicles EUR 500 lower.

Companies will from now on be awarded subsidies under the ‘de minimis’ rule, which means a company must not receive more than EUR 200,000 in subsidies, with the exception of Covid-19 aid, over three business years. This is to simplify procedures, as the subsidies will be awarded for investments that have already been carried out.

Under the new rules, companies will no longer be reimbursed for the extra costs that they have with the electric vehicle compared to those using fossil fuel. Vehicles will be subsidised based on their category and regardless of the size or location of the company.