Norway reaffirms electric car subsidies after boom

OSLO (Reuters) -- Norway's authorities reaffirmed a number of the planet 's most generous subsidies for electric vehicles and stated it'll evaluate high taxes on automobiles.
The nation 's high EV subsidies suggest that one in five automobiles sold in the Nordic country up to now in 2015 is batterypowered.
The achievement of electric automobiles in the country of 5 million individuals has resulted in a proposed tax shortfall of TWO billion crowns ($267.79 million) for 2015 because of exemptions from value added tax and other advantages.
On Tuesday, Norway's rightwing authorities said it could review auto taxes and work-out new principles for 2016 but stressed that guidelines would "spark a a more recent, safer and much more environmentally friendly automobile fleet."
Last month, electric-car sales in Norway attained a cumulative total of 50,000, or 2% of all automobiles on the highway. They make up fractions of a per cent in many states. The complete meant that revenue attained a threshold established to get a critique, resulting in concerns among electric-car proprietors of extreme reductions.
The authorities said many tax benefits for electric automobiles will be kept until 2017, as intended, and after that slowly phased out. In addition, it expanded some tax benefits, now used only to personal purchasers, to leased electrical automobiles.
The the federal government may also give local authorities more say through policies like enabling electrical cars to drive-in bus lanes, or to be exempt from parking fees and road tolls. And it may offer more advantages for owners of hybrid vehicles, which run-on gas and electricity.
"We have become favorable this electric car achievement will carry on," Petter Haugneland of the Norwegian Electric-Vehicle Association advised Reuters.
Frederic Hauge, head of the Norwegian environmental group Bellona, who drives a Tesla Model S, stated: "There continue to be grounds to say 'seem to Norway' in regards to electrical vehicles." However, he criticized the authorities for suggesting that it could favor more low-cost, little electric vehicles over Teslas, which begin at about $70,000. He explained little automobiles were frequently purchased in Norway only as second automobiles.
The EV subsidies resulted in the Product S getting Norway's best-selling automobile to get a short period, prompting calls to stop subsidies for affluent buyers.
Norway accounted for a third of all European batterypowered automobile sales a year ago, official data reveal, and 19% of automobiles sold up to now in Norway in 2015 were electrical, against 13% in 2014.The state produces almost 100 percent of its own electricity from hydro-power therefore the change to battery-powered automobiles results in a net decrease in greenhouse-gas emissions -- portion of the nation 's strategies to cut back emissions by at least 40% by 2030 compared to the 1990 amount.
Norway can also be Western Europe's largest oil and gas company with about 3.7 million barrels of oil equivalents per day and its off-shore power sector makes up about a fifth of the market.
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11.05.2015
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