Lithuania is accelerating in the Electric Mobility Development
Lithuania is making remarkable progress in the field of electric mobility, with a constant rise in the number of electric vehicles (EVs) on its roads. Every month, an average of 500 new electric vehicles are registered in the country. Aistė Gasiūnienė, a representative from the Ministry of Transport and Communications, believes that this trend will continue to grow as the infrastructure for charging electric vehicles expands. In this article, we will explore Lithuania’s advances in the electric mobility sector and its commitment to sustainable transportation.
Lithuania’s approach to sustainable transport aligns closely with its neighboring countries. European agreements and the “Fitfor55” targets drive the shared commitment to reduce greenhouse gas emissions by at least 55% by 2030. This reduction is vital to help Europe become the world’s first carbon-neutral continent by 2050. Lithuania has set ambitious goals in national legislation to promote cleaner transport, including defining specific targets for the proportion of green vehicles in the transportation sector.
VAT Deduction on Purchases of Electric Cars
Starting from January 1, 2023, Lithuania has introduced a Value Added Tax (VAT) deduction for the purchase of electric vehicles (EVs), allowing buyers to potentially reduce the cost of EVs by up to €50,000 (including VAT). This recent amendment aims to stimulate the adoption of electric cars, with the hope of mitigating greenhouse gas emissions and helping Lithuania align with EU climate neutrality targets. This change marks a significant shift for Lithuania, which previously lagged behind other EU countries in providing incentives for EV ownership. The move is expected to bolster the EV market in Lithuania, which is already projected to grow by 23.64% from 2022 to 2027, resulting in a market volume of US$194.90 million in 2027. It’s part of a broader effort to encourage the transition to cleaner transportation and reduce the environmental impact of fuel consumption and carbon emissions in the country.
Leading the Baltic Region
Lithuania can be recognized as a leader in electric vehicle deployment and development among the Baltic countries. According to statistics, in 2022, Lithuania had the highest percentage of M1 and N1 class electric vehicles in its total vehicle fleet when compared to its Baltic neighbors. While it slightly lagged behind Latvia in terms of the percentage of electric vehicles among newly registered cars, Lithuania significantly outpaced Estonia.
Investments in Infrastructure
Lithuania’s primary electric vehicle charging infrastructure was initially established in five major cities, resorts, and along the main trans-European road network composed of E85, E67, and other nationally significant highways. These charging stations, located approximately every 50 kilometers, aim to facilitate electric vehicle travel. Between 2014 and 2020, 26 high-capacity public electric vehicle charging stations were installed along the Vilnius-Klaipėda, Vilnius-Panevėžys highways, and other key routes, supported by EU funding and in compliance with EU standards.
A. Gasiūnienė emphasizes that 17 Lithuanian municipalities used European Regional Development Fund resources to establish public electric vehicle charging access points. With this funding, municipalities planned to install 56 public electric vehicle charging stations, including 33 high-capacity stations and 23 regular stations. The number of public charging stations in Lithuania has increased almost threefold compared to 2021, primarily due to the growing private initiatives supporting public charging infrastructure development.
Rapid Growth and Future Plans
According to sociological research, 59% of electric vehicle users in Lithuania rely on their EVs for daily commutes, work, studies, and other purposes, covering distances of up to 50 kilometers. The market offers a range of electric vehicles capable of traveling 300 kilometers or more on a single charge. Lithuania currently has 16,750 registered electric vehicles, with 10,225 being pure electric vehicles.
Lithuania’s journey in electric mobility started in 2010 with the registration of the first electric vehicle. Since then, the number of these vehicles has significantly increased, especially in recent years with the introduction of financial incentives for electric vehicle purchases. In the period from the beginning of 2020 to 2022, the number of electric vehicles in the country increased sixfold, and in 2022 alone, it nearly doubled.
Looking ahead, Lithuania plans to further expand its public charging infrastructure, especially near key national roads, municipalities, gas stations, airports, seaports, bus and railway stations, and other locations essential for electric vehicle users. Approximately €90 million in EU funding is allocated to support these goals, with the expected launch of this initiative later this year. Currently, Lithuania boasts over a thousand public electric vehicle charging access points, and by 2030, with EU funding, they aim to stimulate the installation of over 6,000 additional public charging stations.
In conclusion, Lithuania is making significant strides in the electric mobility sector, both in terms of EV adoption and the expansion of the charging infrastructure. With its ambitious goals and commitment to sustainability, Lithuania is poised to continue leading the way in the transition to cleaner and more sustainable transportation options.