Croatian Government Incentives for Electric Vehicle Purchases Begin

May the 22nd, 2022 - Croatian Government incentives for the purchase of electric vehicles have begun, but precisely how does one get to the magical 70,000 kuna figure?

As Poslovni Dnevnik writes, the Environmental Protection Fund is preparing this year's public call for co-financing the purchase of more energy efficient vehicles, which has been very popular with Croatian customers for years. Vecernji list learns that a public call will be published in June.

"In 2022, the Fund provided 108.3 million kuna to encourage the purchase of energy-efficient vehicles. Compared to last year, we've increased the total budget for both people and companies, which will now amount to 103.3 million kuna, last year we provided 90 million kuna, while the remaining budget of 5 million kuna is intended for the public sector. The method of application for both people and for companies will be the same as it was last year.

At the end of May, we intend to publish a public call for expressions of interest towards car distributors, and in June, a public call for co-financing the purchase of electric vehicles for people and companies. The amount of Croatian Government incentives per vehicle won't change this year and will amount to anywhere between 20 and 70 thousand kuna, depending on the category of vehicle,'' they commented from the Fund for Environmental Protection and Energy Efficiency.

This means that this year, too, the implementation of Croatian Government incentives for the purchase of environmentally friendly vehicles will be carried out according to the procedure which was initially introduced last year, which has proven to be more efficient than the previous practice. To be more specific, last year, a new, changed procedural method was introduced, according to which the famous ''first come, first serve'' method was avoided, ie the model according to which Croatian Government incentives were only given to those who managed to apply first.

Aside from the fact that such a system was criticised by both people and by numerous legal entities, it was also unsuccessful because in the end, only 50 percent of the people to whom the incentive was approved, actually ended up using the incentive for their purchase.

Under this new system, people and legal entities no longer apply to the public call directly, but through authorised motor vehicle dealers headquartered here in Croatia. As such, this year, the Fund will first announce a public call to which dealers will be able to apply, who will then register their points of sale and available vehicle models through the Fund's application. At their points of sale, people and legal entities will receive an offer for a vehicle and the dealers will apply for Croatian Government incentives for them.

Those who want incentives will still have to be quick off the mark, meaning they'll need to prepare before the announcement of the public call, which means they'll have to fully study the offer of vehicles for which they can apply for an incentive and which are offered on the Croatian market, and there are more and more of them as time goes on.

The procedure after a successful incentive reservation is, therefore, just like it was last year. The buyer will be obliged to pay a minimum advance of 7 percent of the requested funds to the Fund, for example, if an incentive of 70,000 kuna is requested, the trader will have to be paid 4,900 kuna. The deadline for delivery and use of Croatian Government incentives will be nine months from the approval of co-financing.

By far the most sought-after co-financed vehicles last year were electric cars, for which 70,000 kuna will be available this year as well. For example, last year the funds were reserved for 1943 vehicles, of which 1785 were electric, 157 were plug-in hybrids and one was a natural gas vehicle. For plug-in hybrids (plug-in rechargeable hybrids) it will still be possible to get 40,000 kuna in incentives, and for electric vehicles of the L1-L7 category (mopeds, motorcycles, light quadricycles) 20,000 kuna will be available.

For more, check out our dedicated lifestyle section.