Government announces support of up to 80% to buy electric cars

The Portuguese Government has announced new support for the purchase of electric cars in 2027, with incentives that could cover up to 80% of the purchase price for lower-income families. The measure aims to make electric mobility more accessible and could cover around 20,000 vehicles.

But the new measures do not stop there. €50 million is also planned to encourage the purchase of electric cars by the general population, in addition to measures aimed at micro-enterprises and the development of charging infrastructure.

The new incentives were presented on October 28, 2026 by the Minister for Environment and Energy, Maria da Graça Carvalho, during the parliamentary debate on the proposed 2027 State Budget.

Support of up to 80% for lower-income families

One of the main new measures is the creation of an incentive programme specifically aimed at economically vulnerable families.

For the first time, the Government intends to provide support of this scale to facilitate access to electric cars for people with fewer financial resources.

According to information released by the Ministry for Environment and Energy, the State could cover up to 80% of the eligible cost of purchasing an electric car, based on values excluding VAT.

The information released points to a limit of €15,000, which could increase to €16,000 if a combustion-engine car is scrapped. However, the exact way in which these limits will be applied will still need to be confirmed in the official regulations.

To better understand the potential impact of this measure, consider a simple example: when purchasing an electric car with an eligible cost of €20,000, an 80% contribution would correspond to support of €16,000, leaving €4,000 to be paid by the buyer.

It is important, however, to stress that this is only an illustrative example. The actual award of the incentive will depend on the conditions and limits that are ultimately established.

The programme is expected to support the purchase of approximately 20,000 electric vehicles, seeking to reduce one of the main barriers to electric mobility: the initial investment required to buy a car.

Another new measure is the possibility of receiving up to €1,000 in support to install a home charging point, also based on values excluding VAT.

In this way, the incentive is not limited to the purchase of the vehicle and may also help make everyday charging easier.

Government allocates €50 million to encourage electric car purchases

In addition to the support aimed at lower-income families, the Government has confirmed its intention to maintain incentives for the purchase of electric cars for the general population.

The programme planned for 2027 will have a budget of €50 million, a significant increase compared with the €10 million made available in the 2026 scheme.

It should be remembered that previous incentives attracted very high demand, with the funding allocated to private individuals being exhausted within a few hours.

Under that scheme, private buyers could benefit from an incentive of up to €4,000 when purchasing new 100% electric passenger cars, provided they complied with certain price limits.

The maximum values established were €38,500 for cars with up to five seats and €55,000 for models with more than five seats.

For 2027, the Government intends to maintain rules similar to those of previous programmes. However, the individual incentive amounts and all eligibility conditions have not yet been confirmed.

The larger budget may make it possible to support a greater number of buyers, responding to growing demand for electric mobility solutions in Portugal.

When will applications for the new support open?

Despite the announcement, several questions still need to be clarified regarding the new incentives for purchasing electric cars.

In the case of the programme aimed at lower-income families, the eligibility criteria are still unknown, namely the income limits that will allow access to support of up to 80%.

It has also not been confirmed whether the incentives can be used to purchase new and used electric cars, nor which models will be eligible.

Another important issue concerns the possible scrapping of older vehicles. Although an increase in support is planned when a combustion-engine car is scrapped, the specific conditions still need to be defined.

As for applications, there is currently no official opening date. The timetables for the different schemes are still being prepared, and the relevant regulations must first be published.

Therefore, anyone considering purchasing an electric car using these incentives should follow the official information before making a decision, particularly because purchase eligibility has not yet been fully defined.

Micro-enterprises will also benefit from incentives

The new electric mobility support measures are not aimed exclusively at families.

The Government has also announced measures to support the purchase of up to 9,000 electric vehicles by micro-enterprises, seeking to facilitate the replacement of combustion-engine cars with 100% electric alternatives.

The initiative is part of the Social Climate Plan, which provides for a total investment of approximately €1.6 billion by 2032.

Measures are also planned to support the purchase of more sustainable heavy vehicles, the development of charging infrastructure and the use of electric buses in regions with low population density.

The aim is to contribute to more sustainable mobility, reducing dependence on fossil fuels and making the energy transition more accessible to families and businesses.

With the new incentives planned for 2027, purchasing an electric car could become more financially accessible for many Portuguese consumers.

Confirmation of the rules, amounts and application dates will now be the next step in determining who will be able to benefit from this support and under what conditions.

Sources: ECO, Turbo, Razão Automóvel, ACP