Law 4710/2020 for the promotion of e-mobility was introduced into Greek legislation in July 2020. The purpose of this Law is the promotion of the use of electric vehicles, the development of publicly accessible recharging infrastructure and the formation of a full-fledged regulatory framework for the e-mobility market.
Law 4710/2020 incorporated into Greek legislation both (EU) Directive 2018/844 on the energy performance of buildings and (EU) Directive 2019/1161 on the promotion of clean and energy-efficient road transport vehicles.
Before the enactment of Law 4710/2020, various legislative frameworks contributed to the promotion of e- mobility in Greece, but in a fragmented way. Particularly, Law 4233/2014 included provisions regarding the installation of recharging stations in gas stations, garages and public parking stations. Law 4439/2016 adopted rules on the development of alternative fuel infrastructure in accordance with (EU) Directive 2014/94. Finally, Law 4643/2019 defined the terms and conditions for the operation of Electric Vehicle Charging Infrastructure Providers and introduced provisions related to the energy upgrade of public buildings.
The key provisions of the new Law include:
* General rules and incentives for the promotion of e-mobility. Relevant examples are:
– free of charge parking spaces for electric vehicles of zero emissions of emissions up to 50gr CO2/km for the year 2021.
– the imposition of an environmental tax up to three thousand (3,000) euros for the imported old vehicles with high emission levels.
* Tax incentives related to the purchase, leasing and use of electric vehicles. Particularly, the purchase of such vehicles will be excluded from the calculation of the taxpayer’s deemed income. Moreover, tax incentives are also provided for businesses which are established in decarbonization areas and produce electric vehicles. Additional depreciation rates are also applied to businesses interested in constructing and installing charging points.
* Regulations for the organization and operation of the e-mobility market. The obligations of the Electric Vehicle Charging Infrastructure Providers are redefined. Under this Law, they should operate via electronic platforms with the purpose of supervising and controlling the charging infrastructures and adopt remote monitoring mechanisms for the management of the electric vehicle charging stations. Municipalities may conduct open tenders in order to grant the rights for the installation and operation of the charging stations. In addition, the Registry of E-Mobility Infrastructure and Market Participants is created, containing information on market participants and publicly accessible charging stations. Finally, the entities responsible for the operation and supervision of the e-mobility market are the Ministry of Environment & Energy and the Regulatory Authority for Energy (RAE).
* Urban planning regulations for the installation of charging stations and spatial planning regulations for the development of publicly accessible charging stations.
Moreover, the joint ministerial decision (OJ 3323 Β/7.8.2020) issued pursuant to Article 62 of the Law, introduced a funding scheme named “GO ELECTRIC”, providing that purchasers of e-vehicles – which can be either natural persons or legal entities and taxi drivers – are entitled to a subvention for the purchase of e-vehicles.
Overall, the objective of this Law is the transition to a low-emission mobility, as reflected in the National Energy Efficiency Action Plan, which sets out the estimated energy efficiency targets that EU countries are expected to achieve. The implementation of the provisions introduced can contribute to the creation of a more flexible and stable electric system in Greece. Key precondition for this, is the greatest possible penetration of Renewable Energy Sources in the country’s energy mix.
The tax incentives provided for the installation of new e-mobility production units and the various depreciation rates for activities related to e-mobility -applied both to private and public agencies operating vehicle fleets- can optimize electricity generation and foster the development of e-mobility market in general.
The creation of a solid and transparent regulatory framework and the simplification of the procedures related to the licensing for the installation of charging stations, may boost investments in the e-mobility market and facilitate the creation of public-private partnerships.
Finally, in the context of the “GO ELECTRIC” subsidy scheme, businesses can purchase up to three electric vehicles if located in the mainland and up to six if located in the Greek islands, thus supporting Greece’s tourism sector.
Edited by Sotirchou Dafni