Electric vehicle costs expected to rise amid tax hikes and new EU charging rules

Popular electric vehicles in Denmark face significant price increases due to upcoming tax hikes scheduled for after the new year. Mobility Denmark has urged the government to halt these increases to support the green transition. Calculations from FDM suggest a Tesla Model Y Long Range could see a price rise of nearly 28,000 DKK, while a VW ID. 4 Style may increase by approximately 10,300 DKK.

Separately, new European Union regulations will phase out the cheapest electric vehicle charging boxes by January 1, 2027. Under the Alternative Fuels Infrastructure Regulation (AFIR), all newly installed home chargers must comply with the EN ISO 15118-20:2022 communication standard. This digital protocol enables 'Plug & Charge' functionality and two-way charging, allowing vehicles to supply power back to homes or the grid.

While these advanced features offer greater convenience and grid stability, the requirement for more complex hardware is expected to drive up costs for consumers as basic, non-communicative models are removed from the market.