Market Trends of Norway Electric Vehicle Industry
Developing Charging Infrastructure in the Country May Boost the Market Growth
Norway's strong charging station network further benefited EV adoption by reducing the range anxiety of customers and allowing drivers to visit any place in the country without worrying. It is especially critical given the steep and sometimes remote landscape. To serve a network of over 480,000 EVs, Norway presently includes about 23,766 charging stations, with over 3,000 fast chargers. For better feasibility, the country contains a charging station in every 30 miles in the nation.
The Norwegian government agency Enova, which is in charge of funding and advising on energy and climate initiatives, funded NOK 50.5 million (USD 4.7 million) for fast-charging infrastructure, with 230 stations completed so far. It offered support to charging infrastructure projects.
A big component of Norway's EVSE investment strategy includes financial assistance for housing organizations to purchase and install chargers, with subsidies of 20-50% of the cost available in numerous locations.
Another element contributing to Norway's adoption success is the country's plentiful hydropower, which accounts for more than 90% of the country's electricity output. This clean energy source contributes to a steady power grid, allowing for a low-cost, dependable power supply for EVs. Norway's public charging stations benefit from a dependable power supply, as do the unusually high proportion of single-family residences that can charge an EV.
Every major route in the country now includes a rapid charging station. More than 4,000 automobiles can fast charge at the same time, eliminating the need for queues. Furthermore, the nation is working to build wireless charging infrastructure to facilitate the rise of electric taxis in the country. For instance,
- In March 2023, To achieve a zero-emission cab system by 2023, Oslo is expected to deploy wireless charging stations for electric taxis in the country. The project's goal is to implement wireless charging through induction technology. The initiative will be the country's first wireless fast-charging infrastructure for electric taxis, as well as aid in the advancement of wireless charging technologies for all EV drivers.
Such initiatives taken by the government of Norway are expected to drive market growth during the forecast period.
Government Incentives are Expected to Drive the Market
The Norwegian government took steps to accelerate the transition to electric vehicles. It was one of the first countries to establish tax breaks for EV purchases. Other consumer-oriented incentives to buy EVs followed, ranging from reduced road tolls to free municipal parking and bus lanes. These incentives were eventually phased off as EV use rose.
The Norwegian government designed a comprehensive package of incentives to encourage the market adoption of zero-emission automobiles. Regional administrations gradually gave incentives to accelerate the changeover, including zero road traffic insurance fees, purchase tax, VAT, and 50% of ordinary toll costs on highways and ferries.
With EVs accounting for more than 20% of passenger vehicles in the country, the country's acceptance of these EVs is exceedingly beneficial, resulting in rapid market development. Key automotive manufacturers restructured their business methods and offered customized products that aligned with the country's requirements. For instance,
- In December 2022, Hyundai Motor Norway announced that it would only sell plug-in hybrid and battery electric vehicle models such as Tucson Plug-In Hybrid and Santa Fe Plug-in Hybrid.
Hence, the initiatives mentioned above are expected to drive the market over the forecast period.
