Portugal’s State support for buying electric vehicles returns in 2025 with €17.6 million

State support for buying electric vehicles in Portugal is set to return once again before the end of this year. After confirmation last week that a new scheme would go ahead, key details have now emerged to clarify both the timing and the budget behind these incentives.

According to the information now confirmed, the new support will be financed by the Environmental Fund and will have a total allocation of €17.6 million, launching on 29 December. Applications will be open until 12 February 2026, although the process may close earlier if the available funding is used up in the meantime.

Retroactive eligibility for 2025 purchases

One of the most significant changes is that the incentive will be retroactive. It will cover electric vehicles purchased from 1 January 2025 onwards, ensuring that anyone who went ahead with a purchase at the start of the year will not be left out of the programme, despite the official notice being published later.

What are the conditions?

The framework will be similar to what was in place at the start of this year:

• It only covers new light passenger electric vehicles up to €38,500 (VAT included) for five-seat models, and up to €55,000 if the vehicle has more than five seats;
• You must hand in for scrappage a combustion-engine car that is more than 10 years old;
• The support is only valid for vehicles purchased and registered from 1 January 2025 onwards.

The incentive amount remains at €4,000 for private individuals and €5,000 for IPSS (Private Social Solidarity Institutions) or other charitable organisations. A total of 2,200 incentives are planned for light passenger vehicles bought by private individuals, along with 500 incentives allocated to IPSS.

Other Environmental Fund incentives included

In addition to electric cars, the scheme also covers electric bicycles (3,750 incentives) and conventional bicycles (545 incentives), as well as electric motorcycles, mopeds, tricycles and quadricycles (500 incentives), and EV chargers for multi-family residential buildings/condominiums (300 incentives). For further details on these supports, see the Environmental Fund’s page.

How can I apply for this support?

Applications are submitted exclusively online via the Environmental Fund website, and can be filed up to 45 calendar days from that date, or until the number of incentives runs out for the category you are applying under. You will need to provide the following documentation:

• Invoice and corresponding receipt of purchase dated after 1 January 2025, in the applicant’s name and showing the vehicle’s chassis number;
• Proof of registration in the beneficiary’s name, via the Vehicle Registration Certificate (if applicable);
• Proof of scrappage of a combustion-engine vehicle more than 10 years old, in the applicant’s name, completed after 1 January 2023;
• Personal identification: name and taxpayer identification number;
• Evidence of valid tax status showing the beneficiary is up to date with the Portuguese Tax and Customs Authority;
• Evidence of valid social security status showing the beneficiary is up to date with Social Security;
• IBAN.

If the applicant is a company, in addition to the documents above it will also be necessary to submit:

• A copy of the Commercial Registry Certificate or the access code for the permanent certificate;
• Identification of the company’s legal representatives (Citizen Card number or Identity Card number).

If the vehicle is purchased through finance leasing, you must submit a full copy of the contract showing a minimum duration of 24 months and a date after 1 January 2025, in the beneficiary’s name, and identifying the vehicle via its chassis number and registration. In addition, you must also provide the handover record (or an equivalent document) confirming the beneficiary is already in possession of the vehicle.

Applications must be submitted exclusively online; applications and supporting documents sent by any other method will not be accepted.

If you have any questions, you can consult the Environmental Fund’s official page where all the information is provided in full detail.