A scheme which sees drivers of electric vehicles paying half-price tolls will be wound down at the end of December.

The Low Emission Vehicle Toll Incentive Scheme was introduced five years ago to encourage motorists to switch to electric vehicles.

This reversal comes as the Government grant for purchasing an electric vehicle has reduced from €5,000 to €3,500.

The Department of Transport confirmed the discount is coming to an end.

"Low Emissions Vehicle Toll Incentive (LEVTI) Scheme will conclude on the 31 December 2023," a statement to the RTE News At One said.

The statement said the tolling scheme was made available for the first 50,000 eligible vehicles. With this target "on track" the scheme will now conclude.

Latest Figures from the National Vehicle and Driver File show there are are currently 107,373 electric vehicles on Irish roads.

The Department said government investment for electric vehicles will focus on "supporting EV charging infrastructure."

"This change aligns with similar polices in European nations, where countries including Norway, Germany and France have begun to curb vehicle subsidies," it added.

The end of the toll incentive comes as the purchase grant for battery electric vehicles has been reduced from €5,000 to €3,500.

The Department of Transport says a number of additional incentives remain. These include a home charger purchase scheme, an apartment charger scheme, Benefit-in-kind tax relief for battery electric vehicles and VRT relief of up to €5,000.

There is also a grant for taxi drivers to make the switch to and EV and a grant for HDVs to bridge the gap between a low emission vehicle and a fossil fuel vehicle.

Hannah Daly, Professor in Sustainable Energy at University College Cork, said it was not surprising that cut-price tolls were being reduced as EVs become more mainstream.

She noted a dip in sales in recent months with 607 battery vehicles sold in Ireland in October down from 737 in October 2022 but said EV sales continued to grow faster than any others.

"I predict that the vast majority of cars sold between now and 2030 will be electric, but will it be enough?," she told the News At One.

The Government aims to have 945,000 Electric vehicles on Irish roads by 2030.