Purchase of electric vehicles: New scheme announced

Transport Malta have announced new grant schemes promoting the use of new electric vehicles falling in the following categories:

• New passenger cars;

• Goods carrying vehicles;

• Minibuses;

• Coaches;

• Quadricylces;

• Motorcycles; and

• Pedelecs.

The grant schemes also include a scrappage scheme intended to provide further support to applicants who, in addition to acquiring a new electric vehicle, also deregister a vehicle of any category which is older than 10 years from the year of manufacture.

The schemes, which have a total budget of €15,000,000, may be availed of by:

• Persons residing in Malta;

• Local councils;

• Voluntary organisations (including NGOs); and

• Undertakings established in Malta.

The following schemes have been announced:

• Grants to be paid for each electric vehicle purchased by eligible persons residing in Malta or Local Councils or Voluntary Organisations which do not carry out an economic activity, with the grants ranging from €11,000 to 40% of invoice value capped at €250,000;

• Grants to be paid for each electric vehicle registered by eligible undertakings established in Malta or Voluntary Organisations which carry out an economic activity, with the following grant amounts:

*De minimis Regulation applies.
** General Block Exemption Regulation applies, except for undertakings active in the fishery and acquaculture sector, for which de minimis rules apply.

Kindly note that investment costs refers to the difference between the cost of the electric vehicle being registered and that of an equivalent vehicle with a conventional internal combustion engine.

• Grants to be paid for each electric L vehicle or pedelec; and
• Grant amounts to be paid when a vehicle is scrapped in conjunction with any other grant for the purchase of an electric vehicle.

Applications under the schemes

Applications may be made either by the agent/dealer/supplier or by the purchaser of the electric vehicle. Where the de minimis State Aid rules apply, the State Aid Declaration is also required.

A licensed dealer or car agent purchasing any of these vehicles for showroom and sales purposes may apply for the grant but on re-selling such vehicle, the buyer will not be eligible for any grant, including the used grant.

How can we help?

Deloitte Malta is able to assist in answering your queries, so please do not hesitate to reach out to us for any further guidance you may require.

In addition, Deloitte Malta is able to assist with the preparation of the required applications and any supporting documentation, as well as document submission and any required follow-ups.