The Italian government has launched a new state-backed incentive to promote the adoption of electric vehicles (EVs).
The scheme offers up to 11,000 euros for private individuals and up to 20,000 euros for small businesses purchasing electric models.
Applications are now open and must be submitted before the acquisition of the EV.
To qualify, applicants must scrap a Euro 5 or older internal combustion vehicle registered in their name for at least six months.
Eligibility is limited to residents of municipalities with at least 50,000 inhabitants or in their surrounding commuter areas.
In South Tyrol, for instance, the measure applies to Bolzano and 19 neighbouring municipalities, including Auer, Pfatten, Kaltern, Eppan and others.
Private individuals with an annual ISEE (Indicatore della Situazione Economica Equivalente) of up to 30,000 euros are eligible for the full 11,000-euro subsidy.
Those with an ISEE between 30,000 and 40,000 euros may receive up to 9,000 euros.
The ISEE assesses a household’s economic status by considering income, assets and family size, and is commonly used to determine access to public services and financial assistance.
For small businesses, the incentive covers up to 30 per cent of the cost of a new electric light commercial vehicle, capped at 20,000 euros.
The scheme is financed with approximately 600 million euros, partially sourced from Italy’s National Recovery and Resilience Plan (PNRR).
It aims to replace around 39,000 internal combustion vehicles by mid-2026, while supporting investments in electric charging infrastructure.
This initiative forms part of PNRR Mission 2 Component 2 Investment 4.5, focused on modernising private and light commercial fleets with zero-emission vehicles.
Authorities have confirmed that the possibility of combining the national grant with regional incentives of 2,000 euros is still under review.
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