Electromobility as a strategy of independence: why extending incentives until 2027 is a strong decision
Volodymyr Kreidenko, Ukrainian MP, deputy chairman of the Committee on Transpor
The decision of the Verkhovna Rada to extend tax incentives for importing electric vehicles until January 1, 2027, is more than just another fiscal relief measure. It is a signal that even in wartime, Ukraine is capable of thinking strategically - shaping its future with an eye toward energy security, economic efficiency, and social fairness.
At a time when our country remains in a state of military mobilization, any decision that reduces dependence on petroleum products is a decision in the field of national security. Every electric car that takes to Ukrainian roads means less imported fuel, lower foreign currency expenditures, and reduced vulnerability to global oil price fluctuations.
The preferential regime introduced back in 2018 laid the foundation for the birth of the electric vehicle market in Ukraine. Exemption from VAT, import duty, and a minimal excise tax lowered car prices by 25-35%. This made electric vehicles affordable for the middle class, transforming them from a luxury item into a practical means of transportation. Today, more than 80% of electric vehicles imported into Ukraine are used models purchased not by corporations but by ordinary citizens.
Had these incentives been canceled, the market would have come to an immediate halt. Prices would have risen by a third, making electric cars unaffordable again for most people. This would have harmed not only consumers but also businesses investing in charging infrastructure, logistics, and maintenance. That is why the Verkhovna Rada’s decision to extend the incentives was an act of economic prudence.
Today, thousands of charging stations operate across Ukraine, hundreds of service centers are open, and a whole ecosystem is forming around electric transport. This is not just a transport sector but a technological industry that creates jobs. It stimulates the development of related fields - from battery manufacturing to energy storage systems - which in the future could even strengthen regional energy independence.
It is also important to recognize that electromobility is not only about economics but also about the environment. Ukrainian cities rank among the most polluted in Europe. Old diesel transport remains the main source of particulate matter that we breathe every day. Every internal combustion engine replaced by an electric one means less smoke, less noise, and cleaner air. Lower pollution levels directly improve public health and reduce healthcare costs.
Maintaining these incentives also carries a social dimension. In a time of economic uncertainty, an electric car is a way for families to reduce expenses. Charging a vehicle costs on average 7-10 times less than refueling with gasoline or diesel. Lower maintenance costs mean less exposure to currency fluctuations since electricity is produced domestically. This fosters a more resilient consumption model and helps citizens adapt to difficult economic conditions.
The parliament’s decision to support the extension of incentives shows that Ukrainian leadership can act not situationally but strategically. All key political factions demonstrated an understanding that short-term savings cannot outweigh long-term development.
In times of war, every signal of stability is also a weapon. Ukraine continues on its course toward a modern, technological, and energy-independent economy. Extending incentives for electric vehicles is not just a tax decision it is a choice for the future. A choice for independence from oil, for clean air, stable revenues, and new jobs.
