Electric vehicles in Croatia.

Electric Vehicles in Croatia: A Greener Future

CO2 emissions have a big impact on our climate and environment. They contribute to the greenhouse effect and global warming, and around 25% of CO2 emissions come from the transportation sector. An electric vehicle (EV) is one that runs on electricity, either with a battery or as a plug-in hybrid. EVs are a promising solution, especially when powered by renewable energy, as they could be carbon-neutral. This makes them important in reducing the harmful effects of traditional vehicles on the environment, so…

…what are the EU Regulations on Gasoline and Diesel Cars?

The EU is taking major steps to phase out gasoline and diesel cars to reduce carbon emissions and encourage sustainable transportation. In March 2023, the EU passed a law requiring all new cars and vans sold in the EU to have zero CO₂ emissions by 2035. This includes a 55% reduction in CO₂ emissions from new cars between 2030 and 2034 compared to 2021.

As part of the EU, Croatia must follow these regulations. The Croatian government has already begun supporting this shift with Alternative Fuels Infrastructure and State Subsidies for EVs, trying to lower the cost of electric vehicles, and encouraging more people to switch to cleaner transportation, but…

…what is the current state of Electric Vehicles (EVs) in Croatia?

According to Key figures on European transport (Eurostat, November 2024), in 2023, electric-powered vehicles accounted for more than a quarter of all new passenger car registrations in Sweden (38.6%), Denmark (36.1%), Finland (33.8%) and the Netherlands (30.8%). By contrast, the share was below 5.0% in Croatia, Czechia, Poland, Italy and Greece.

Registrations of new passenger cars, by type of motor energy

Although the data we have just tabled are not encouraging, Croatia’s EV market is growing, with more charging stations and government support. In 2024, there were 63,806 new car registrations in Croatia, with 1,915 being battery-electric vehicles (BEVs). This is an 18.36% increase from 2023. EVs now make up about 3.0% of the market, up from 2.9% in the previous year. The Tesla Model 3 is the best-selling EV, with 371 units sold, followed by the Tesla Model Y with 225 units. Chinese brands like MG and Dongfeng are becoming popular, with the MG4 leading among them.

Even though, Croatia’s EV adoption is slower compared to some EU countries. For instance, Norway and the Netherlands are projected to have 99.9% of new car sales as electric by 2035. Croatia’s EV market share was 1.47% in 2020, with expectations to reach 28.25% by 2035.

But the transition to EVs presents some challenges in Croatia…

• Economic Impact: Shifting away from gasoline and diesel vehicles might affect jobs in traditional vehicle manufacturing and maintenance. And there’s no sustainability without taking the people into account.
• Infrastructure Development: To support more EVs, Croatia needs to improve its charging infrastructure, ensuring stations are easy to access.

So, in short, what are the Advantages and Disadvantages of EVs in Croatia?

Advantages

• Environmental Benefits:
  • Reduced air pollution: EVs produce no tailpipe emissions, improving air quality, especially in cities.
  • Less noise pollution: EVs are quieter than traditional vehicles, making urban areas more peaceful.
  • Lower greenhouse gas emissions: When charged with renewable energy, EVs cut down on greenhouse gases compared to traditional cars.
• Economic Benefits:
  • Government subsidies: Croatia offers subsidies to reduce the cost of EVs, making them more affordable.
  • Lower operating costs: EVs are cheaper to maintain and fuel, leading to savings over time.
  • Energy independence: EVs reduce reliance on imported oil, improving Croatia’s energy security.

Disadvantages

• Infrastructure Issues:
  • Limited charging stations: There aren’t enough charging stations, leading to concerns about running out of charge on long trips.
  • Longer charging times: Charging an EV takes more time than filling up a conventional car with fuel.
• Vehicle Limitations:
  • Shorter range: Many EVs can’t travel as far on a single charge, which may be inconvenient for long trips.
  • Weather performance: EVs may lose range and performance in extreme weather conditions.
• Economic Considerations:
  • High initial cost: Despite subsidies, EVs still cost more upfront than traditional vehicles.
  • Battery disposal: Recycling lithium-ion batteries can be challenging and has environmental impacts.
• Safety Concerns:
  • Battery safety: In the event of accidents, EV batteries can pose safety risks, including fires.

And what are the Governmental Policies and Future Projections?

The Croatian government is working to increase EV adoption with several key initiatives:

• Expanding Charging Infrastructure: Croatia plans to add 100-200 fast-charging stations by 2025, aiming to have a station every 60 kilometres on major roads. By 2030, they want charging stations to support 5% of the vehicle fleet being fully electric.
• Investment in Charging Stations: The Croatian Chamber of Commerce has started a €200 million investment to improve charging infrastructure by 2030, in line with the EU’s regulations.
• Purchase Incentives: In 2024, the Environmental Protection and Energy Efficiency Fund allocated €15 million to help subsidize the purchase of energy-efficient vehicles, offering up to €9,000 for BEVs.

These efforts are expected to boost EV adoption in Croatia, and by 2035, the share of electric vehicles in the new car market could be even higher than the expected 28.25%, possibly reaching levels similar to leading EU countries.

All things considered…

Electric vehicles offer both environmental and economic benefits in Croatia, but there are challenges such as limited charging infrastructure, higher purchase costs, and battery disposal issues. To make EV adoption successful, Croatia needs to continue investing in infrastructure, offering consumer incentives, and managing battery recycling. Additionally, transitioning to electric public transportation in Croatia could also have significant environmental and economic advantages. 

With ongoing government support and careful planning, Croatia can build a more sustainable and efficient transportation system. There appears to be a genuine commitment from the government to address this pressing issue. However, only time will tell whether the current measures are adequate or if the policies in place fall short of the ambition required to effectively tackle a problem that impacts us all—and demands immediate action. 

Let’s work together to create a greener future for generations to come.

*The opinions put forward in this article are the sole responsibility of the author(s) and do not necessarily reflect the views of the Federal Ministry for Economic Affairs and Climate Action (BMWK).