€8,500 EV Grants Now Available in Ireland: ICE2EV Scheme Explained

€8,500 EV Grants Now Available in Ireland: Everything You Need to Know About the ICE2EV Scheme

Minister for Transport Darragh O'Brien announced on 3 June 2026 a new scrappage scheme that will help Irish drivers trade older petrol and diesel cars for brand-new electric vehicles. The ICE2EV Scheme launches 1 July 2026 and offers up to €8,500 in combined government support, the highest EV incentive package Ireland has ever offered.

If you own a car registered in 2013 or earlier, this could be your most affordable route to electric motoring. Here is everything you need to know.

What Is the ICE2EV Scheme?

ICE2EV (Internal Combustion Engine to Electric Vehicle) is a €10 million pilot programme designed to remove Ireland's oldest, highest-emitting cars from the road and replace them with zero-emission battery electric vehicles. The scheme is administered by the Sustainable Energy Authority of Ireland (SEAI) and funded through the Climate Action Fund.

According to the official government announcement, the programme targets nearly 235,000 vehicles on Irish roads that are 13 years old or older, many of them high-emitting petrol and diesel cars that cost significantly more to run than modern EVs.

How Much Can You Get?

€8,500 Total Support

The ICE2EV scheme stacks two separate grants:

Grant Type Amount What It Covers
ICE2EV Scrappage Grant €5,000 Permanent removal of your old car
SEAI EV Purchase Grant €3,500 Applied at point of sale by dealer
Total Available €8,500 Combined support per vehicle

Both grants are applied directly at purchase. The €5,000 scrappage payment must be used towards purchasing a qualifying new battery electric vehicle, and the €3,500 SEAI grant is deducted automatically by the dealer at the point of sale.

Additional Savings Beyond the Grants

On top of the €8,500 grant package, EV buyers also benefit from:

  • VRT relief up to €5,000 for vehicles under €50,000 (effectively zero VRT for EVs priced under €40,000)
  • Home charger grant €300 via SEAI for installation of a qualifying smart EV charger
  • Annual motor tax €120 (compared to €200 to €570 for comparable diesel cars)
  • Running cost savings €1,800 to €2,100 per year compared to diesel (at current fuel prices of €2.14 per litre)

Who Is Eligible?

To qualify for the €5,000 ICE2EV scrappage grant, you must meet all of the following criteria on the date of application:

Your Old Car Must:

  • Be registered in 2013 or earlier (13+ years old)
  • Have been registered in your name for at least 12 months prior to application
  • Hold a valid NCT certificate (or one expired by no more than six months)
  • Have been taxed and insured for road use during the six months prior to application
  • Be permanently scrapped through an authorised treatment facility

You Must:

  • Be purchasing a new battery electric vehicle (BEV) priced between €14,000 and €60,000 (note: this cap drops to €50,000 from 31 July 2026)
  • Be an Irish resident
  • Apply on a first-come, first-served basis (the €10 million fund is limited)

Important: Only battery electric vehicles (BEVs) qualify. Plug-in hybrids (PHEVs), standard hybrids, and hydrogen vehicles are not eligible.

Urban vs Rural Allocation

The €10 million fund is allocated based on where you live:

Area Type Allocation Amount Available
Rural areas 65% €6.5 million
Urban areas (Dublin, Cork, Galway, Limerick, Waterford) 35% €3.5 million

This split reflects higher car dependency in rural Ireland, where public transport options are limited. If you live outside the five major cities, you qualify under the rural allocation.

Critical Price Cap Change: 31 July 2026

From 31 July 2026, the maximum eligible vehicle price for the SEAI €3,500 grant drops from €60,000 to €50,000. This change is designed to focus government funding on affordable, small to medium EVs rather than premium models.

What this means:

  • Applications submitted before 31 July 2026 can claim the €3,500 grant on vehicles up to €60,000
  • Applications submitted after 31 July 2026 can only claim the grant on vehicles up to €50,000
  • The €5,000 ICE2EV scrappage grant is unaffected by this price cap

If you are considering a mid-range EV priced between €50,000 and €60,000, you must apply before the end of July to access the full €8,500 package.

Which Electric Cars Qualify?

The new €50,000 cap still covers the vast majority of EVs on the Irish market. Popular models that qualify include:

  • Dacia Spring (from €20,000) – Ireland's cheapest new EV
  • MG4 (from €29,995) – best-selling affordable EV
  • Volkswagen ID.3 (from €34,995) – compact hatchback
  • Nissan Leaf (from €37,995) – proven reliability
  • Hyundai Kona Electric (from €38,995) – family SUV
  • Kia Niro EV (from €39,995) – practical crossover
  • Volkswagen ID.4 (from €42,995) – spacious SUV
  • Tesla Model 3 RWD (from €44,990) – performance sedan

For a detailed breakdown of all affordable EVs arriving in Ireland in 2026, including range, charging times, pricing, and suitability for Irish conditions, read our complete guide: Affordable EVs Arriving in Ireland 2026: Complete Buyers Guide.

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How to Apply for ICE2EV

The scheme launches 1 July 2026 and operates on a first-come, first-served basis until the €10 million fund is exhausted. Based on the €5,000 per-vehicle allocation, this means the scheme can support approximately 2,000 applicants nationwide (1,300 rural, 700 urban).

Application Process

Full details will be published by SEAI ahead of the 1 July launch date, but the expected process is:

  • Check eligibility – Confirm your car is registered 2013 or earlier, has been in your name for 12+ months, and holds a valid or recently expired NCT
  • Choose your new EV – Select a qualifying battery electric vehicle priced under the applicable cap
  • Apply online via SEAI – Submit your application through the SEAI grants portal (seai.ie)
  • Purchase your EV – Complete the purchase with your dealer; the €3,500 SEAI grant is deducted at point of sale
  • Scrap your old car – Arrange permanent disposal through an authorised treatment facility
  • Receive €5,000 payment – The scrappage grant is paid directly

Critical timing note: Given the limited €10 million fund and significant public interest (EV sales are up 115% in May 2026), this scheme is expected to be heavily oversubscribed. If you meet the eligibility criteria, prepare your application in advance and submit on or immediately after 1 July.

Why Now? The Case for Switching in 2026

Record EV Sales and Market Shift

Ireland's EV market has reached a tipping point in 2026. According to the Society of the Irish Motor Industry (SIMI), battery electric vehicle registrations doubled in May 2026, with 2,335 BEVs registered compared to 1,086 in May 2025, a 115% increase year-on-year.

For the first time in Irish automotive history, electric vehicles (22.9% market share) are outselling diesel cars (12.9% market share) outright.

Fuel Cost Crisis Driving the Shift

Diesel prices hit €2.14 per litre in April 2026, triggering nationwide fuel protests. The cost gap between diesel and electric is now larger than ever:

Annual Driving Cost (20,000 km/year) Diesel EV (Night Rate) Annual Saving
Fuel/Electricity Cost €2,160 to €2,520 €240 to €300 €1,860 to €2,220

At current prices, diesel costs nearly six times more per kilometre than home EV charging on night rates. For a household driving 20,000 km per year, switching to an EV and charging overnight saves approximately €2,000 annually, or €20,000 over 10 years.

Smart Charging and Solar Integration

Modern EV chargers like the Zappi and Ohme Home Pro can automatically schedule charging during off-peak electricity rates (as low as €0.05 to €0.10 per kWh), cutting costs even further.

If you have solar panels installed, a smart charger can prioritise charging your EV using free solar electricity during the day. Combined with a home battery system, you can store excess solar energy and charge your EV overnight without drawing from the grid.

For guidance on setting up off-peak charging, see our guide: How to Set Up Your EV Charger to Charge During Off-Peak Hours.

The €8,500 Window May Not Last

Minister O'Brien's announcement makes clear that ICE2EV is a pilot scheme with limited €10 million funding. If the scheme proves popular, it may be extended in Budget 2027, but there is no guarantee.

Simultaneously, the SEAI €3,500 purchase grant and VRT relief (up to €5,000) are both confirmed only to 31 December 2026. Multiple industry sources describe 2026 as the last guaranteed year of full combined EV incentives before a Budget review.

The message is clear: 2026 represents peak incentive value for switching to electric in Ireland.

Home Charging: The Foundation of EV Ownership

With a home charger installed, you simply plug in overnight and wake up to a full battery every morning. Home charging costs as low as €0.05 to €0.10 per kWh on night-rate tariffs, compared to €0.56 to €0.68 per kWh at public fast chargers.

Home charging saves €1,500 to €1,800 per year compared to relying on public fast chargers.

Popular SEAI-approved home chargers include:

All WattCharger installations include full SEAI grant application support, Safe Electric certification, and best-in-class customer service. Get a free quote for your home EV charger installation.

Key Dates to Remember

Date What Happens
1 July 2026 ICE2EV scheme launches; applications open via SEAI
31 July 2026 SEAI grant price cap drops from €60,000 to €50,000
31 December 2026 SEAI €3,500 purchase grant and VRT relief confirmed only to this date (subject to Budget 2027 review)

Final Thoughts

The ICE2EV scheme represents the most generous EV incentive package Ireland has ever offered. For owners of older cars, particularly those struggling with rising diesel costs, the €8,500 combined grant makes electric motoring genuinely affordable and immediately accessible.

With EV sales surging 115% year-on-year, diesel collapsing to just 12.9% market share, and fuel prices at record highs, 2026 is the year Ireland's private car fleet tips decisively towards electric. The ICE2EV scheme accelerates that transition by targeting the oldest, highest-emitting vehicles still on the road.

If you own a car registered in 2013 or earlier, this is your opportunity. The fund is limited, the demand is high, and the financial and environmental case has never been stronger.

Ready to Make the Switch?

Thinking about switching to electric? WattCharger supports Irish drivers every step of the way, from choosing the right EV to installing your home charger with full SEAI grant support.

Get in touch for a free consultation and discover how much you could save by making the switch to electric. WattCharger is Ireland's trusted partner for EV charging, solar, and battery solutions, making EV EZ for thousands of Irish households nationwide.

 

Blog Author: Rowan Egan