The British government announced the first nine electric cars for which drivers will be eligible for a 25 per cent Whitehall-paid grant.
Five more regions that will be installing recharging points were also announced by Transport Secretary Philip Hammond.
From January 1, motorists buying the first three of the named electric cars will get 25 per cent off, up to a maximum of £5,000.
The first three cars are the Mitsubishi iMiEV, the Mercedes-Benz smart fortwo ED and the Peugeot iON.
The 25 per cent reduction will also apply to the other six cars as they become part of the scheme over the next few months.
The Citroen CZero will be available in early 2011, while the Nissan Leaf and the Tata Vista EV will be available in March 2011.
Available from early 2012 will be the Toyota Prius Plug-in, the Vauxhall Ampera and the Chevrolet Volt. More will follow next year.
The new regions installing local charging points and which have successfully bid for a share of a £20 million fund, are the east of England, the Midlands, Greater Manchester, Northern Ireland and Scotland.
The east of England charging points include Stansted airport, Cambridge, Norwich and Ipswich. The Midlands points include Birmingham, Coventry, Nottingham and Worcester, while Scottish points include Edinburgh and central Glasgow.
Mr Hammond said: “A few years ago, ultra-low emission cars with mass-market appeal appeared just a pipe dream. Now they are a reality and we can have all the convenience of the car without the carbon that normally goes with it.
“Government action to support affordable vehicles and more local charging points means we are on the threshold of an exciting green revolution. 2011 could be remembered as the year the electric car took off.”
Society of Motor Manufacturers and Traders chief executive officer Paul Everitt said: “The transition to ultra-low carbon vehicles is a great opportunity for the UK motor industry.”
The Plug-In Car Grant and infrastructure investment through the Plugged-In Places scheme is helping to create a co-ordinated and comprehensive approach to creating vital consumer demand.
“The motor industry is making great progress in delivering practical, low carbon vehicles and we will see further progress of new and conventional technologies in the years ahead.”