This electric car clashes with the slow pace of government bureaucracy. Officials say that cutting emissions and promoting green mobility remain priorities for both the central administration and the Generalitat, yet the aid programs meant to encourage people to buy these vehicles do not move quickly enough to match the urgency claimed by policymakers.
Consequently, anyone hoping to swap an old car for a newer model, a plug-in hybrid, or a fully electric vehicle and qualify for grants of up to 7,000 euros offered by the administration should brace for delays. Dealers and agencies across the province say it can take a year and a half to receive the funds, assuming everything goes smoothly and all documents are in order, which is not always the case and often slows the process further.
“The timelines are illogical,” says the chair of the automotive association Faconauto, who notes that the lengthy wait may deter customers and even drive some firms to offer interest-free loans to keep buyers engaged. The extended processing times create a real risk that interest in the program will wane before the money arrives.
“Today we are still gathering documents for a file that was filed in January of last year,” complains the manager of a KIA dealership in Benidorm. Antonia Solo recognizes that this is a frustration shared by many buyers. “We keep warning customers not to be surprised, and we also bridge the gap with a grace period of a year while we await the subsidy,” explains a senior executive from the brand’s network, noting that the situation has made bestsellers in Korea popular in Spain.
— A photo caption: A user prepares to charge a vehicle in a parking lot in Elche. —
The delays also extend to processing offices, says Victor Selles of Gestar Gestores, who handles numerous files from both concessionaires and private buyers in the tourist hotspot of the Costa Blanca. “Typically, it takes 10 to 14 months to approve the benefit, and only then does the payment process begin,” he states, admitting that the sheer volume of required documents can be daunting. For those unused to dealing with administration, the burden can feel overwhelming.
In Alicante, there is a sense that buyers are watching the clock closely. In the Valencian Community, subsidy processing for electric cars falls under the Valencia Institute of Competitiveness (Ivace), with the regulatory framework drawn up by IDAE, the government body that ultimately governs the program and its budget. The process tends to unfold in two phases: the initial filing and approval for assistance, and the second where payment is justified after the subsidy has been green-lighted. Funds do not transfer until the entire procedure is completed.
A car charging in Benidorm — a second caption notes the image credit. —
Ivace says it is proposing changes to speed up the procedure, though progress has been limited. Officials also point out that Ivace pays a higher rate than some other communities and that, since last summer, there has been a concerted effort to streamline the processing of moves in order to accelerate approvals as much as possible.
Since Moves III was launched in the summer of 2021, Generalitat Valenciana reports about 8,000 applications across the Valencian Community, with roughly 4,000 approved, about 2,000 subsidized, and around 1,200 paid. In other words, only around 15 percent of applicants have actually received compensation to date, according to the regional balance sheet.
Under Moves III, the plan offers up to 7,000 euros for the purchase of an electric car or a plug-in hybrid when an older vehicle is scrapped in the same transaction. At the outset, IDAE allocated 30.5 million euros to Generalitat Valenciana to subsidize electric and plug-in hybrid vehicle purchases, a figure later increased by 22 million as demand surged. The higher amount was approved in March of the previous year after Ivace requested additional funding to meet rising interest.
The situation in the Valencian Community is not unique; delays are common across most autonomous communities. Faconauto’s Raul Morales criticizes the management of the program as insufficient and argues that it makes little sense to force buyers to wait so long when the objective is to promote vehicle adoption. He notes that high prices and limited charging infrastructure remain the main barriers to broader use of these models.
Regardless of the hurdles, progress in recent years has been notable. In Alicante province, 241 passenger cars, electric SUVs, and plug-in hybrids subsidized through the Moves III Plan moved from 2019 registrations to last year’s total of 2,405 units sold. The figure reflects a tenfold rise in transactions over four years, accounting for about 7.5 percent of the local auto market, according to data from Faconauto, Ganvam, and Anfac.
Electric cars in Spain: the nation has around 15,000 charging points, with expectations to reach about 100,000 by 2023. Non-conventional hybrids and microhybrids posted the strongest early growth, holding a 27 percent market share and concluding 2022 with 8,127 registrations. Petrol cars still dominate, but the balance is shifting, and diesel sales are shrinking as awareness and environmental concerns grow. The delay in subsidies remains a key pain point for dealers who often subsidized the discount themselves before receiving government reimbursement in earlier plans. Dealers report that customers have grown accustomed to these timelines, even if they wish the process moved faster. The Moves III Plan continues to offer a subsidy of up to 7,000 euros for the purchase of electric cars and plug-in hybrids when an older vehicle is scrapped in the same transaction.