Plan Moves enters into force with incentives for alternative vehicle purchases

Plan Moves

Plan Moves, a program proposed by the government, entered into force on April 2. The program establishes a series of incentives to purchase alternative vehicles in a move to improve air quality in cities and fight against climate change.

On March 11, the council of ministers approved the amount allocated to each community to set this plan into motion. At present, these subsidies are being granted in the Basque country.

Each autonomous community will be responsible for managing these funds and start receiving applications in their respective territories within two months after the plan’s entry into force.

Plan Moves entails giving €45 million in subsidies to purchase electric, hybrid, and gas-powered vehicles. Individuals interested in this initiative can apply now.

Incentives of up to €5,500

Under this initiative, up to €5,500 will be granted for purchases of electric, hybrid, plug-in, or battery cell vehicles, and light vans. Manufacturers, car importers, and dealerships must also implement a minimum discount of €1,000 on the invoice, except in the case of four-wheelers and motorcycles.

The plan also includes financial aid of €700 for electric motorcycles and up to €15,000 for purchases of trucks and buses powered by alternative fuels; in detail, vehicles powered by natural gas.

The funds must be distributed as follows:

  • Between 20% and 50% for purchases of alternative vehicles.
  • Between 30% and 60% for the implementation of recharging infrastructure (of the latter, at least 50% must be allocated to fast or ultra-fast charging points).
  • The implementation of electric bicycle loan systems should account for 5% to 20% of the allocated budget; and support for transport plans in work centers can range from 0% to 10%.

At the same time, manufacturers, vehicle importers and dealerships will be required to offer a minimum discount of €1,000 on the invoice; except in the case of four-wheelers and motorcycles. Thus, potential beneficiaries of this financial aid will have an additional incentive to commit to sustainable mobility. Incentives for gas-powered vehicles are reserved for trucks and vans, given that there is still progress to be made with the electric alternatives.

Who can apply for this financial aid?

This incentive plan will be open to independent professionals, natural persons of legal age residing in Spain, owner associations, legal entities, and the public sector.

The first condition to qualify for the funds is to hand-in cars over ten 10 years old.

Requests to get the financial aid offered under Plan Moves can be made in the following cases:

  • Purchase of an alternative energy vehicle (hybrid, electric or gas) in exchange for delivering one of over ten years old.
  • In the case of commercial cars or light-duty trucks, it is enough that they are seven years old. (Provided the vehicle inspection papers (ITV) are in order).
  • Installation of charging points for private electric vehicles, non-residential public buildings, and companies.
  • Implementation of a loan network for electric bicycles. Both public and private. With a limit of €100,000.
  • Alternative commute plans, created by companies. With a limit of €200,000.

Andalusia, Catalonia, and Madrid to receive the biggest shares

The communities of Andalusia, Catalonia and Madrid will receive the highest endowments of these €45 million.

These funds will be delivered to the autonomous communities in accordance with their population. The estimates will be made based on the population census made by the National Institute of Statistics. Therefore, Andalusia will receive more than €8 million, Catalonia will receive over €7.3 million, and Madrid will receive nearly €6.3 million.

Now that each community has a budget assigned, it must allocate 20% to 50% to the acquisition of alternative vehicles. Likewise, 30% to 60% will correspond to the implementation of a charging infrastructure, with 50% earmarked for fast or ultra-fast charging points.

Did you know that the MOVES Program offers companies incentives for the installation of an EV charging infrastructure?  Find out more here.

Moves against climate change

The Moves Plan goes beyond promoting efficient mobility. It is a tool to face the rise of CO2 emissions (the main greenhouse gas). To this end, it promotes cutting fossil fuel consumption in transport.

In Spain, emissions growth was especially high in 2017. In that period, it increased by 4.4% year-on-year. It is the highest recorded since 2002.

The transportation sector consumes 42% of the final energy in our country. Of this percentage, 80% corresponds to vehicles that depend on oil products by 95%. These figures show the need to influence the reduction of CO2 emissions. To this end, sustainable urban mobility must be promoted. It is essential to encourage the renewal of the vehicle fleet with cars powered by alternative energies, as well as promoting more efficient means of mobility.

"New incentives of up to €15,000 to encourage individuals to purchase electric vehicles. The MOVES Program will contribute €45 million for EV purchases. Key elements of Plan MOVES 2019”

The €45 million allocated to Plan Moves was delivered to the Institute of Diversification and Energy Saving (IDAE) in the 2018 budgets. The purpose is to finance “actions that support mobility based on energy efficiency criteria, sustainability, and boosting alternative power, including providing electric vehicle charging infrastructure.”

In addition to this program, the State will also offer a €15 million subsidy to support sustainable mobility projects. The plan will work in cities classified as World Heritage Sites, municipalities with high pollution rates or located in islands, and innovation and emobility projects.

How can you apply?

IDAE informed that applications to get this financial aid will be open as soon as the autonomous communities and the cities of Ceuta and Melilla make the respective announcement, under the rules established by each community. Applicants will have until December 31, 2019, or until the budgetary funds are depleted.

The organism will select applications that are made within the indicated period and comply with the requisites established on the Royal Decree and by the autonomous communities and the cities of Ceuta and Melilla.

For any questions or clarification contact the Citizen’s Energy Efficiency and Renewable Power Enquiry Service (SICER) at; send a letter to c/Madera, 8. 28004 Madrid, or call 913 146 673 – from 10AM to 2PM, Monday to Friday – Fax: 915 230 414.

For more information, check Energía16

See also: Government rectifies fossil fuel vehicles ban

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