Level of EV grants for cars priced over €40k slated as strategy ‘flaw’
Over 60,000 grants have been made for EVs costing over €40,000. Picture: PA
Sinn Féin said the figures show the scheme “disproportionately benefits” more well-off families.
Figures show over 60,000 grants have been handed out for electric vehicles costing over €40,000.
Under the EV grant scheme, applicants can get a maximum of €3,500 towards a new car.
In total, 98,207 EV grants have been approved since 2021, with 85,146 drawn down.
Some 10,657 were for cars priced between €40,000 and €45,000, 16,709 for cars between €45,000 and €50,000, and 14,722 for cars between €50,000 and €55,000.
There have also been 19,575 grants for cars over €55,000 since 2021.
In comparison, there have been 11,526 grants provided for cars with a price tag of less than €40,000.
Changes to the scheme in July reduced the price cap from €60,000 to €50,000, with the Government saying that this was to ensure funds were targeted at lower-priced vehicles.
The figures were released to Sinn Féin’s transport spokesperson Pa Daly via parliamentary question.
Mr Daly criticised the high level of grant allocations to more expensive EVs.
“The figures released by the minister lay bare a fundamental flaw at the heart of the Government’s EV strategy.
“Once again, public funding intended to drive a just transition is disproportionately benefiting those who are already best positioned to make the switch, while ordinary workers, families, and rural communities are being left behind,” Mr Daly said.
“Since 2021, just over 85,000 EV grants have been drawn down from the 98,000 offered. Alarmingly, however, very few of these grants have been used for cars that most ordinary workers and families could ever dream of owning.
“Rather, the overwhelming majority have been used to subsidise vehicles that anyone on an average income could scarcely afford — never mind those on lower incomes who fall below that threshold.”
However, the Department of Transport pushed back on the Sinn Féin criticism, saying that EVs have “historically had higher upfront costs than equivalent petrol or diesel vehicles”. A spokesperson said: “However, EV prices have reduced significantly in recent years, with a growing range of lower-cost models now available to consumers. The cheapest new electric car in Ireland is the Dacia Spring, priced at around €16,990 after applying the €3,500 SEAI purchase grant,” they said.
- Tadgh McNally, Political Reporter
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