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The Norwegian EV incentives: No purchase/import taxes (1990-) Exemption from 25% VAT on purchase (2001-) No annual road tax (1996-) No charges on toll roads or

• Dylan16807 6y ago
  On the other hand gas and diesel vehicles are effectively subsidized by getting to release CO2 for free.
  • seibelj 6y ago
    I wish it weren’t the case, but the mining of rare earth materials is quite hazardous as well as the electricity production that powers EVs. We are mostly moving the environmental damage to other places. However if we can get to renewable energy (nuclear power, as solar panel manufacturing has a lot of damage as well currently) then we can truly be carbon neutral. The best thing to say about EVs is that air quality in dense areas is better, at the cost of electricity being produced by dirty methods in (hopefully) more sparse areas.
    • TheSpiceIsLife 6y ago
      Am I right in believing an EV has a lower carbon output per unit distance than an ICE vehicle even if charged by thermal coal power?
      • mrkwse 6y ago
        Possibly, the relatively new Polestar marque has published it's transparency report about lifetime emissions, and references 'Global' and 'European' power mixes along with 100% wind in it's sums about after how many miles it will have produced less CO2 overall (inc. production emissions) vs. a ICE equivalent. Polestar's figures for the 2 are (vs the XC40 on the same underlying platform): Global power mix: 112,000 km (69,594 miles) European power mix: 78,000 km (48,467 miles) Wind power: 50,000 km (31,068 miles) The electrical emissions data comes from GaBi, but I can't see reference to the specific mixes they mention in the GaBi professional database, so I don't know what the exact breakdown of the mixes are.
        • TheSpiceIsLife 6y ago
          Thanks for the numbers. I didn't realise the numbers were so high! Many EVs will be carbon-better only once their second hand vehicles!
          • mrkwse 6y ago
            Sorry, forgot to post the link, which contains a reasonably detailed white paper alongside the headlines on the webpage: https://www.polestar.com/uk/electric-sustainability/transparency/ https://www.polestar.com/uk/electric-sustainability/transpar... I expect you're right about the equilibrium extending beyond the first owner in many instances. Volvos are renowned for their longevity (100,000mi is not uncommon) so will be interesting to see how Polestars fair with battery degradation. It would be interesting if Polestar go the way of Apple and try to recapture cars at end-of-life to recycle them and reduce subsequent generation car production emissions.
    • shajznnckfke 6y ago
      Doesn’t most of Norway’s power come from hydro?
      • seibelj 6y ago
        I don’t know, but Norway has profited immensely from oil and gas through their sovereign wealth fund, which is also used as a model for how other countries should establish social safety nets. If Norway was truly sorry, they should liquidate all of their oil profits and use it to invest in research to make a carbon neutral future. As it stands they ruined the environment and now will profit off the backs of the rest of the world through the legacy of their fossil fuel extraction.
        • virgilp 6y ago
          I doubt Norway is "sorry". Also, they're barely on the 13h place... what does US do, at the policy level? https://www.worldometers.info/oil/oil-production-by-country/ https://www.worldometers.info/oil/oil-production-by-country/ [edit] For all those who scale with population: it doesn't really matter for production. Population matters for consumption, and emissions (if they were producing 5% of US CO2, it would really look bad for Norway; but they don't - per capita the emit half than what US does per capita[1]). I guess it could matter in "benefit per capita"... if that were a thing (outside Norway maybe). I.e. how much did you benefit from US oil production, vs. how much Exxon benefited? I mean, yeah US citizens benefited from cheap gas - but that's because of middle-east production, so in reality the production elsewhere in the world should count on the US as "pollution". [1]https://ourworldindata.org/co2/country/norway?country=~NOR#per-capita-how-much-co2-does-the-average-person-emit https://ourworldindata.org/co2/country/norway?country=~NOR#p...
          • Someone 6y ago
            I think you should somehow scale that by country size. For example, there are about 5½ million Norwegians. I think that, in production per capita, only smaller countries such as Kuwait and Qatar score higher. Having said that, because of the law of large numbers, in any ranking scaled by size, the outliers typically are the smaller entities.
    • adrianN 6y ago
      Moving the environmental damage from "everywhere in the atmosphere", to mining sites and power plants is a good thing. Power plants can be replaced with carbon free energy sources, but synthetic fuels have such terrible efficiency that they only make sense for niche applications.
      • seibelj 6y ago
        I mean if you don’t care about African mines and Chinese rivers that factories dump their effluent into, sure. But there is absolutely an environmental cost, just less to the wealthy nations that pay to move the damage elsewhere.
        • dagurp 6y ago
          If you're talking about cobalt you should know that it's also used to refine oil. Battery makers are moving away from it and Tesla have already invented batteries that use no cobalt at all (see battery day)
        • tdrgabi 6y ago
          I think his point was that the damage moves from "everywhere" to certain places like factories and mines. Than you can add better filters/cleanup to the factories and mines. It's a simpler problem to tackle if you have a few thousands polluting agents than billions of polluting agents everywhere.
        • adrianN 6y ago
          Mining problems have the huge benefit that they're relatively localized and get a lot less severe when you choose to stop mining there. Fixing environmental problems from mining also doesn't require global coordination. Global warming on the other hand threatens the whole biome and stopping the release of CO2 doesn't stop global warming once tipping points are reached. You also need global agreement to meaningfully do something about it. (You also have to keep in mind that fuel for ICEs doesn't magically appear. Extracting oil and transporting it isn't particularly good for the local environment either.)
    • raxxorrax 6y ago
      Off topic: Nuclear power isn't renewable energy. If we keep it up and cannot find methods to extract it more efficiently, the current rate of consumption would consume conventional uranium reserves by 2080. Some say we can add 100 years for potentially undiscovered ones, but it is certainly limited. Especially if we increase usage further, currently NP just serves around 12% of energy worldwide. I know that NP is hip right now, but it really has its own problems at scale.
      • adrianN 6y ago
        At scale we'd probably switch to breeder reactors once fresh Uranium becomes too expensive. Normal reactors only extract a few percent of the energy in the fuel.
  • romanoderoma 6y ago
    That's not true. EU has very strict policies about emissions. The most immediate and obvious cost is not being able to drive those cars that do not respect the limits. Also: in many EU countries fuel is heavily taxed In Italy 75% of the price to the pump is taxes. Definitely not free.
    • garbagetime 6y ago
      Norway isn't a part of the EU.
      • romanoderoma 6y ago
        Does it matter if 700 million people are under the same rules if a country of 5 is not? ICE cars are not releasing CO2 for free, that's the point. in Norway gas is heavily taxed as well
      • Gwypaas 6y ago
        Too simple a take on the relations between EU and Norway, here is a more comprehensive view: https://en.wikipedia.org/wiki/Norway%E2%80%93European_Union_relations https://en.wikipedia.org/wiki/Norway%E2%80%93European_Union_... In short, as much part of EU you can be without being part of it. Norway keeps the freedom on key areas like fishing rights and agriculture while essentially being part of everything else without voting rights. And in some partnerships also having voting rights due to their structure.
        • garbagetime 6y ago
          >Too simple a take on the relations between EU and Norway It's just the truth. Norway is not a member of the EU. But I agree that it is good to have a strong understanding of what exactly the relationship is between Norway and the European Union.
          • Arnt 6y ago
            Some of you may be noticed that the EU tends to make decisions that are acceptable to the countries that pay.
  • Cthulhu_ 6y ago
    Free? Maybe in the US, but over here, 40-60% of the cost of fuel is taxes (Dutch source: https://www.unitedconsumers.com/tanken/informatie/opbouw-brandstofprijzen.asp https://www.unitedconsumers.com/tanken/informatie/opbouw-bra...). Bonus taxes ("accijns", also raised on alcohol and tobacco) makes up 12.2 billion of the country's income (https://www.rijksoverheid.nl/onderwerpen/prinsjesdag/inkomsten-en-uitgaven-van-het-rijk-2021); https://www.rijksoverheid.nl/onderwerpen/prinsjesdag/inkomst... at least a billion is spent on CO2 and nitrogen reduction, and reducing the dependency on natural gas in favor of electricity (that can be produced in a renewable fashion).
    • afwe 6y ago
      Why the downvotes?
    • Brakenshire 6y ago
      The taxes on fuel need to do a lot of heavy lifting, pricing in the cost of road building and maintenance, the effect of road congestion and air pollution in cities, and the effect of increased global warming. I’m sceptical they cover those factors. Although, it probably would be better to move more of the tax burden to car use in cities, and away from fuel. Driving a car in the countryside is much less damaging than in a city centre.
      • ClikeX 6y ago
        We also get taxed for owning the car itself (Road Tax). Which is meant for road maintenance in the Netherlands. We pay a lot of taxes.
        • adrianN 6y ago
          There are a number of studies that show that there are still many externalized costs for cars. A lot of course also applies to EVs (e.g. accidents, noise).
  • foolfoolz 6y ago
    not true, each gallon of gas has about 75¢ of state/federal taxes. this revenue is lost on evs
    • yread 6y ago
      Completely burning one gallon produces about 10kg of CO2. Sequestrating it would cost around 5$ at today's prices (500$/ton).
  • cbmuser 6y ago
    Electric vehicles cause much more CO2 emissions during production as compared to cars with internal combustion engines due to complicated manufacturing process of the battery. If you’re comparing CO2 emissions, you have to consider the full lifecycle.
    • atmosx 6y ago
      That's interesting, and self-defeating I might add! Do you have any data to share supporting the claim?
      • imtringued 6y ago
        https://www.allego.eu/blog/2019/october/circular-thinking--carbon-footprint https://www.allego.eu/blog/2019/october/circular-thinking--c...
    • harrygeez 6y ago
      Really fascinating if true
      • kashug 6y ago
        It is also something a lot of people keep saying, but I have never seen proper documentation for it. So at this point I just think it is people repeating rumors. But it would be interesting to read a proper documentation of it.
        • tonyedgecombe 6y ago
          Most of the reputable reports I've seen put the payback time at 12 to 18 months.
    • Swenrekcah 6y ago
      I can't help but feel the CO2 released by any manufacturing process is either: a) Due to the factory power source which will probably (hopefully) be renewable soon b) Due to some processing step where carbon capture should be a lot easier to perform than the direct air capture necessary to capture car emissions. So the method of emissions needs to be considered as well.
  • Swenrekcah 6y ago
    Not only CO2 but a lot of toxic fumes as well.
• kuu 6y ago
  > But don’t pretend it isn’t because taxpayers subsidize their success. I wish my government were doing the same here
• lnsru 6y ago
  I guess, there should be a good charging network in Norway too. 2 years ago I was looking for a car and no available chargers close to the house was a big show stopper. Closest one is like 0,5 mile away, that makes no sense.
  • reify_null 6y ago
    Norway has a decent charging infra, at least in the area where I'm at. It's been improving recently as well. Circle K (the petrol station chain formerly known as Statoil) has started installing chargers near where I live, so I would assume they are rolling this out nation wide. A lot of people have individual charging stations at their homes as well. I'm not sure of the state of charging stations in the smaller towns though.
    • 082349872349872 6y ago
      I had been assuming norway would have decent charging infra because I'd thought their parking lots already needed to be wired for engine heaters? Or are those only a swedish thing?
      • reify_null 6y ago
        I have never heard of this existing, but I'm living at a coastal area, far away from the swedes.
      • altacc 6y ago
        Some residential parking lots have these but they're not ubiquitous. They're often old or broken and not many people use them (modern cars are better engineered for winter starts). However the wiring for these cannot handle what an EV car chargers requires, so they're useless for charging a car. For EVs typically new charging points are installed and this can be costly. It depends upon if the residents' association agrees to pay for them to be installed.
  • lazyjones 6y ago
    > Closest one is like 0,5 mile away, that makes no sense. Really, you can't walk 1 mile once a week to park your car at a charger?
• ximeng 6y ago
  Reformatted to be more legible and some notes added. VAT is the largest item here, but others are potentially worth quite a bit too. Taxes: No purchase/import taxes (1990-) - would be 25% VAT, plus 2,400 NOK (260 USD) scrap duty tax, greenhouse gas tax for a/c of around 730 NOK (80 USD) No annual road tax (1996-) - would be approximately 2960 NOK (350 USD) 50% reduced company car tax (2000-2018), 40% (2018-) - company cars are provided as a benefit taxed at around 30% of list price otherwise, however there are reductions of 25% for all vehicles over three years or cars used for work driving of 40,000km per year Exemption from 25% VAT on purchase (2001-) Exemption from 25% VAT on leasing (2015) Tolls and Fares: No charges on toll roads or ferries (1997-2017) - typical ferry fare for a fjord is around 100 NOK (11 USD), tolls are around 20 NOK (2 USD), so this could be a significant benefit if living near a toll road or ferry crossing Maximum 50% of the total amount on ferry fares for electric vehicles (2018-) Maximum 50% of the total amount on toll roads (2019) Parking: Free municipal parking (1999-2017) Parking fee for EVs was introduced locally with an upper limit of a maximum 50% of the full price (2018-) Bus lanes: Access to bus lanes (2005-) New rules allow local authorities to limit the access to only include EVs that carry one or more passengers (2016) Vans: Fiscal compensation for the scrapping of fossil vans when converting to a zero-emission van (2018) Allowing holders of driver licence class B to drive electric vans class C1 (light lorries) up to 4250 kg (2019)
• inglor_cz 6y ago
  Also, very cheap electricity, one of the cheapest in Europe. Lots of empty mountains where it rains a lot and water can be stored in dams for power production.
• dzhiurgis 6y ago
  Meanwhile comparison NZ's(country where ~85% of power is renewable) EV incentives: - lowest yearly registration fee which will be changed into surcharge once over 2% of cars are EV (because they don't pay road taxes via fuel)...
• mywacaday 6y ago
  Or is it their sovereign wealth fund is effectively subsidizing their success?
• piokoch 6y ago
  I understand all this, Norway is able to print money as they sell oil (so others can freely emit CO2), and they don't really need those taxes, but this point: "Allowing holders of driver licence class B to drive electric vans class C1 (light lorries) up to 4250 kg (2019)" Is this a good idea? Is this save? There are C class driver licenses for a good reason, those heavy cars just behave differently on the road, there are different regulations for them. Sounds strange.
  • michaelt 6y ago
    > Is this a good idea? If you want electric delivery vans, yes. Delivery companies that own their own vans and pay their employees hourly are in price competition with 'gig economy' delivery companies where the driver brings their own vehicle and gets paid per-parcel - so traditional companies are limited in their ability to absorb or pass on higher costs. A diesel class B van with a 3.5 tonne weight limit, set up as a delivery van, can carry perhaps 1 tonne of cargo. In inner-city areas, where the density of deliveries is high, vans having a shorter range isn't a problem - but the vans will leave the depot at the absolute maximum weight capacity. If electric vans have 20% less cargo capacity due to the weight of the batteries? That's a profitable business turned into an unprofitable one. While there are some delivery companies (UPS for example) that use a lot of class C1 vans, and hire employees with the special licenses required, the supply of people with C1 licenses is much lower than the supply of people with B (i.e. car driver) licenses and the hourly wages are higher accordingly.
  • Qantourisc 6y ago
    Depends on why these C1 classes exist. But I reckon there is a difference between driving a heavy van, and driving a heavy loaded van. Or maybe they need to make a C0 ;) that has just enough of C1 to make it "safe" again.
• ArnoVW 6y ago
  It is true that Norway has an advantage, having the money to allow them to make this sort of investment. But rightly or wrongly, the entire economy is currently awash with credit to fight the pandemic-induced economic crisis. But money is not the only reason it has worked. Norway is generating 95% of their electricity using hydro. A KW/h is cheaper in Norway than it is in France (which is notoriously cheap due to nuclear). People want to have an electric car, because it makes sense for them. Once the economy is converted, they will reduce the incentives, and they will be in a very good place. Now we can say that that is also an unfair advantage (a geographic one). But they did build all those plants. Norway did play the long game. We can all continue to say that there are no solutions to climate change, or we can take a leaf from their book and start playing the long game. The best moment to plant a tree is 20 years ago. The second best moment is today. Wikipedia page on Norwegian Electricity sector: https://en.wikipedia.org/wiki/Electricity_sector_in_Norway https://en.wikipedia.org/wiki/Electricity_sector_in_Norway Eurostat statistics on electricity prices in Europe: https://ec.europa.eu/eurostat/statistics-explained/index.php/Electricity_price_statistics https://ec.europa.eu/eurostat/statistics-explained/index.php...
  • n0rge 6y ago
    They're already increasing some taxes from 2022 for EVs. Basically, EVs has to pay an insurance equivalent to what motorcycles pay. Which per now is 2135 NOK or USD 230. Governments writeup: https://www.regjeringen.no/no/aktuelt/pa-veg-mot-ei-framtid-med-meir-gron-transport/id2769316/ https://www.regjeringen.no/no/aktuelt/pa-veg-mot-ei-framtid-...