Sources: Battery Industry.Net, The Portugal News, Electrive

The Portuguese government has launched a new national incentive programme to promote active and low-emission transportation, with a strong focus on two-wheelers, including electric bicycles, cargo bikes and motorcycles, and supporting infrastructure.

Backed by a €17.6 million budget and administered through the Portuguese Environmental Fund (Fundo Ambiental), the scheme applies retroactively from 1 January 2025 and covers both new and previously purchased vehicles.

Applications opened on 29 December and will remain available until 12 February 2026, or until the allocated budget is exhausted. The programme forms part of Portugal’s broader Green Mobility package, designed to encourage a shift toward cleaner, more sustainable modes of transport.

Strong support for bicycles and cargo bikes

A key part of the programme is financial support for bicycles, including cargo bikes, offering grants covering 50% of the purchase price, including VAT, with a maximum grant of €1,500 for electric cargo bikes and €1,000 for non-electric cargo bikes. Conventional pedelecs are eligible for grants of up to €750, while non-electric bicycles can receive up to €500.

Private individuals may apply for funding for one bicycle, while commercial entities are eligible to apply for subsidies for up to four vehicles. The government sees these incentives as a significant tool for reducing car dependency, particularly in urban areas, and to promote cycling as a viable alternative for everyday transport.

Incentives for other light electric vehicles

In addition to bicycles, the programme also supports electric motorcycles, mopeds, e-scooters, tricycles, and quadricycles. For these vehicles, the government provides grants covering 50% of the purchase price, including VAT, up to a maximum of €1,500 per unit. As with bicycles, private individuals may receive support for one vehicle, while commercial applicants can apply for funding for up to four units.

Investment in charging infrastructure

The incentive scheme also includes funding for the installation of charging infrastructure in multi-family residential buildings. Charging stations are subsidised at 80% of the retail price, up to a maximum of €800 per unit. Electrical installation works are also supported at 80% of the cost, capped at €1,000 per parking space. Funding is limited to one charging station per property owner, with a maximum of ten charging stations per residential building.

Supporting decarbonisation and green transition goals in Portugal

According to the Portuguese government, the measures are designed to support the decarbonisation of the transport sector, “which is responsible for the majority of carbon emissions in Portugal.” The overarching objective is to improve environmental quality, reduce emissions, and encourage the widespread adoption of sustainable mobility solutions.

Maria da Graça Carvalho, Portugal’s Minister for Environment and Energy, said: “We are committed to reducing emissions in the transport sector and everyone has a responsibility to make the best choices. The government is responsible for encouraging decarbonisation, helping people anticipate the green transition.”