Norway currently has 100,000 electric vehicles on the road. Although the total number of electric vehicles falls behind major countries such as United States, China and Japan, Norway boasts the world's highest number of electric cars per capita. The United States leads at a commanding 400,000 size fleet of electric cars followed by China at 250,000 and Japan at 125,000. The Netherlands is closely behind Norway in fleet size as they are just under 100,000 units themselves. With a population of 5.2 million, the country has 19 electric cars per 1000 residents. The electric vehicle make up for almost 20 percent of new car registrations. In 2015, the PEV or Plug-in electric vehicle market share was at a staggering 22.4% and the the next country closest was the Netherlands at 9.7%.
This is the result of the country invested in reducing carbon emissions. The government offers extremely generous state funded incentives, including tax breaks, free city tolls and free parking which has lead to Norway a leader in electric vehicles. The electric vehicles are saving the country approximately 200,000 tonnes of CO2 emissions per year and the government continues to double the cut in emissions over the next three years. Analysts called on the authorities to maintain the benefits granted for the vehicles, saying the electric car fleet needs to quadruple to meet Norway's climate targets. Although the initial target of 50,000 electric vehicles were met in May 2015, policy makers did renew the incentives but did also hint at a gradual and partial phase-out eventually.
Sales of electric vehicles has suffered over the past 10 months due to the increasing competition from hybrid vehicles. While these benefits are praised by eco-friendly organizations, their cost-effectiveness has been criticized by critiques and researchers. Norway has also invested over 8 billion Kroner ($923 million USD) creating 10 broad, two-lane, cross-country bike tracks in and near Norway's nine largest cities. Another key component of plans to slash Norway's transit emissions.