Car scrappage scheme oversubscribed 10-fold

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More than 3,000 motorists jumped at the opportunity for a state grant to replace their old banger with an eco-friendlier vehicle in a scrappage incentive scheme.

The first phase of a €15 mln incentive scheme to convince motorists to go greener ended on Monday. The Transport Ministry expressed its content over the turnout.

“Taking into account that at a first stage just 360 applications will be approved, having received tenfold that, is certainly encouraging news for the future of the scrappage schemes, and our struggle to bring down CO2 emissions,” said a ministry official.

From the 3145 applications submitted, 2,973 were for withdrawal and replacement with a new vehicle, 16 for a new taxi, 25 applications for vehicles designed for people with mobility difficulties.

Another 63 applications involved the withdrawal and replacement with a new vehicle for a large family, 51 applications for a new electric bicycle.

Of the total amount of €15 mln, €8 mln is available during the program’s first phase.

Another €4 mln will be given to people who have a vehicle older than 12 years, which they would like to scrap.

Those opting to scrap their old car for a greener car are entitled to a €7,500 grant.

Once pre-approval has been given, beneficiaries will have two months to submit proof they have ordered a new vehicle and 12 months to register it.

The grant will be given on the vehicle’s registration within 12 months of the pre-approval.

However, the CO2 emissions of the new vehicle must be under 50g/km.

Meanwhile, another €30 mln scheme encouraging people to opt for an electric car went online, giving people until 3 January to submit their interest.

The promotion of electric car use in Cyprus includes 14 categories from €1,000 to €100,000, and the first phase is expected to satisfy 1,375 applications.

Dubbed as one the most generous incentive schemes for electric vehicles in Europe, Cyprus’ program will see €10,000 incentive package going to motorists to scrap their old petrol cars for a new electric one.

A grant of €9,000 will be provided to buy a new electric vehicle and €4,000 to purchase a used car.

The scheme also covers taxi drivers who want to go electric, people with disabilities and large families.

The two schemes promoting greener and fully electric cars are part of the Transport Ministry plans to reduce greenhouse gas emissions by at least 40%, increasing energy efficiency by 32.5% by 2030.

Cyprus hopes to register 36,000 electric vehicles by the end of 2030.

Transport Minister Yiannis Karousos has said the aim is for 25% of new vehicle registrations by 2030 to be electric ones.

The ultimate aim is to increase this percentage to 100% by 2035.

To be eligible for the grants for an electric vehicle, the price of a new vehicle must not exceed €80,000.

For used vehicles, the ceiling is set at €50,000.