• Sweden edition
 
Swedes slow to cash in on electric car subsidy

Swedes slow to cash in on electric car subsidy

Published: 27 Jul 2012 15:06 GMT+02:00
Updated: 27 Jul 2012 15:06 GMT+02:00

After six months only 96 premiums have been paid out, equating to a mere 4 million kronor ($584,000) of the 200 million kronor earmarked by the government for the project, according to new figures from the Swedish Transport Authority (Transportstyrelsen).

The government first mooted the initiative in 2010 with the ambition that 5,000 low-emission cars would be sold during the parliamentary term (which ends in 2014).

Swedish car industry lobby group Gröna Bilister argued that the figures illustrate that the 40,000 kronor ($5,840) premium is too small to make a difference.

"If you look at one of the more popular electric cars they cost around 350,000 kronor, in comparison to say a VW Golf which costs around 200,000. The premium is too small to change behaviour," said Mattias Goldman at Gröna Bilister to The Local.

He argued furthermore that while there is an underlying consumer demand for electric cars, there is a "ketchup effect" when it comes to new technology and that point has not yet been reached.

The organisation would like to see the Swedish government to learn from its European neighbours on the issue and use the vehicle tax system to reward eco-friendly consumers.

"We would need a system as in France where the best cars get the highest premiums and the worst cars the highest penalties," he said.

Goldman also argued that a key issue to be addressed is the expansion of rapid battery charging facilities in Sweden, pointing out that there are currently only ten.

“In Norway the government helps to co-finance these. Experience from the biogas market in Sweden shows that this type of system can work,” he said.

The Swedish government was not overly concerned with the paltry payback after six months of the new premium system, with Mattias Johansson at the department of the environment arguing that it was too early to draw any conclusions.

“This year we have only made available 500 premiums and the thinking is that sales should increase gradually,” he told Dagens Nyheter.

Johansson added that it is possible that an evaluation of the system will be conducted, “but only after a year”.

Peter Vinthagen Simpson

Follow Peter on Twitter here.

Your comments about this article

16:46 July 27, 2012 by Hisingen
With the car prices as they are, and battery life questionable, can you blame anyone for being 'cautious'. Hardly. And the funny thing is - we are supposed to be saving electricity on the one hand, and using it in a car on the other. Nuts.
16:52 July 27, 2012 by Twiceshy
Hisingen it's better to use electricity than liquid oil-based fuels, as electricity can be produced in a more ecological and sustainable way.

I totally agree that prices are still too high, it will take time for these cars to be priced competitively and for enough charging stations to be available. But the high fuel prices will help if they increase even more ...
17:12 July 27, 2012 by CarlBlack
@Twiceshy: I wonder if there is available some independent study (calculation) of the total costs and emissions of different fuels - including the emissions created in power plants to produce the electricity, the emissions and pollution created when the car and its battery is manufactured... Especially interesting would be the comparison to E85, which is already sustainable from at least 85%. Showing real numbers would be much more convincing than saying "We all know what is better".
23:58 July 27, 2012 by Sebastian_R
I would love to use an electric car. I don't need a car regularly so I'm looking into MoveAbout etc.

But seriously until cars like the Tesla Model S are available, I don't think much will happen. I like the Think!s but they are only good in places where my bike is doing its job just fine.

So please please please create some more charging stations and have some regular cars available
02:56 July 28, 2012 by Eric1
Electric cars aren't environmental friendly despite what we are lead to believe. They are politically correct but nothing more.
12:39 July 28, 2012 by Sebastian_R
@Eric1 - who cares if they are environmentally friendly? They allow us energy independence from oil that will (sooner or later) run out. Also, they don't stink, they have (if you think about the Tesla Roadster) unbelievable torque and are silent. That's why I want one.
14:06 July 28, 2012 by Mb 65
16:46 July 27, 2012 by Hisingen agree wit you 100% Car prices in Sweden are extortionate. there isn't enough competition
18:51 July 28, 2012 by hjoian
Like most "green" propulsion systems, i know mostly those used in the marine sector, price at present is high to pay back R+D costs. It will take time for the prices to fall,it doesnt help that prices are kept artificially high just because the "green" issue will play on some peoples conscience. There is a huge way to go as far as rechage points go, but i dont see an issue why every petrol station is not given a subsidy to install power points, that would make a huge difference,and low cost.
10:11 July 30, 2012 by Twiceshy
@CarlBlack: There are plenty of studies about emissions of power plants, of course. In Sweden most electricity is generated from hydro and nuclear power, both of which generate little CO2 emissions.
Today's headlines
Business & Money
American sales squeeze Ericsson profits
Ericsson CEO Hans Vestberg presents the third-quarter earnings report at the company's headquarters in Kista. Photo: Janerik Henriksson/TT

American sales squeeze Ericsson profits

Swedish telecoms equipment maker Ericsson reported a decline in net profit in the third quarter despite an increase in sales, boosted by business in emerging markets. READ  

Interview
'Too many concerts feel the same'
Sofar hosts secret gigs in Swedish apartments. Photo: Sofar

'Too many concerts feel the same'

Kattis Bjork founded Stockholm's secret gig scene - Sofar - a year ago. The Local caught up with her as she prepared to celebrate the project's anniversary this weekend and revealed the concept will spread to other Swedish cities in 2015. READ  

Stockholm 'sub hunt'
Sweden calls off suspect submarine search
Ships are returning to shore in Sweden. Photo: TT

Sweden calls off suspect submarine search

The core search for a suspected foreign vessel in Swedish waters has been called off. The armed forces said they remained convinced foreign underwater activity had taken place but had not identified an intruder. READ  

Business & Money
US and Japan fuel surge for Volvo trucks
Ed Carbaugh prepares to install parts on a truck engine on an assembly line at Volvo Trucks' powertrain manufacturing facility in Hagerstown, Maryland, March 2014. Photo: Patrick Semansky/AP

US and Japan fuel surge for Volvo trucks

Sweden's Volvo, the world's second-largest maker of trucks, said Friday it saw a spike in profits in the third quarter, boosted by thriving sales in the US and Japanese markets. READ  

Inspectors attacked at rogue doc’s surgery
Cigarettes and beer photo: Shutterstock

Inspectors attacked at rogue doc’s surgery

Inspectors who were sent to shut down a doctor’s surgery in Gothenburg were physically attacked and fled the premises to get help from the police. READ  

Police turn Swede’s vodka into water
A Swede loads a car with alcohol in northern Germany. File photo: Drago Prvulovic/TT

Police turn Swede’s vodka into water

Swedish police say they will pay a man 16,000 kronor ($2,200) in damages after much of the alcohol they confiscated from him was stolen, while many of the bottles they returned were filled with water. READ  

Diplomacy
US to get first female ambassador in Sweden
File photo: Athena Center for Leadership Studies

US to get first female ambassador in Sweden

The United States Embassy in Stockholm is set to get its first female ambassador after the White House announced it was nominating the Iranian-American ex-investment banker Azita Raji to take over from Mark Brzezinski. READ  

Neo-Nazi attacks
Neo-Nazis cleared of knife attack on Nigerian
Police intervene after neo-Nazis attack an anti-Nazi rally in Kärrtorp, December 2013. Photo: Hampus Andersson/TT

Neo-Nazis cleared of knife attack on Nigerian

A Stockholm court has cleared three neo-Nazis of stabbing a Nigerian man in an unprovoked attack. But two of the men will face jail after they were convicted of racial agitation at a riot. READ  

Julian Assange
Assange court ruling expected on Monday
Julian Assange at Ecuador's embassy in the UK. Photo: Anthony Devlin

Assange court ruling expected on Monday

WikiLeaks founder Julian Assange can expect the next court ruling on his case to take place on Monday October 27th in Stockholm. READ  

Politics
Sweden to get EU 'Christmas present'
Sweden's Prime Minister Stefan Löfven at an EU summit in Brussels this week. Photo: TT

Sweden to get EU 'Christmas present'

Sweden is set to get 1.2 billion kronor ($168 million) back from the EU on December 1st, according to leaked EU documents which suggest that other European countries will have to make large top-up payments this year. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Lifestyle
What's On in Sweden: October 24th - 31st
Gallery
People-watching: October 22nd
Gallery
In Pictures: Prince Carl Philip and Sofia Hellqvist
Lifestyle
Eight things to love about renting a Swedish apartment
National
Vasa ship cannon blasted in Sweden
Blog updates

24 October

Editor’s blog, October 24th (The Local Sweden) »

"Hi readers, Get ready to read our weekly digest of Swedish news in less than 60 seconds. The..." READ »

 

24 October

Is darkness weather? (Blogweiser) »

"I try very hard not to talk about the weather. This has come after a decade..." READ »

 
 
 
National
Sub hunt: Day-by-day
National
Sub hunt: Stockholm islanders share their fears with The Local
Sponsored Article
The best options for oversea transfers
National
Get 20% off unique Swedish homeware
National
Dentist gives free care to Roma beggars
Business & Money
Get your own office in Gothenburg or Stockholm - free for a day
Gallery
Property of the week: Malmö
Gallery
PHOTOS: 'Foreign activity' in Swedish waters
Gallery
People-watching: October 19th
TT
Society
QUIZ: How good is your Swedish?
Lifestyle
What's on in Sweden: October 17th - 24th
Society
The nudity... and nine other things expat men notice in Sweden
Gallery
People-watching: October 15th
Gallery
Your views: Should outdoor smoking be banned in Sweden?
Business & Money
Sweden has 'large hole' in finances
Sponsored Article
Introducing... Finding a job in Stockholm
Society
Monster salmon caught in northern Sweden
Gallery
Property of the week: Lorensberg
National
Scandinavia's child bride
National
Ebola crisis: How is Sweden preparing?
Business & Money
How Sweden is becoming a cashless society
Gallery
Stockholm Burlesque Festival 2014
National
How a little red horse became a symbol for Sweden
Gallery
People-watching: October 12th
Business & Money
The hottest start-ups from southern Sweden
National
What's on in Sweden: October 10th - 17th
National
Stockholm is 'best' region for well-being
Gallery
People-watching: October 8th
National
Five facts to know about Patrick Modiano
Society
My Swedish Career: A French fashionista in Sweden
Society
Swede's anti-bully Facebook tale goes viral
Society
Have you seen Sweden's viral subway cancer campaign?
National
Isis: Swedes linked to Turkish prisoner swap
National
Should Swedes be banned from buying sex abroad?
Gallery
Fredrik Reinfeldt's leaving presents
National
Five Swedish TV shows you shouldn't miss
Gallery
A tool belt, a casserole, and a book. Fredrik Reinfeldt's parliament gifts
TT
Lifestyle
Top five winter festivals in Sweden
TT
National
Sami reindeer herders win mine reprieve
Gallery
Property of the Week: Gamla Enskede
Sponsored Article
How to catch the first lobster of the year
Team SCA
Sponsored Article
All-female SCA team takes off on Volvo Ocean Race
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Germany

More news from Germany at thelocal.de

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

991
jobs available
Swedish Down Town Consulting & Productions
Swedish Down Town Consulting & Productions is an innovative business company which provides valuable assistance with the Swedish Authorities, Swedish language practice and general communications. Call 073-100 47 81 or visit:
www.swedishdowntown.com
PSD Media
PSD Media is marketing company that offers innovative solutions for online retailers. We provide modern solutions that help increase traffic and raise conversion. Visit our site at:
http://psdmedia.se
If you want to drink, that’s your business.
If you want to stop, we can help.

Learn more about English-language Alcoholics Anonymous in Sweden. No dues. No fees. Confidentiality assured.
AA-EUROPE.ORG/SWEDEN