<img src=https://nenpower.com/wp-content/uploads/2025/04/image-13098.webp alt=’How does Iceland’s EV adoption compare to other Nordic countries’ />
Iceland’s adoption of electric vehicles (EVs) is extremely strong compared to other Nordic countries. As of 2022, Iceland had the second-highest market share of electric vehicles globally, at around 60%, surpassed only by Norway. This high adoption rate can be attributed to several factors:
- Government Incentives: Iceland offers significant financial incentives, such as lowered taxes on CO2-free vehicles and the removal of VAT for EVs, making them more affordable.
- Renewable Energy: Iceland’s electricity grid is powered entirely by renewable energy, primarily geothermal and hydroelectric power. This means that driving an EV in Iceland produces virtually no greenhouse gas emissions, which aligns well with environmental concerns and is also cost-effective.
- Infrastructure Development: Despite initial limitations, Iceland has rapidly expanded its charging infrastructure to support a large number of EVs, facilitating their widespread use across the country.
In comparison, while other Nordic countries like Sweden and Norway also lead in EV adoption, Norway stands out with an even higher market share. Sweden and the Netherlands are among the leading EV adopters, but the specific percentages for Sweden are not as high as Iceland’s.
Key Statistics by Country:
- Iceland: Around 60% market share of electric vehicles as of 2022.
- Norway: The highest market share of electric vehicles globally.
- Sweden: Also a leader in EV adoption, though not as high as Iceland’s.
- Denmark: Not explicitly mentioned in the context of high EV adoption rates like Iceland or Norway, but generally supportive of EVs with incentives.
Overall, Iceland’s unique combination of renewable energy resources and government incentives has propelled its EV adoption to a leading position globally.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/how-does-icelands-ev-adoption-compare-to-other-nordic-countries/
