Ireland's EV Scrappage Scheme Explained (ICE2EV 2026)
⚠️ Important: The ICE2EV scheme is a €10 million pilot running on a strict first-come, first-served basis. When the fund runs out, it closes. Rural and urban allocations are separate pots — once one is exhausted, no more applications from that category will be accepted. If you qualify, don't delay.
What is the ICE2EV scrappage scheme?
The ICE2EV (Internal Combustion Engine to Electric Vehicle) scheme is a new Irish government incentive that offers €5,000 to private motorists who permanently scrap a qualifying older petrol or diesel car and buy a new battery electric vehicle (BEV) in its place. It is administered by the Sustainable Energy Authority of Ireland (SEAI) and launched on 1 July 2026.
The €5,000 scrappage payment stacks directly on top of the existing SEAI purchase grant of €3,500, bringing the total available state support to €8,500 — the highest combined EV incentive Ireland has ever offered.
How much is the scrappage grant and what other grants can I stack it with?
The total support available under the ICE2EV scheme breaks down like this:
- €5,000 — the new ICE2EV scrappage payment, for permanently scrapping a qualifying older car
- €3,500 — the existing SEAI EV purchase grant, available on all new battery electric vehicles priced between €14,000 and €60,000 (reducing to a €50,000 cap from 31 July 2026)
- €600 — the SEAI home charger grant, available separately if you need to install a home charger alongside your new EV
- Up to €5,000 — VRT relief, already built into advertised EV prices in Ireland. You don't claim this separately; dealers factor it in at the point of sale.
Together, that adds up to €14,100 in potential state support for a qualifying buyer who also needs a home charger installed. The scrappage payment and EV grant are deducted directly from your invoice by the dealer — you never need to handle the grant money yourself.
ℹ️ DoneDeal insight: VRT relief is already included in the advertised on-the-road price of new EVs in Ireland, so you won't see it listed separately on a showroom quote. When comparing an EV against a similarly priced petrol or diesel car, you're already benefiting from this relief even before the grant is applied.
Do I qualify for the ICE2EV scrappage scheme?
Your old car must:
- Be a petrol or diesel passenger car registered in 2013 or earlier (any car on a 131 plate or older qualifies)
- Be registered in your name for at least 12 months before you apply
- Be currently taxed and insured
- Have an NCT that is either valid, or has expired no more than six months before your application date
- Be permanently scrapped — not sold on, not donated, not traded in to someone else's fleet
You, as the buyer, must:
- Be a private individual (the scheme is for private passenger cars only — business/fleet vehicles do not qualify)
- Be buying a brand-new battery electric vehicle (BEV) registered from 262 plates onwards
- Use an SEAI-registered EV dealer for the purchase and the scrappage
A few important exclusions to note: plug-in hybrid electric vehicles (PHEVs) do not qualify as the scrapped car, and PHEVs do not qualify as the replacement vehicle either. The scheme is strictly for full battery electric vehicles on both ends of the transaction. Existing EVs or hybrids cannot be scrapped under this scheme.
⚠️ Watch out: Your old car must be scrapped — not traded in. If a dealer offers to take your qualifying old car as a trade-in rather than scrap it, you will not receive the €5,000 scrappage payment. Make sure you confirm in writing that the car is being permanently destroyed through an authorised treatment facility before any money changes hands.
How does the rural vs urban split work?
This is one of the most important practical details of the scheme, and one that most coverage glosses over.
The €10 million fund is split into two separate pots based on your Eircode:
- €6.5 million (65%) is ring-fenced for applicants living outside the five main cities
- €3.5 million (35%) is ring-fenced for applicants living in Dublin, Cork, Galway, Limerick, or Waterford
Your urban or rural classification is based on your Eircode, using CSO Census 2022 definitions. This matters for two reasons. First, if the rural pot runs out, rural applicants can no longer apply — even if there is still money left in the urban pot, and vice versa. Second, drivers in smaller towns and rural areas are explicitly prioritised by the design of this scheme, reflecting the reality that people outside the cities tend to drive older cars, spend more on fuel, and have fewer alternatives to car ownership.
The rationale is sound. A household in rural Roscommon driving a 2010 diesel that does 25,000km a year will save far more from going electric — and face a much larger financial barrier to doing so — than a city commuter who clocks 8,000km a year.
ℹ️ DoneDeal insight: If you live outside the five main cities and have a car from 2013 or earlier, you are in the priority category for this scheme. The rural pot is €6.5 million — enough to fund roughly 1,300 vehicles. That sounds like a lot, but there are tens of thousands of eligible older cars in rural Ireland. Don't wait.
How do I apply for the ICE2EV scheme?
You do not apply directly to the SEAI. The entire process runs through an SEAI-registered EV dealer. Here is how it works in practice:
- Step 1 — Find a qualifying new EV priced between €14,000 and €50,000 (from 31 July) at an SEAI-registered dealer. The vast majority of new EV dealers in Ireland are registered with SEAI, but it's worth confirming before you visit.
- Step 2 — Bring your documents to the dealership: your vehicle log book (V5), proof of ownership for 12 months, current motor tax and insurance documents, and your NCT cert or recent NCT expiry date.
- Step 3 — The dealer validates your eligibility and processes the scrappage and grant paperwork with SEAI on your behalf.
- Step 4 — The €8,500 is deducted from your invoice at the point of sale. You pay the balance.
- Step 5 — Your old car is collected and permanently destroyed through an authorised treatment facility. You'll receive a Certificate of Destruction.
Applications open in early July 2026. Check the SEAI website (seai.ie) for the exact date and the official list of registered dealers.
ℹ️ DoneDeal insight: Even if you're buying a new EV, it's worth checking DoneDeal Cars for nearly-new or pre-registered models that carry over the previous owner's warranty and can be significantly cheaper than a showroom list price. Note however that the scrappage scheme only applies to brand-new vehicles — a nearly-new or used EV does not qualify for the €5,000 scrappage payment.
What new EVs can I buy under the scheme?
The government has been explicit that this price cap reduction is designed to focus support on small and medium-sized vehicles rather than larger, more expensive models. That's a deliberate shift. Popular models likely to remain fully within scope include the Volkswagen ID.3, Renault Scenic E-Tech, Peugeot E-208, Opel Astra Electric, Kia EV3, and the Skoda Elroq, among others. Some larger or higher-spec variants of SUVs may fall outside the new €50,000 cap.
Is it actually worth it? What are the real savings from going electric?
The grants make the switch more affordable, but the full picture includes running costs too. For most Irish drivers with an older petrol or diesel car, the numbers strongly favour making the switch — particularly for higher-mileage drivers.
On running costs, a typical petrol car costs roughly €2,000 per year in fuel for a driver covering 17,000km annually at current pump prices. The equivalent in electricity, charged primarily at home on a night or EV rate, comes to around €780 per year for the same distance. That's a saving of around €1,200 per year in fuel alone before you factor in lower servicing costs (EVs have no cambelt, no exhaust system, no engine oil changes) and significantly lower motor tax (€120 per year for a BEV vs €180–€750+ for a petrol or diesel depending on engine size and emissions).
At those figures, a driver switching from an older car to a new EV is looking at total running cost savings of €1,000–€1,500 per year. Over seven years, that's €7,000–€10,500. Stack that against the €8,500 grant benefit and the case for switching — for anyone doing reasonable mileage — is hard to argue against.
The honest caveat: the maths is less compelling for very low-mileage drivers. If you're doing fewer than 8,000km a year in a frugal older petrol car, your annual fuel saving will be more modest, and the payback period on the higher upfront cost of the new EV will be longer.
What's the catch? What are the scheme's limitations?
The ICE2EV scheme is genuinely useful, but it has real limitations that deserve honest coverage.
Scale. The €10 million fund will support roughly 2,000 vehicles. There are approximately 235,000 EVs on Irish roads today against a 2030 target of around 936,000. Moving 2,000 older cars to electric is meaningful for those 2,000 households, but it's a drop in the ocean at a national level.
First come, first served pressure. Running a scheme on a first-come, first-served basis incentivises speed rather than considered decision-making. Buyers who rush to beat the queue without fully researching their EV choice or reading their finance terms are the people most likely to regret it. The scheme is designed to run until the money runs out — and it will likely run out faster than the government expects, which is partly the point (demand signals a larger scheme in 2027).
New cars only. The restriction to brand-new EVs shuts out buyers who might be better served by a well-priced nearly-new EV. A two-year-old EV with 20,000km, full warranty remaining, and a price €8,000–€10,000 below the new car equivalent is a genuinely smart purchase that the scrappage scheme ignores entirely.
No support for used EVs on DoneDeal. If you're scrapping a 2012 diesel and hoping to use the €5,000 towards a three-year-old EV that you found on DoneDeal, you can't. The scrappage payment is locked to new car purchases through registered dealers.
The old car must be scrapped. You won't receive trade-in value for the old car on top of the scrappage payment. That older car has been removed from the equation entirely. For some buyers, a car in reasonable condition has a private sale value on DoneDeal that could match or exceed the €5,000 scrappage payment — in which case selling privately and using a personal loan or green loan to buy a nearly-new EV might leave you better off overall.
What other EV supports are available in Ireland in 2026?
The ICE2EV scrappage scheme is new, but it sits alongside a wider set of EV supports that have been in place for several years:
- SEAI EV purchase grant: Up to €3,500 on new BEVs priced between €14,000 and €60,000 (€50,000 from 31 July). Available to all buyers — you do not need to scrap a car to access this grant.
- VRT relief: Up to €5,000 already built into new EV pricing in Ireland.
- Home charger grant: €600 towards the installation of a home charger, available through the SEAI to any new EV buyer who owns or is buying their home.
- Motor tax: €120 per year — the lowest band available.
- Toll reductions: Zero-emission vehicles qualify for the lowest toll category on Irish motorways and toll roads.
- Green car loans: A growing number of Irish banks and credit unions offer reduced APR loans specifically for EV purchases — often 2%–5% lower than standard personal loan rates. If you need to finance part of the purchase after grants, always ask your bank and credit union for their green loan rate before accepting a standard rate.
ℹ️ DoneDeal insight: The SEAI home charger grant is a separate application from the car purchase grant. You'll need a registered SEAI contractor to install the charger. Allow a few weeks for installation — plan ahead if you want charging set up before the car arrives.
Frequently Asked Questions
What is the ICE2EV scrappage scheme?
The ICE2EV (Internal Combustion Engine to Electric Vehicle) scheme is a new Irish government incentive offering a €5,000 payment to private motorists who permanently scrap a petrol or diesel car registered in 2013 or earlier and buy a new battery electric vehicle in its place. It is administered by the SEAI, runs from July 2026, and is a €10 million pilot on a first-come, first-served basis.
How much can I get for scrapping my old car for an EV in Ireland?
You can receive up to €8,500 in total state support: €5,000 from the new scrappage payment and €3,500 from the existing SEAI EV purchase grant. Both are deducted directly from your invoice by an SEAI-registered dealer. On top of this, VRT relief of up to €5,000 is already factored into new EV prices in Ireland.
What year does my car need to be to qualify for the scrappage scheme?
Your car must have been first registered in 2013 or earlier — in other words, a 131 plate or older. Cars registered from 2014 onwards do not qualify.
Can I use the scrappage scheme to buy a used or nearly-new EV?
No. The scrappage payment only applies to brand-new battery electric vehicles registered from July 2026 onwards (262 plates). Nearly-new, pre-registered, or second-hand EVs do not qualify for the €5,000 scrappage payment. The standard SEAI purchase grant of €3,500 may still apply to nearly-new EVs in some cases — check with the dealer.
Does the ICE2EV scheme apply to plug-in hybrids?
No. The scrappage payment applies only when you buy a new full battery electric vehicle (BEV). Plug-in hybrids (PHEVs) do not qualify either as the car being scrapped or as the replacement purchase.
How do I apply for the EV scrappage scheme?
You do not apply to the SEAI directly. You apply through an SEAI-registered EV dealer. Bring your vehicle logbook, proof of 12 months' ownership, current motor tax and insurance documents, and your NCT cert. The dealer validates your eligibility and processes the paperwork. The €8,500 is then deducted directly from your invoice.
Will I get money for my old car on top of the scrappage grant?
No. The scrappage scheme requires your old car to be permanently destroyed — not sold, traded in, or given away. You receive the €5,000 state payment but not a trade-in value. If your car is in reasonable condition and worth more than €5,000 privately (check DoneDeal for comparable listings), it may be worth considering selling it privately and using the proceeds towards a different EV finance approach.
Is there enough money in the scheme for everyone?
The fund is €10 million, which is enough for roughly 2,000 vehicles nationally. There are far more than 2,000 people in Ireland driving a 2013 or older car who might want to switch to electric. The scheme will almost certainly run out before all eligible applicants are served. Applications open July 2026 on a strict first-come, first-served basis — if you qualify and you want to avail of the grant, apply early.
Does the rural vs urban split affect my application?
Yes. The €10 million is divided into two separate pots — €6.5 million for applicants outside the five main cities (Dublin, Cork, Galway, Limerick, Waterford) and €3.5 million for those within them, based on your Eircode. Once one pot is exhausted, no further applications from that category are accepted. Rural applicants have access to a larger allocation, reflecting higher car dependency outside the cities.
Can I get both the scrappage grant and a green loan?
Yes. The scrappage payment and SEAI grant are deducted from the car's purchase price before finance is calculated. If you need to finance the remaining balance, a green or EV loan from a bank or credit union — typically offered at 2%–5% below a standard personal loan APR — is one of the most cost-effective ways to fund the remaining cost. Ask your bank and credit union specifically about their green loan rate.
What happens to my scrapped car?
Your old car must be permanently destroyed through an authorised treatment facility. You should receive a Certificate of Destruction confirming this. The car cannot be resold, exported, or broken for parts under this scheme. If you do not receive written confirmation of destruction, contact SEAI.
Does my old car need to have a valid NCT?
Your car's NCT must either be valid or have expired no more than six months before your application date. A car that has been off the road for years with a long-expired NCT is likely to be ineligible — check the exact date on your NCT cert before you make any commitments.
What happens to the SEAI grant price cap after July 2026?
From 31 July 2026, the maximum retail price of an EV eligible for the €3,500 SEAI purchase grant drops from €60,000 to €50,000. This does not affect the €5,000 scrappage payment itself, but it means that some higher-spec or larger EV models that previously qualified for the combined €8,500 will no longer qualify for the grant portion from 31 July. If you're considering an EV priced between €50,000 and €60,000, buying before 31 July means you still access the full €8,500.