Ribera says that the Government is “open” to lower VAT on electric cars



The Vice President of the Government and Minister of Ecological Transition, Teresa Ribera, assured this Wednesday that the Government “has always remained open” to the reduction of VAT on electric vehicles to boost sales. In a virtual meeting organized by Nissan, Ribera stated that Spain «it is well below »in environmental tax burden compared to other European countries.

The vice president also recognized that Spain has “a very complex fiscal framework that sometimes generates different signals.” And he assured that, together with the Ministry of Finance, the Executive works to have a “much more congruent” scenario “quickly and agilely”. «Without a doubt, the element of taxation will be decisive“To boost mobility without emissions, he said.

The minister also pointed to other types of measures, such as the obligation to install recharging points in gas stations with high volume of sales and the establishment of low-emission zones in cities. He also advanced that the future Law on Mobility and Financing of Public Transport “will allow sending clear signals” on mobility.

Nissan, and also the automobile employer Anfac, have repeatedly claimed to lower 21 to 10% the tax rate for electric vehicles. According to the Japanese motor company, the measure could rapidly triple the market for this type of vehicle. The European Union establishes a harmonized list of products that can be beneficiaries of the reduced rate. The regulations have been in the process of reform since 2018, pending approval from all member states. Consulted by this newspaper, Nissan assures that Brussels has been consulted and that the community institutions have transferred that the initiative to lower the VAT on electricity depends on the Spanish State.

Bruno Matucci, CEO of Nissan Iberia, criticized Ribera for “that we have not yet reached a consensus in this regard in Spain” when “the European Commission itself proposes the modification of the VAT directive to achieve fair collection.” And he also highlighted that Spain only has 2.9% of the total recharging infrastructure for electricity installed in Europe, when it represents 10% of total vehicle sales and 15% of manufacturing. He also criticized the bureaucratic obstacles that delay “by up to nine months” the installation of a charging point, and assured that Spain needs more than 200,000 charging points by 2030, compared to the 6,000 that currently exist.

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