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IDEA Study: Luxembourg EV Subsidies Effective but Stronger Measures Needed to Reach 2030 Goal

03.12.2025 - Chronicle.lu

In the press

On Wednesday 3 December 2025, the Luxembourgish think tank IDEA presented its new study on the objectives and effectiveness of environmental incentives, focusing specifically on electromobility, at a press conference at the House of Entrepreneurship in Luxembourg-Kirchberg.

This study examines the actual effectiveness of Luxembourg's financial incentives for electromobility and the challenges to overcome in order to achieve the objective set by the National Energy and Climate Plan (NECP): a fleet composed of 49% electric and plug-in hybrid vehicles by 2030. Despite a favourable context and substantial subsidies, the current pace of growth would not allow Luxembourg to reach this objective, the study found.

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