The Government of Spain has announced an additional funding of €400 million for the PLAN MOVES III, extending the initiative until December 31, 2025. This renewed support is seen as a significant step for the automotive sector and potential electric vehicle buyers, as it reactivates public subsidies aimed at encouraging the purchase of less polluting vehicles.

The plan had been on hold following the collapse of the omnibus decree earlier in the year.

Under this extension, individuals, freelancers, and public entities will once again be able to access the existing subsidies without changes to the program’s basic requirements.

Notably, the renewal includes two key enhancements: the aid is retroactive to January 1, 2025, and it allows for a tax deduction of up to €3,000 on income tax.

While the MOVES III plan does not implement direct discounts at the point of vehicle purchase—an adjustment the sector continues to advocate for—it maintains current subsidy amounts and broadens eligibility for more beneficiaries.

Autonomous communities will manage the applications, with funds allocated by the Ministry of Ecological Transition through the IDAE.

The eligibility criteria for receiving support under the PLAN MOVES III stipulate that the electric vehicle, whether new or semi-new (less than 12 months old), should not exceed €45,000 excluding VAT, or €53,000 for vehicles with 8 or 9 seats.

The subsidies range from €2,500 to €7,000 depending on the vehicle type and whether an older vehicle is scrapped:

- Electric cars with over 90 km of range: €4,500 without scrappage, €7,000 with scrappage.

- Plug-in hybrids with a range between 30 to 90 km: €2,500 to €5,000 based on whether an old car is turned in or not.

- Hydrogen fuel cell vehicles: also between €4,500 and €7,000 depending on scrappage.

- Electric or hybrid vans: up to €9,000 if an old combustion vehicle is replaced.

- Electric motorcycles (≥70 km range): between €1,100 and €1,300.

- Quadricycles: from €1,400 to €2,000 based on type and whether scrappage applies.

Additionally, there is a mandatory discount of €1,000 that dealers must provide at the time of purchase.

Also, an extra 10% in subsidy is available if the buyer is a person with reduced mobility, resides in a municipality with fewer than 5,000 inhabitants, or if the vehicle will be used as a taxi or VTC.

To apply for these aids, residents must submit their applications through their respective autonomous community, which manages the processing.

In some cases, dealers may handle the application process; however, some regions require that the user submits the necessary documentation personally.

Required documents include:

- A copy of the national identity document or residence permit.

- Purchase order or vehicle budget.

- Certificate of residence.

- For freelancers, registration in the business census.

- Declarations confirming compliance with tax obligations and social security, and that they have not received similar aids.

- Supporting documentation if belonging to special condition groups (disability, taxi, VTC).

Once the information is validated, the ministry may request additional documents:

- Purchase invoice and proof of payment.

- Technical data sheet and circulation permit.

- Bank account number for transfers.

- If scrapping a vehicle, a deregistration certificate, old permit, and proof of circulation tax payment since 2020.

Although the government has pledged more efficient processing, waiting times may range from 18 to 24 months, depending on the autonomous community.

It is also noted that these aids must be declared as part of wealth gains in the personal income tax for the year in which they are received.