Financial aid for the purchase of an electric or hybrid vehicle

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Summary:

You can claim a subsidy for the purchase of an electric or hybrid vehicle under certain conditions.

In order to encourage you to opt for electromobility and active mobility, thereby rendering transport cleaner in the long run, you can apply for a subsidy for the purchase of a vehicle (car, van, quad, etc.) which must be:

  • pure electric; or
  • powered by a hydrogen fuel cell; or
  • a plug-in hybrid electric vehicle with CO2 emissions of 50 g/km or less.

On 19 June 2024, the Government Council adopted a draft Grand Ducal regulation aimed at extending by 3 months (from July to September 2024) and under unchanged conditions the 'Klimabonus Mobilitéit' financial aid scheme for the promotion of zero-emission CO2 road vehicles, subject to the finalisation of the legislative and regulatory procedures.

The extension applies to vehicles for which the sales contracts are concluded no later than 30 September 2024 inclusive and where the vehicle is brought into service for the first time in Luxembourg no later than 30 September 2025 inclusive.

With respect to vehicles for which the date of conclusion of the sales contract, or, in the case of leasing, of the rental or leasing contract, is between 1 October 2024 and 30 June 2026 inclusive, and where the vehicle is first brought into service in Luxembourg at the latest on 30 June 2027 inclusive, new rules (granting conditions and amounts) apply for the subsidies.

For more information please consult the press release published on 16 June 2024.

New financial aid in the amount of EUR 1,500 for used cars that are at least 3 years old has been introduced, provided that the recipient of the aid owns the car for at least 2 more years and does not belong to the same household as the seller of the vehicle.

This financial aid is available for vehicles for which the date of conclusion of the sales contract is between 1 October 2024 and 30 June 2026 inclusive, and which have not yet been registered abroad.

Who is concerned

Any physical person who is the holder or keeper (titulaire or détenteur) of a vehicle registered in Luxembourg, whether they are resident or non-resident.

In case of a rental or leasing contract, the subsidy can be paid to you as the holder or keeper of the vehicle as stated on the registration certificate or on the contract, provided that:

  • the owner of the vehicle waives the subsidy;
  • the vehicle is registered in Luxembourg.

As a non-resident, you can obtain this subsidy in the following ways:

  • within the framework of a leasing contract, as the holder or keeper of the vehicle. In that case, the owner of the vehicle as stated on the registration certificate is the leasing company which has to be headquartered in Luxembourg;
  • with regard to the time frame: you may have moved, and therefore not be a resident any more, between the date of first registration and that of the application for financial aid.

Prerequisites

Date of first registration

The subsidy is granted for vehicles which have never been registered abroad and which are brought into service in Luxembourg for the first time:

  • between 1 January 2019 and 31 March 2025 inclusive (for pure electric or hydrogen fuel cell vehicles); or
  • between 1 January 2019 and 31 December 2021 inclusive (for plug-in hybrid electric vehicles). This period is extended to 31 December 2023 when the vehicle meets all of the following conditions:
    • the conclusion of the sales contract or, in the case of leasing, the rental or leasing contract for the vehicle is no later than 30 September 2021;
    • the original delivery date of the vehicle, as stated in the sales contract or, in the case of leasing, in the vehicle rental or leasing contract, is no later than 31 December 2021.

Date of registration

The vehicle must be registered in your name no later than 6 months after the vehicle's first entry into service.

The aforementioned 6 month deadline is extended to 12 months if the date of conclusion of the sales contract, or in the case of leasing, of the rental or leasing contract of the vehicle, is on or after 1 April 2022.

Conclusion date of the contract

The conclusion of the sales contract or, in the case of leasing, the rental or leasing contract for the vehicle, must take place no later than:

  • 30 June 2024 for a pure electric or hydrogen fuel cell vehicle; or
  • 31 December 2021 for a plug-in hybrid electric vehicle.

Holding period

You must remain the owner, holder or keeper of the vehicle for at least:

  • 7 months from the date on which the vehicle was registered, if the date of conclusion of the sales contract for the vehicle is before 1 April 2022;
  • 12 months from the date on which the vehicle was registered, if the date of conclusion of the sales contract for the vehicle is after 31 March 2022;

Deadlines

You can apply for the subsidy:

  • no earlier than 7 months after the date on which the vehicle was registered in your name, except for vehicles for which the date of conclusion of the contract of sale (or, in the case of leasing, of the rental or leasing contract) occurred after 31 March 2022. In this case, the application must be submitted no earlier than 12 months after the date on which the vehicle was registered in your name; and
  • at the latest 3 years after the first entry into service of the vehicle.

The 7 or 12 month period does not apply if you are the owner of the vehicle.

How to proceed

Submitting the application

The subsidy for sustainable mobility can be applied for:

  • online using MyGuichet.lu; or
  • by post.

Application via MyGuichet.lu

In order to submit your application online, you:

  • need an authentication product (LuxTrust, eID or eIDAS); and
  • have to create a private eSpace on MyGuichet.lu.

Anyone with a private eSpace on MyGuichet.lu which is linked to their mobile app can also submit their application using the mobile app.

Application by post

The application form (see 'Online services and forms') and supporting documents must be sent to the following address:

Administration de l'environnement
Subsides et aides financières
1, avenue du Rock'n'Roll
L-4361 Esch-sur-Alzette

Should you have problems opening the application form in PDF format, please visit the following help page: 'Downloading and filling in a PDF form'.

Supporting documents

You must also enclose with your application:

  • the registration certificate stating the type of vehicle;
  • the vehicle's certificate of conformity (COC);
  • a copy of the rental or leasing contract identifying the car via its vehicle identification number (only if the application is submitted by the holder or keeper of the vehicle, or if the application is for a leased or rented vehicle);
  • the vehicle owner's declaration of renunciation (to be attached only when the holder or keeper makes an application via MyGuichet.lu for a vehicle that is the subject of a rental or leasing contract);
  • for quadricycles, motorcycles, light motorcycles and mopeds, a receipted invoice stating:
    • the invoice number and date;
    • your first name and surname;
    • the type of vehicle;
    • the purchase price excluding VAT;
  • a copy of the sales contract of the vehicle if:
    • the date of signature of the sales contract is between 11 May 2020 and 30 June 2024 inclusive;
    • the vehicle is brought into service for the first time between 1 April 2021 and 31 March 2025 inclusive.

Amount of the subsidy

The subsidy is granted by the Ministry of the Environment, Climate and Biodiversity.

Financial aid varies according to the date of conclusion of the sales contract (or, where applicable, the rental/leasing contract) and the date the vehicle was put into service.

Pure electric or hydrogen fuel cell vehicle

If the vehicle was first put into service between 1 January 2019 and 10 May 2020 inclusive, the amount of the financial aid is:

  • EUR 5,000 for passenger cars and vans;
  • up to EUR 500 for the following 100 % electric vehicles:
    • quadricycles;
    • motorcycles;
    • light motorcycles (125 cm3);
    • mopeds (scooter or pedelec45).

In the case of mopeds however, the aid is limited to 25 % of the purchase price excluding VAT and cannot exceed EUR 500.

If the vehicle is first put into service between 11 May 2020 and 31 December 2023 inclusive and the date of conclusion of the sales contract, or in the case of leasing, of the rental or leasing contract of the vehicle, is between 11 May 2020 and 31 March 2021 inclusive, the amount of the financial aid is:

  • EUR 8,000, without exceeding 50 % of the purchase price excluding VAT, for passenger cars and vans;
  • up to EUR 1,000 for the following 100 % electric vehicles:
    • quadricycles;
    • motorcycles;
    • light motorcycles (125 cm3);
    • mopeds (scooter or pedelec45).

In the case of mopeds however, the aid is limited to 50 % of the purchase price excluding VAT and cannot exceed EUR 1,000.

If the vehicle is first put into service at the latest on 31 March 2025 inclusive and the date of signature of the sales contract, or, in the case of leasing, of the rental or leasing contract of the vehicle is between 1 April 2021 and 30 June 2024 inclusive:

  • the amount of the subsidy for a pure electric vehicle is:
    • EUR 8,000, without exceeding 50 % of the purchase price excluding VAT, for passenger cars with an electrical energy consumption not exceeding 180 Wh/km;
    • EUR 8,000, without exceeding 50 % of the purchase price excluding VAT, for passenger cars with an electrical energy consumption exceeding 180 Wh/km, provided that:
      • the vehicle has at least 7 seats, including the driver's seat; and
      • the applicant for financial aid (in the case of a rental or leasing contract, the holder or keeper of the vehicle registered on the vehicle registration certificate or identified on the rental or leasing contract) is a natural person who is part of a household of at least 5 persons;
    • EUR 3,000, without exceeding 50 % of the purchase price excluding VAT, for passenger cars that do not meet the criteria described in the previous point;
    • EUR 8,000, without exceeding 50 % of the purchase price excluding VAT, for vans.

If the vehicle is first put into service at the latest on 31 March 2025 inclusive and the date of signature of the sales contract, or, in the case of leasing, of the rental or leasing contract of the vehicle is between 1 April 2022 and 30 June 2024 inclusive:

  • the amount of the subsidy for a pure electric vehicle is:
    • EUR 8,000, without exceeding 50 % of the purchase price excluding VAT, for passenger cars with an electrical energy consumption not exceeding 180 Wh/km;
    • EUR 8,000, but not more than 50% of the purchase price excluding VAT, for passenger cars with an electrical energy consumption not exceeding 200 Wh/km and a maximum net power of its propulsion system not exceeding 150 kilowatt;
    • EUR 8,000, without exceeding 50 % of the purchase price excluding VAT, for passenger cars with an electrical energy consumption exceeding 180 Wh/km, provided that:
      • the vehicle has at least 7 seats, including the driver's seat; and
      • the applicant for financial aid (in the case of a rental or leasing contract, the holder or keeper of the vehicle registered on the vehicle registration certificate or identified on the rental or leasing contract) is a natural person who is part of a household of at least 5 persons;
    • EUR 3,000, without exceeding 50 % of the purchase price excluding VAT, for passenger cars that do not meet the criteria described in the previous point;
    • EUR 8,000, without exceeding 50 % of the purchase price excluding VAT, for vans.

The electrical energy consumption is determined during the WLTP test cycle as stated either in the European certificate of conformity or in another equivalent certificate issued by the vehicle manufacturer or an authorised representative and recorded in the national road vehicle database.

  • up to EUR 1,000 for the following 100 % electric vehicles:
    • quadricycles;
    • motorcycles;
    • light motorcycles (125 cm3);
    • mopeds (scooter or pedelec45).

In the case of mopeds however, the aid is limited to 50 % of the purchase price excluding VAT and cannot exceed EUR 1,000;

  • in the case of a hydrogen fuel cell vehicle, the amount of the subsidy is EUR 8,000, without exceeding 50 % of the purchase price excluding VAT, for passenger cars and vans.

Plug-in hybrid electric vehicle with CO2 emissions of 50 g/km or less

For vehicles first put into service after 1 September 2020, the combined CO2 emission value determined according to the Worldwide Harmonised Light Vehicle Test Procedure (WLTP) is taken into account.

If the first entry into service of the vehicle:

  • is between 1 January 2019 and 31 December 2021 and the date of conclusion of the sales contract, or in the case of leasing, of the rental or leasing contract of the vehicle, is no later than 31 March 2021 inclusive, the amount of the subsidy is EUR 2,500 for passenger cars and vans;
  • occurs no later than 31 December 2021 inclusive, and the date of conclusion of the sales contract, or in the case of leasing, of the rental or leasing contract of the vehicle, is between 1 April 2021 and 31 December 2021 inclusive, the amount of the subsidy is EUR 1,500 for passenger cars and vans.
  • occurs no later than 31 December 2023 inclusive and the date of conclusion of the sales contract, or in the case of leasing, of the rental or leasing contract of the vehicle, is between 1 April 2021 and 31 September 2021 inclusive, and the date of the initially planned delivery of the vehicle, as stated in the sales contract, or in the case of leasing, in the rental or leasing contract of the vehicle, is no later than 31 December 2021, the amount of the subsidy is EUR 1,500 for passenger cars and vans.

Cumulation of subsidies

As an individual, you can combine the subsidy for the above vehicles with the subsidy for the purchase of a pedal-assist bicycle or of a bicycle.

These subsidies cannot be combined with tax deductions for sustainable mobility.

Online services and forms

Who to contact

  • Environment Agency Environment Agency - Subsidies and Financial Aid

    Address:
    1, avenue du Rock'n'Roll L - 4361 Esch-sur-Alzette Luxembourg
    Email address:
    car-e@aev.etat.lu

Related procedures and links

Procedures

Applying for a subsidy for the purchase of an electric or hybrid vehicle as a legal person

Links

Further information

Opt for eco-mobility

on Klima-Agence website

Legal references

Règlement grand-ducal modifié du 7 mars 2019

portant introduction d’une aide financière pour la promotion des véhicules routiers à zéro ou à faibles émissions de CO2

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