LeasePlan’s survey shows a direct link between government incentives and increased number of electric vehicles

Across Europe, the number of new EV registrations increased with an average of 60% between 2018 and 2019. Improvements in EV readiness were due to a combination of the increased availability of public charging infrastructure and to the extension of a wide range of government incentives. Support for environmentally friendly driving is particularly strong in Hungary, Austria, the United Kingdom and Portugal. These are the conclusions, among others, of the latest EV Readiness Index by LeasePlan, the market leader in fleet management.

Almost all countries in the EV Readiness Index showed an improved score compared to the previous year, but the Netherlands, Norway and United Kingdom are now the best prepared countries in Europe for the electric vehicle transition. In overall, Hungary moved from last year’s 16th place in the rank to the 14th.

The number of new EV registrations increased with an average of 60% on the continent. In Hungary, 586 new electric cars were registered in one year, which is an increase of 71%.

According to LeasePlan, this development is primarily due to the increased availability of public charging infrastructure and to the extension of government incentives which are key requirements for stimulating EV uptake:

• Across Europe, there was a 73% increase in public charging stations. There are over 4,000 fast charging locations across the countries surveyed. According to the research, there are 679 public charging points in Hungary, which is by 90 more than last year, and there are more than 100 fast rechargers among. It is estimated that more than 2000 charging points will be created in 2020.
• The government subsidies for green number plate cars (e.g. purchase subsidies, registration and ownership tax benefits, company benefits and lower VAT rates) are the highest in Hungary, Austria, the United Kingdom and Portugal.

The following subsidies are available in Hungary

• Until 24 February 2020, state subsidy was available to incite purchase of new, battery electric passenger cars and light commercial vehicles up to HUF 1.5 million. Until 31 March 2020, SMEs and corporations can still leverage this subsidy in the form of operational leasing through LeasePlan which not only handles the administration of the application, but also provides a more favorable monthly fee by integrating the amount of the subsidy into it.
• Tax (motor vehicle, company car and registration tax) and fee exemption (acquisition and transcription)
• Third party liability: resulting in a 15% average savings
• Free parking in several parts of the country
• Free access to protected areas (according to local regulations)

LeasePlan is committed to take a leadership role in the transition from internal combustion engines to alternative powertrains, therefore the company’s goal is to shift all its employee vehicles to battery electric vehicles (BEVs) by 2021 and to achieve net zero tailpipe emissions across in its entire global fleet by 2030. As part of this ambition, the company launched its Green Bond Framework in 2019, which aims to involve financial actors to help LeasePlan finance and refinance BEVs in its fleet, thereby accelerating the transition to e-driving. In the pursuit of sustainability, the company also finds fundamental to report regularly on its activities in a transparent way and with an actual action plan. Thus for the first time this year LeasePlan has published its sustainability report, detailing the company’s aspirations and goals for a more viable future.