As part of Sweden’s continued efforts to promote equitable electrification, a new purchase subsidy has been proposed targeting households in rural municipalities with lower incomes. The initiative—distinct from previous scrappage or company car incentives—focuses specifically on supporting the direct adoption of electric vehicles (EVs) among underrepresented groups.

Key features of the proposed plan

The scheme introduces a monthly climate bonus to eligible private individuals who purchase or lease a new or used battery electric vehicle (BEV):

• Subsidy amount: SEK 1 500 per month, paid out over 36 months, totalling up to SEK 54 000
• Eligibility:
  • Private individuals living in 177 designated municipalities, generally characterised by lower population density and income
  • Applicants must not have owned or leased an EV or plug-in hybrid in the 12 months prior to application
  • Income must be 80% or less of the national median income
• Vehicle price limits:
  • Purchase price must be between SEK 54 000 and SEK 500 000
  • Leased vehicles must not exceed SEK 4 700 per month
• Conditions:
  • The vehicle must be retained for a full 36 months to avoid repayment of the subsidy
  • Residents who move to an eligible municipality must wait at least 4 months before applying

Implementation timeline

• The bonus is proposed to be introduced from 13 January 2026
• Applications will be accepted until 30 June 2029
• From 1 July 2028, the total bonus amount will be reduced to SEK 36 000

The proposed scheme is still under review and has not yet been finalised. The Swedish Environmental Protection Agency (Naturvårdsverket) is expected to lead its administration, subject to final approval and budget allocation by the national government.

Context and policy objectives

This climate bonus responds to persistent inequalities in EV adoption across Sweden. Uptake remains significantly higher in urban areas and among high-income groups. By addressing economic and geographic barriers, the proposed plan aligns with Sweden’s broader climate policy objectives—supporting transport decarbonisation while promoting social inclusion.

The initiative complements Sweden’s other EV-related support mechanisms, such as tax benefits for company cars, charging infrastructure investment programmes, and the scrappage-based incentive for low-emission vehicles. However, this new subsidy introduces a direct purchase support for private users who have so far been excluded from market participation.

If implemented, it could serve as a model for targeted EV support schemes in other EU Member States looking to ensure a just transition to zero-emission mobility.

Views and opinions expressed are those of the author(s) and do not reflect those of the European Commission.