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European Alternative Fuels Observatory

Latvia

Incentives and Legislation

The incentives and legislations section is updated for 2025, published on 18th April 2025, representing the situation as of that date. Major changes of incentives and polices are updated on a rolling basis from that date onwards.

Incentives and legislation that aim to increase uptake of alternative fuels vehicles and infrastructure.

If you know of other national or local incentives that should be included in this section, please send us an email, or use the button on the right, and let us know. We review the proposed changes and implement the updates on a short notice. 

Purchase Subsidies

As of 2025, there are no active national purchase subsidies for BEVs in Latvia. The previous subsidy program, which was introduced in 2021, has been discontinued.

Registration tax benefits

Electric vehicles (EVs) are exempt from the registration tax.

Ownership tax benefits

If emiting less than 50 g CO2/km, all vehicles, including cars, goods vehicles, buses, and motorcycles, are exempt from payment of the Vehicle Operation Taks (registration tax). 

Company tax benefits

BEVs have a minimum rate of €10.

Local incentives

Electric vehicles are permitted to travel along public transport lanes, parking for free in Rīga and Liepāja parking lots, and entering Jūrmala without a fee.

VAT Benefits

No VAT reduction.

Are you aware of further incentives you want to bring to the Observatory's attention? Let us know by filling in this form.