Electric vehicle subsidies in Valencia face protracted processing times

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Electric vehicle incentives face lengthy delays in the Valencian Community

Electric cars collide with slow-moving bureaucracy. While central and regional authorities signal green mobility as a priority, the aid plans to promote electric and plug-in vehicles remain far from agile in practice. Users hoping to swap older cars for plug-in hybrids or electric models encounter a bureaucracy that stretches time and effort rather than speeding up the process.

Refurbishing a vehicle and applying for the Moves III grants, which can reach up to 7,000 euros, often requires patience. The administration asks for meticulous documentation, and payments may take from a year to 14 months to finalize, according to dealerships and agencies consulted by this publication. Any missing or incorrect paperwork can extend the wait even more, turning a hoped-for subsidy into a drawn-out ordeal.

Industry voices call the delays illogical. The fear is that long waiting times deter buyers. Some firms even propose interest-free loans to keep customers moving forward, hoping to counterbalance the friction caused by the funding wait.

One dealership manager in Benidorm noted the ongoing paperwork and the January startup date of many cases. Antonia Solo understands the frustration, explaining that the aim is to offer a grace period while funds come through. The situation is shared by several executives, who describe it as a recurring bottleneck affecting best-selling brands in Spain.

Photographs show a user charging a vehicle in a parking area in Elche, a visible reminder of the practical side of the transition to electric mobility.

Victor Selles of Gestar Gestores confirms a common timeline: typically 10 to 14 months to approve the benefit, followed by payment. He acknowledges that the required documents can be numerous, and for those unfamiliar with administration, the process can feel like climbing a mountain.

Used car sales in Alicante vs. new car sales

Dealers point to the practical hurdle: a reimbursement for the vehicle cannot be issued from a joint account; ownership must be clear and aligned with the recipient. In the Valencian Community, subsidies for electric cars flow through the Valencia Institute of Competitiveness, Ivace, with regulatory bases prepared by IDAE. The program and its budget depend on this framework, and the processing occurs in two phases: the first where the subsidy is requested and approved, and the second where payment is justified after approval. Funds are released only after the entire process is complete.

Another photograph shows a car charging in Benidorm as a reminder of the ongoing adoption and infrastructure needs.

Strengthening

The regional authorities insist they are working to speed up the procedure, though success has been limited. They also note a higher payment rate than in some other communities and claim that adjustments since last summer have strengthened the process as much as possible.

Since the Moves III initiative began in mid-2021, Ivace has received around 8,000 requests in the Valencian Community. About half have been approved, with roughly 2,000 subsidies issued and 1,200 payments made. In plain terms, only a fraction of applicants have completed the cycle and received funds.

The Moves plan offers up to 7,000 euros to buyers who trade in an old car for an electric vehicle or plug-in hybrid

Initial allocations included a budget of 30.5 million euros for the Valencian Government to subsidize electric and plug-in hybrid purchases. The total budget was later raised to 52.5 million euros due to high demand, and the boost was allocated in March of the previous year at Ivace’s request. Yet the reality of delays is shared across many autonomous communities, a concern voiced by Faconauto’s Raul Morales. He argues that slow management undermines the policy goal of encouraging more buyers to switch to cleaner vehicles. He also notes that the upfront cost of electric models remains a barrier, alongside the ongoing need for more charging infrastructure.

In Alicante province, progress is visible: 241 electric and plug-in hybrid vehicles were registered under Moves III in 2019, with 2,405 units sold last year. The rate of transactions has risen tenfold in four years and now accounts for about 7.5 percent of the province’s total auto market, according to trade associations.

Electric cars in Spain: charger networks and market shifts

Non-conventional hybrids and microhybrids led market gains in 2022, holding a 27 percent share with 8,127 registrations. Despite gains, traditional petrol still dominates sales, while diesel’s share fell to 12.46 percent due to rising concerns about pollution and older model performance. The overall transition has encountered delays, especially for subsidies, where the direct discount model of past programs is no longer in place, shifting the payment burden to buyers as recipients. This explains why some dealers report customers being patient as they await government funds. The Moves III plan continues to offer up to 7,000 euros for electric car purchases and plug-in hybrids when an older vehicle is scrapped in the same operation.

Progress remains notable. In Alicante, for instance, electric cars and plug-in hybrids benefited from Moves III, with a gradual rise in registrations since 2019. The broader market response shows electric mobility gaining traction, even as administrative hurdles persist.

[Source attribution: Ivace, IDAE, and regional trade associations] Additional data and updates come from regional authorities and industry groups monitoring the program’s effectiveness.

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