Hybrid cars “greener” than electric cars

19.03.2019 - 11:45
Hybrid cars “greener” than electric cars
The opposition is calling for a law amendment which ensures the same duty relief for hybrid cars as for electric cars
Hybrid cars use regular fuel and produce electricity during operation

The finance minister ought to propose new rules which put hybrid cars on a par with electric cars in terms of duty relief.

So says the majority of the Parliamentary Finance Committee, which is made up of opposition MPs.

The committee has also agreed to extend the VAT exemption on electric cars to cover next year too.

Independent from the electrical grid

The majority of the Finance Committee says that electric cars rely on electricity from SEV, which still uses oil to produce electricity.

Hybrid cars, on the other hand, produce their own electricity and are thus independent of SEV’s services. And since SEV is not producing green energy, they argue, a hybrid car is more environmentally friendly than an electric car.

This is why the opposition wants to put hybrid cars on equal terms with electric cars when it comes to duty relief.

One more VAT-free year

Later today, Parliament will vote on finance minister Kristina Háfoss’ proposal to extend the VAT exemption for electric cars to the end of 2020.

In February this year, there were 126 electric cars in the Faroes. When the VAT exemption on electric cars was introduced in 2008, there were no electric cars here.

BankNordik offers cheaper loans to people who buy electric cars, and the bank is planning to set up loading stations outside some of its branches across the country.

Translated by prosa.fo

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