Russia plans to subsidise electric cars to spur demand

FILE PHOTO: A man charges an electric car during a demonstration ceremony to launch a charging station, owned by the Moscow United Electric Grid Company (MOESK), in Moscow February 28, 2012. REUTERS/Sergei Karpukhin/File Photo

MOSCOW (Reuters) - Russia plans to subsidise the purchase of domestically manufactured electric vehicles (EVs) to stimulate demand and production, the country's economy ministry said on Wednesday.

The use of electric cars in the oil and gas producing country has lagged far behind Europe and no EVs are made in Russia, but the government has ambitious production plans and is considering the financial stimulus to boost the sector.