Subsidy 2: Premium for purchasing electric vehicles

• Act 840/2020

The Finnish government fosters the electrification of the traffic sector with providing a one-time, EUR 2.000 subsidy for private persons purchasing or leasing an electric vehicle. There is also support available for converting fossil-fuel operated vehicles into operating on biofuels. The scheme has been operational since the beginning of 2018.
Under the current policy, the subsidies are available until the end of 2021. The support scheme may be extended further, replaced with a new policy, or discontinued after 2021.

The subsidy amounts to EUR 2.000/vehicle, and the total price of the vehicle cannot exceed EUR 50.000, including all taxes. The amount of conversion subsidy is EUR 1.000 for the conversion into a gas-operated vehicle and EUR 200 for ethanol. (Art 5 Act 840/2020)
There is a limited amount of funds allocated for this subsidy: EUR 6 million/calendar year.

Private persons purchasing an electric vehicle, or service providers leasing electric vehicles. A leased vehicle has to be in the use of the same person for at least three years. (Arts 3,4 and 6, Act 840/2020).

The person purchasing a new, electric vehicle does not have to apply for the subsidy; it is already taken into account in the retail price. The retailer, also, purchases e-vehicles from the importer at the subsidised price. The importer will apply for the subsidy from Traficom, providing all necessary information regarding the sold e-vehicles. (Art 8 Act 840/2020)
In case of a leased e-vehicle, the service provider will apply for the subsidy from Traficom (Art 9 Act 840/2020).
Persons converting their vehicles into biofuels-operated apply for the subsidy directly from Traficom (Art 10, HE 156/2017).
In case of misuse of the subsidy, Traficom can require the subsidy to be paid back partly or in full (Art 11 Act 840/2020).

Traficom