Milan encourages trade-in of diesel vehicles

Lombardy offers tax break to combat pollution.

Lombardy regional government has announced that as many as 10,000 motorists have already qualified for a three-year road tax exemption as a reward for trading in an outdated diesel car – and the offer remains open for the rest of this year.

The anti-pollution decree also offers a €90 cash contribution toward the cost of registering a newer, less polluting vehicle.

The measure rewards motorists who trade in any kind of vehicle – car, truck or other – powered by a Euro-1 or Euro-2 category motor, whether petrol or diesel, or a Euro-3 or Euro-4 diesel. In exchange, the motorist or a family member must buy or lease a passenger car with motor of no more than two litre capacity, class Euro-5 or Euro-6, as long as it’s not a diesel.

In return, on top of the €90 bonus, the new vehicle will be exempt from the “bollo” road tax for its first three years – a reward which can mean a saving of several hundred euros.

In a separate move, motorists buying a hybrid electric/petrol or electric/diesel car with external plug-in charging will enjoy a 50 per cent reduction in road tax for the first three years. This offer extends up to 21 December 2020.

Full details of which vehicles qualify and how to obtain the rewards are published (in Italian) on the ACI Automobile Club website.

The decree is yet another initiative by Lombardy and Milan administrations to combat the smog which is putting the city at the top of the European league table for atmospheric pollution.