Regions

Poland

Electromobility market in Poland

Poland is the largest automotive market in the CEE region with a fleet of almost 10% of the EU’s car and van fleet and almost 18% of trucks. At the end of 2022, only 0.3% of vehicles registered in Poland were equipped with an electric drive. This results from, among other things, the relatively late implementation of instruments favouring the development of e-mobility by public administration.

The key legislation regulating the Polish zero-emission transport market is the Act on Electromobility and Alternative Fuels, which has been in force since 2018. The act introduces basic definitions, defines the roles of key participants in the e-mobility market, imposes obligations on central administration and local government units to electrify the fleet and develop public charging infrastructure, regulates the establishment of clean transport zones, and implements a catalog of incentives aimed at EV buyers and users.
At the end of 2022, the fleet of passenger and commercial BEVs in Poland numbered around 34,000 vehicles, and the number of newly registered passenger BEVs was 11,300 vehicles (an increase by 84% YOY). Zero-emission vehicles in Poland are exempt from excise duty and their users have, among other things, the right to drive on bus lanes and to park for free in toll zones.
In 2020, pilot programmes to subsidise the purchase of BEVs were introduced in Poland, while in July 2021, the “My EV” program was launched by the National Fund for Environmental Protection and Water Management, providing subsidies of up to PLN 27,000 (cars) and up to PLN 70,000 (vans). The National Fund for Environmental Protection and Water Management also launched a charging infrastructure subsidy program at the beginning of 2022. At the end of 2022, there were approximately 2,600 public charging stations (more than 5,000 points) in Poland. The number of newly installed charging points was over 1,200 (an increase by 8% YOY).
The early stage of development of zero-emission transport, the size of the automotive market, as well as significant human capital and industry capabilities (e.g. with regard to the production of lithium-ion batteries, electric buses or charging stations) make the potential of the Polish e-mobility sector really significant. According to projections, by 2030 the total number of passenger and commercial vehicles registered in Poland is anticipated to surge nearly 28-fold compared to the figures of 2022, while the network of public charging points will increase by almost 20 times.
The e-mobility industry is currently undergoing rapid growth in Poland. Companies operating in Poland are engaged in various areas of the e-mobility sector. This includes the mining and processing industry, primarily copper, the production of zero-emission vehicles and their components and software, as well as the electricity, service, and recycling industries.
Two areas deserve special mention. The battery industry is the first one. According to BNEF, Poland is the leader of the li-ion battery supply chain in Europe and the runner-up worldwide, with a 6% share of the total global production. The other important area is the production of electric buses. From 2017 to 2022, Poland accounted for 27.4% of all e-buses exported from the European Union to various markets worldwide. Based on projections, the e-mobility sector may account for up to 6% of Polish GDP by 2050.

Czech Republic

The Czech Republic boasts a robust manufacturing base for electric vehicles. Every 10^th vehicle produced in the country is equipped with an electric drive. The Czech Republic lacks a comprehensive statutory act specifically regulating the e-mobility market. The regulatory framework in the e-mobility sector relies on a multitude of strategies, laws and political plans.

In 2022, a total of approximately 15,500 EVs were registered in the Czech Republic (an increase by 58% YOY), and the number of newly registered passenger BEVs was approximately 3,900 vehicles (an increase by 47% YOY). The advancement of the EV fleet in the Czech Republic is notably driven, in part, by the subsidy system for EV purchases, established under the National Environmental Program. Furthermore, EV users in the Czech Republic enjoy an exemption from road tax. Entrepreneurs can anticipate a decrease in the tax base for BEVs and PHEVs (from 1% to 0.5% of the gross catalog price per month) and a reduction in the depreciation period for wallboxes, free-standing charging stations and relevant electricity distribution equipment (from 10 to 5 years).
As the vehicle fleet grows, the expansion of the charging infrastructure continues. At the end of 2022, there were approximately 1,400 public charging stations (2,600 points) in operation in the Czech Republic. The number of newly installed charging points exceeded 770 (an increase by 42% YOY). The number of BEVs in the Czech fleet is expected to increase to around 52,000 by 2025 and reach 188,000 by 2030.

Slovakia

Slovakia stands out in the CEE region in the area of e-mobility, primarily because of its developed automotive industry. Approx. 1.6 out of 10 vehicles produced in the country are equipped with an electric drive. Slovakia lacks a comprehensive statutory act specifically regulating the e-mobility market. The regulatory framework in the e-mobility sector relies on a multitude of strategies, laws and political plans. In 2022, a total of approximately 6,000 EVs were registered in Slovakia (an increase by 62% YOY), and the number of newly registered passenger BEVs was approximately 1,400 vehicles (an increase by 26% YOY).

The government in Bratislava decided to introduce a support scheme for buyers of zero-emission vehicles in 2016. The call was renewed in 2019. Slovakia also has other incentives targeting BEV buyers, such as tax privileges. Concurrently with the growth of the EV fleet, the expansion of the charging infrastructure in Slovakia is underway. As of 2022, there are operational AC charging stations at 576 locations and DC charging stations at 331 locations. The number of locations where charging infrastructure was deployed in 2022 was 347 (an increase by 334% YOY). The expansion of charging infrastructure in Slovakia is supported by the E-Mobility Action Plan, with a budget of EUR 46 million.
Slovakia – as an emerging e-mobility market – has significant potential for further fleet electrification. Based on projections from the Slovak electric vehicle association SEVA, the passenger BEV fleet in Slovakia will increase to 22,000 vehicles by 2025 and will reach 213,000 vehicles by 2030.

Lithuania

Lithuania stands out in the CEE region for having the highest share of EV registrations (5.32%) in the new vehicle fleet. The key legislation regulating the Lithuanian zero-emission transport market is the Act on Electromobility and Alternative Fuels, which has been in force since 2021. The act introduces basic definitions, defines the roles of key participants in the e-mobility market, imposes obligations on central administration and local government units to electrify the fleet and regulates the Sustainable Mobility Fund, which aims to financially support the implementation of alternative fuel sector investment projects.

At the end of 2022, the fleet of passenger and commercial BEVs in Lithuania numbered around 7,300 vehicles, and the number of newly registered passenger BEVs was 1,400 vehicles (an increase by 17% YOY). Since 2022 Lithuanians have been able to apply for subsidies for the purchase of new and used EVs from the Modernisation Fund, whose budget for 2022-2026 is EUR 50 million. The amount of subsidies for individuals has been set at EUR 5,000 (new vehicles) and EUR 2,500 (used vehicles), while the amount for businesses is set at EUR 4,000.
In Lithuania, e-mobility receives support through various tax concessions and exemptions. EV users can also benefit from parking fee discounts or exemptions in many cities. At the end of 2022, there were approximately 428 public charging stations (900 points) in operation in Lithuania.

Hungary

Hungary serves as a significant research and development centre in the CEE region, attracting substantial investment from the battery industry. At the end of 2022, Hungarian lithium-ion battery production capacity was 38 GWh, placing the country among the world’s leading battery producers. Hungary lacks a comprehensive statutory act specifically regulating the e-mobility market. The regulatory framework in the e-mobility sector relies on a multitude of laws, regulations and political plans.

At the end of 2022, the BEV and PHEV fleet numbered around 64,000 vehicles, and the number of newly registered vehicles was approx. 9,600 (an increase by 51% YOY), with 4,700 BEVs.
Hungarian EV buyers are exempt from the registration fee and vehicle tax. Companies are also entitled to an exemption from company vehicle tax. In numerous towns and cities, local authorities have opted to waive parking fees for EVs and may grant them access to restricted traffic zones, including areas of outstanding natural beauty.
Since 2016, several calls have been made in Hungary for a program of financial support for the purchase of EVs for both individuals, companies and public institutions. Concurrently with the growth of the EV fleet, the expansion of the charging infrastructure in Hungary is underway.
At the end of 2022, there were approximately 2,200 public charging stations (nearly 4,500 points) in operation in the country. The number of newly installed charging points in 2022 was 644 (an increase by 17% YOY).