This milestone signals a larger trend within the country. Contact online >>
This milestone signals a larger trend within the country.
To understand the rise in popularity of BEVs, we can look back to May 2019 when the Ministry of Transport launched a grant program for alternative fuel infrastructure. The program allocated CZK 146 million to create additional charging stations, showing the government’s commitment to promoting BEVs.
This support has directly contributed to the recent increase in their use.
Currently, there are more than 27,600 BEVs in the M1 passenger vehicle category in the Czech Republic, reflecting an increase of over 5,000 in the first half of this year. The infrastructure to support these vehicles has also expanded, with more than 5,200 public charging points now available.
Data from the Clean Transport website, based on information from the Ministry of Transport, highlights these developments.
In 2023, global automotive markets rebounded significantly after a downturn caused by COVID-19 and other factors, marking a historic milestone.
For the first time, the best-selling car in Europe was an electric vehicle: the Tesla Model Y. Tesla achieved remarkable success with the Model Y, selling 254,822 units, a more than 100% increase in sales. The popular Dacia Sandero followed closely, with 235,893 units sold.
In December 2020, the highest number of registrations was recorded, mainly due to the Škoda Enyaq. However, since many Enyaqs were exported, only about 700 remained in operation in the country.
According to statistics by Elektromobilita CZ, 56% of people in the Czech Republic showed interest in buying an electric car in 2024.
Research indicates that over half of the Czech population intends to purchase an electric car within the next 10 years.
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The Czech Republic has seen a surge in demand for electric vehicles (EVs) as business owners do not want to miss out on the opportunity to receive a state subsidy of up to 300,000 crowns for purchasing an electric vehicle and an additional 150,000 crowns for a charger. According to Martin Feller, the Commercial Director of Louda Auto, “The number of requests for fully electric vehicles has tripled year-on-year in January.”
This trend is confirmed by the Executive Director of TipCars , Marek Knieža. Based on search statistics on their website, he stated that there is significant interest in these vehicles from businesses and firms. The number of searches for electric vehicles with the possibility of VAT deduction has almost tripled year-on-year in January.
As part of the ‘Electric Mobility Guarantee’ initiative, businesses and firms can apply for support of 200,000 crowns for a personal car and up to 300,000 crowns for a commercial vehicle up to 4.25 tons from March. The car must not cost more than 1.5 million crowns, excluding VAT. Many electric vehicles, such as the Škoda Enyaq and Tesla Y or Model 3, comfortably fit this price range.
Despite the growing interest, Feller points out that the numbers are not astronomical. He said, “We are still talking about single or tens of inquiries for each of our twelve brands of new electric vehicles.” Subsidies are intended for new cars up to six months from being put into operation, with a maximum mileage of 6000 kilometers.
David Nerad, the manager for electromobility at Louda Auto, reveals that the most searched electric model is the Škoda Enyaq, which had an excess of demand over supply even last year. This is followed by ID from Volkswagen and ionic from Hyundai. The cheapest electric car on the market is the Dacia Spring.
Key View: Our core view remains that Czech Republic''s EV market is set to experience strong growth over the coming years, as EU member states continue to implement carbon reduction policies. At present, the market suffers from a nascent EV charging network infrastructure, though we expect the European Union (EU)''s Green Deal and ''Just Transition Fund'' to smooth the transition to decarbonisation by providing direct investment for charging networks and indeed facilitating private investment.
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