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The transition of EU economies to a climate-neutral growth model with zero net greenhouse gas emissions by 2050 is one of the European Commission's key objectives.
According to a report by the European Environment Agency, in 2019 the transport sector was responsible for around a quarter of the EU's carbon dioxide emissions, of which 71.7% came from road transport. Last October an agreement was reached between the European Parliament and Member States, adopted by the Parliament in February 2023, under which all new cars and semi-trucks registered in Europe will have to have zero emissions by 2035. So the transition to electrification is a fact. However, it must be ensured that the transition is fair and inclusive. Citizens will be affected because of the increased costs they will have to bear from the purchase of electric cars, and therefore the government will have to find ways to support them to enable them to cope with the new conditions imposed by green growth.
The Cyprus Economy and Competitiveness Council (CECC) recognizes the importance of the actions already being promoted by the Government in relation to electromobility and the achievement of the European target set for zero emissions from new cars and trucks by 2035.
- Subsidy on interest rates for loans for green cars
- Exemption from road tax
- Tax reduction for companies that (a) use electric cars and (b) provide charging points
- Subsidy of X amount to companies for car replacement
- Expansion of the network of chargers
- Creation of parking spaces specifically for electric cars
- Supportive policy: Improving public transport with a view to green transition and electrification.
The above recommendations are detailed in the EPA proposal. The full text of the proposal is also posted on the Council's website http://www.ecompet.cy.
(OP/EXP)
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