China leads the world in the adoption of electric vehicles, followed by the United States, while Norway surprisingly takes the third spot. Despite its population of around 5 million, Norway has managed to secure its position as the largest owner of electric vehicle fleets in Europe and the third-largest globally. This accomplishment is attributed to the robust incentives provided by the Norwegian government, serving as a valuable example for Indonesia's private sector.

Norway stands out as a prime example of effective electric vehicle regulations. Since the 1990s, the Norwegian government has offered significant financial incentives, including the abolition of import taxes in 1990, elimination of annual road taxes in 1996, and ultimately, the removal of a 25% value-added tax for electric vehicle purchases in 2001. Beyond financial incentives, electric vehicle users in Norway also benefit from non-financial policies, such as the allowance to use bus lanes since 2005. This means electric vehicle owners can navigate through traffic, avoiding congestion inaccessible to conventional fuel-powered vehicles, especially during peak hours. Overall, the incentives provided by the Norwegian government have proven highly successful in boosting electric vehicle sales in the country.

As of June 2019, Norway ranks third globally with 237,710 battery-electric vehicles and 104,657 hybrids. In March 2019, electric vehicles made an astounding contribution of 58.4% to the total car sales. In 2018, Nordic countries Iceland and Sweden secured the second and third positions globally, with percentages of 19.14% and 8.01%, respectively. The Netherlands claimed the fourth spot with 6.69%, followed by Finland in fifth place with 4.74%. Among developing nations, China stands out prominently, with 4.44% of new cars sold being electric, making China the sixth-largest country globally in terms of the percentage of electric cars within the total car sales.

 

Source: CFDS