Incentives for promoting Battery Electric Vehicle (BEV) adoption in Norway

•We investigate the role of incentives in promoting BEVs in Norway.•Purchase taxes are most critical in promoting BEV purchase.•To 84% of BEV owners VAT and purchase tax exemption is sufficient.•Different incentive groups promote adoption in different user groups. Norway has become a global forerunn...

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Bibliographic Details
Published in:Transportation research. Part D, Transport and environment Transport and environment, 2016-03, Vol.43, p.169-180
Main Authors: Bjerkan, Kristin Ystmark, Nørbech, Tom E., Nordtømme, Marianne Elvsaas
Format: Article
Language:English
Subjects:
Buses (vehicles)
Education
EV adoption
Incentives
Lanes
Markets
Pricing
Public policy
Reduction
Transport
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Summary:•We investigate the role of incentives in promoting BEVs in Norway.•Purchase taxes are most critical in promoting BEV purchase.•To 84% of BEV owners VAT and purchase tax exemption is sufficient.•Different incentive groups promote adoption in different user groups. Norway has become a global forerunner in the field of electromobility and the BEV market share is far higher than in any other country. One likely reason for this is strong incentives for promoting purchase and ownership of BEVs. The purpose of this study is to describe the role of incentives for promoting BEVs, and to determine what incentives are critical for deciding to buy a BEV and what groups of buyers respond to different types of incentives. The questions are answered with data from a survey among nearly 3400 BEV owners in Norway. Exemptions from purchase tax and VAT are critical incentives for more than 80% of the respondents. This is very much in line with previous research, which suggests that up-front price reduction is the most powerful incentive in promoting EV adoption. To a substantial number of BEV owners, however, exemption from road tolling or bus lane access is the only decisive factor. Analyses show that there are clear delineations between incentive groups, both in terms of age, gender, and education. Income is a less prominent predictor, which probably results from the competitive price of BEVs in the Norwegian market. Perhaps most interesting is the assumed relation between incentives and character of transport systems the respondents engage in.
ISSN:1361-9209
1879-2340
DOI:10.1016/j.trd.2015.12.002