Norway Leads the Way as 90% of Cars Sold Are Electric

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Norway has achieved a remarkable milestone, with nearly 90% of cars sold last year being electric, making it the world leader in road transportation electrification. This is the only country where battery-powered vehicles outnumber petrol ones on the roads. Norway’s shift to electric cars began in the 1990s but gained momentum due to a series of government incentives aimed at making electric vehicles more attractive than combustion cars.

Key policies introduced over the decades include the elimination of road taxes for electric vehicles in 1990, free toll road access in 1996, and abolishment of VAT on electric cars in 2001, which significantly reduced their costs. For instance, a €40,000 utility vehicle would be priced at €50,000 if it were combustion-powered due to the 25% VAT. Public support has played a crucial role in this transformation, supported by the country’s substantial oil revenue.

Technological advancements have also fueled growth, with over 160 electric vehicle models now available compared to fewer than ten in 2014. Norway boasts a robust charging infrastructure with 30,000 public charging points, the second-largest in Europe relative to its population.

In 2017, the Norwegian parliament set a target for all new vehicle purchases to be zero-emission by 2025. While achieving the target may be challenging, current trends indicate that the percentage of green car purchases could exceed 95% of total sales this year. Diesel vehicles remain the most common, but their registrations have been declining.

Compared to its European counterparts, the Nordic countries are leading the way in electric vehicle adoption, with Iceland at 71% and Sweden, Finland, and Denmark not far behind. In contrast, Spain's adoption rate stood at just 5.8% in 2024, hindered by cumbersome subsidy processes.

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