Peregraf
The Kurdistan Regional Government (KRG) has officially removed the first registration fee and annual environmental fees for fully electric vehicles, the Ministry of Interior announced.
According to a directive signed by KRG Interior Minister Rebar Ahmad, which will take effect on February 16, 2025, the first-time registration of electric vehicles will be free, and owners will be exempt from the annual environmental fee.
“This decision aligns with the ongoing directives of KRG Prime Minister Masrour Barzani to combat environmental pollution and encourage the use of electric vehicles,” the Ministry of Interior states.
Currently, under the existing regulations, vehicle owners must pay annual environmental fees of 70,000 dinars for trucks, 30,000 dinars for rental vehicles, and 20,000 dinars for private cars. This revenue is meant to be allocated to road and environmental services. However, a previous Peregraf report revealed that only 20% of these funds go toward the Ministry of Interior, while 80% is directed to the Ministry of Finance, raising concerns over whether the funds are truly benefiting environmental and road improvements.
According to Law No. 8 of 2008 on Environmental Protection and Rehabilitation, all fees collected under environmental and road taxes should be allocated to a special fund for environmental and road services.
The Kurdistan Region currently has about two million vehicles, with 10,000 new registrations each month, meaning there is roughly one vehicle for every three people. Despite various government measures, the region’s cities continue to suffer from high levels of toxic emissions, contributing to serious health issues, including cancer.