Hundreds of millions for small hauliers. This country is funding new vehicles before ETS2

Greece’s plan is currently the largest of the five social climate plans approved by the European Commission. Sweden, Lithuania, Latvia and Malta have also secured approval. Brussels is still reviewing plans submitted by Croatia, Slovenia, Italy, Luxembourg and the Netherlands.

For the transport industry, the most significant aspect is that the support will extend beyond households and public transport. It is also an early indication that some of the funding will reach the smallest businesses operating in road transport.

€373.7m for vehicle leasing and purchases

Greece plans to divide the €4.77bn package between building-related investments, worth €2.91bn, and road transport, which is set to receive €1.46bn.

The transport allocation includes a dedicated measure for lower-income microbusinesses. About 15,500 companies are expected to gain access to €373.7m to help them lease or buy zero- and low-emission vehicles. Some of the funding is expected to be distributed through tenders.

The available information does not yet specify how much of this allocation will go directly to road hauliers or what conditions companies will need to meet. It does, however, make clear that small transport businesses are among the intended beneficiaries.

ETS2 is set to increase fuel costs

The package is closely linked to preparations for ETS2, the EU emissions trading system covering road transport and buildings. The fuel sector is scheduled to enter the system on 1 January 2028. As a result, the cost of carbon emissions is expected to have a greater impact on fuel prices for road transport.

The Social Climate Fund is intended to help member states protect households and microbusinesses most exposed to rising energy and transport costs.

Greece is therefore beginning to finance fleet renewal before ETS2 takes effect, rather than waiting until the new costs are fully reflected across the market.

4,400 new public charging points

Infrastructure is the second major pillar of the transport package.

Greece plans to spend €135m on 4,400 public charging points for electric vehicles. They are expected to be installed mainly in areas where private operators have not yet built an adequate network.

Financial support for a zero-emission vehicle will have limited value if operators cannot access suitable charging infrastructure. Greece’s approach therefore combines support for businesses with an expansion of the public charging network.

Greece moves ahead of much of the EU

Greece currently has the largest approved social climate plan. Sweden, Lithuania, Latvia and Malta have also received the Commission’s approval.

Other countries are still waiting for a decision. The Commission is assessing proposals from Croatia, Slovenia, Italy, Luxembourg and the Netherlands, while most other member states have already submitted draft plans.

It remains unclear how similar schemes will operate in other countries or how widely they will cover the transport sector. Greece’s example nevertheless shows that road-transport microbusinesses could become beneficiaries of funding designed to prepare the economy for ETS2.

Support before costs rise

The size of Greece’s package matters, but its focus may prove even more significant. ETS2 is expected to increase cost pressure on road transport through higher fuel prices. At the same time, member states can use EU funding to support vehicle replacement and infrastructure upgrades before the new charges take effect.

In Greece, the transition is also designed to include the smallest transport companies, which typically have less capacity to finance fleet renewal from their own resources. The timetable for distributing the money and the detailed eligibility rules are not yet known. The direction is clear, however: preparations for ETS2 are moving beyond regulation and into concrete investment programmes.