Earlier this week, we reported on German Chancellor Merkel planning to get directly involved in the negotiations with the auto industry over electric vehicle incentives though a meeting held yesterday. Apparently the meeting went fairly well since local media are already reporting that the two parties struck a deal albeit not as generous as previously expected.
The expectation was a €5,000 discount at the purchase, but we now learn it has been cut to €4,000 and capped to electric vehicles with a starting price of less than €60,000. The Tesla Model S starts at €82,700 (including VAT) in Germany.
The new plan was introduced during a press conference with Finance Minister Wolfgang Schäuble (CDU), Economy Minister Sigmar Gabriel (SPD) and Transport Minister Alexander Dobrindt (CSU) today. Frankfurter Allgemeine has the bullet-points of the new EV initiative:
- For pure electric cars , there is a grant of 4,000 euros .
- For hybrids, it is 3000 euros.
- It starts mid-May.
- Luxury models are left out. Rewards are only for cars with a list price of a maximum of 60,000 euros (base model).
- The promotion lasts for a maximum total of 400,000 cars .
- The bonus will be awarded to first served basis, Schaeuble said. So suppose that the principle: “first come, first served” . If the quota is queried, it ends the premium.
- The federal government contributes a total of 600 million euros. The cost should ever share federal and automakers half . Overall, the funding is therefore EUR 1.2 billion.
- The promotion ends in 2020.
- 15,000 new charging points will be built. To this end, the federal government will spend from 2017 to 2020 approximately 300 million euro. The sum is divided into approximately 200 million euros for the quick charging infrastructure and 100 million for the normal charging infrastructure
- Tax benefits: an electric car as company car http://electrek.co/2016/04/27/germany-electric-vehicle-incentive-4000/
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