Use of LPG as Fuel for Vehicles

This financial incentive intends to further promote the use of LPG as fuel for vehicles, and is aimed at:

Persons residing in Malta; and
Undertakings established in Malta.

The budgeted funds for this scheme amount to €60,000.

The Incentive Details

Subject to the applicable conditions, the following grant amounts shall be issued:

€400 when a petrol-powered Category M1 or N1 vehicle is retrofitted to operate on LPG or petrol;
€900 when a diesel-powered Category M1 or N1 vehicle is retrofitted to operate with LPG and diesel simultaneously;
€1,000 when a diesel-powered Category M2 or N2 vehicle is retrofitted to operate with LPG and diesel simultaneously;
€1,500 when a diesel-powered Category M3 or N3 vehicle is retrofitted to operate with LPG and diesel simultaneously.

Persons who have modified their vehicle to operate using LPG in compliance with the requirements set out in this document during the past years and have not received a grant from the applicable grant schemes in the past, may still apply for the grant. The grant amounts awarded in these cases shall be those indicated in the grant schemes applicable during the years when the modification was done.

NOTE: The de minimis Regulations and the respective thresholds shall apply when scrappage grants are issued to undertakings established in Malta.

Applying for this incentive

An application for a grant under this scheme shall be made by the registered owner of a vehicle following the retrofitting of an LPG feeding system on that vehicle by a competent person. One application form shall be submitted for each retrofitted vehicle. The registered owner shall submit the application form VEH060 and shall include all the information, details and documents as required in the said form and in terms of this scheme.

In the case of an application within the scope of the De Minimis State Aid rules explained in section 2, the State Aid Declaration VEH071.

Applications under this scheme, together with all the relevant documents, shall be submitted by the applicant during working hours or mailed to Transport Malta’s Driver and Vehicle Licensing Unit (DVLU). For opening hours and addresses refer here.

Page last updated: 02 March 2022