South Korean government to support the adoption of fuel cell vehiclesAugust 1, 2016
New tax benefit aims to incentivize the purchase of clean vehicles
The South Korean government has announced that it will be providing new tax incentives to promote the adoption of fuel cell vehicles. The country has become heavily interested in clean transportation and wants to ensure that more people gain access to environmentally friendly vehicles. The government is also making revisions to its tax laws to better support competition among businesses interested involved in renewable energy. This revision is expected to increase the attractiveness of clean power systems in many parts of the country.
Tax incentive will make fuel cell vehicles less expensive
The government will be offering $3,557 in tax incentives for those purchasing fuel cell vehicles. This will be the largest tax incentive being provided to those purchasing such vehicles. Until now, the government had only offered comprehensive tax incentives for electric and hybrid vehicles. As hydrogen fuel cells continue to gain popularity throughout the auto industry, however, the government is taking steps to ensure that fuel cell vehicles have the support they need to become successful in the country.
The number of clean vehicles available in South Korea set to grow in the coming years
There are very few fuel cell vehicles available in South Korea currently. Hyundai is the largest automaker offering such vehicles. The number of vehicles equipped with fuel cells being offered in the country is expected to increase over the next few years. South Korea has a relatively small hydrogen infrastructure, however, which may slow the adoption of fuel cell vehicles even with tax incentives being offered. The government has been investing in the development of new hydrogen stations, but building a comprehensive hydrogen infrastructure has proven to be quite a slow and expensive endeavor.
Clean vehicles are quickly gaining popularity
Fuel cell vehicles have become quite popular due to the environmentally friendly nature and their high performance and efficiency. These vehicles do not produce any harmful emissions and consume hydrogen in order to operate. Many of these vehicles can travel more than 300 miles before needing to be refueled, which has made them somewhat more attractive to consumers when compared to conventional battery electric vehicles.