Categories: Technology

That is why France is reducing the purchase premium for electric cars

France has to make cuts and reduces the purchase premium for electric cars from 5,000 to 4,000 euros. The reduction, which was already intended at the end of last year, was published in the Official Journal on Tuesday and will take effect from Wednesday.

An electric car bonus of 7,000 euros will be withheld for people with a taxable annual income of less than approximately 25,000 euros. The bonus for the purchase of environmentally friendly vans will also be reduced by 1,000 euros.

After a huge rush

The reason for the cuts is that the government in Paris is making cuts to keep the budget in balance. The annual subsidies of 1.5 billion euros, intended for the switch to more environmentally friendly cars, may not be exceeded this year. Last year, 300 million euros more in subsidies were paid out than planned in the budget.

After a huge rush, state leasing of electric car models from 100 euros per month will be stopped for the current year. The offer was aimed at people with a low income who depend on a car for their work and live at least 15 kilometers from their workplace.

When the offer was launched about a month and a half ago, the government initially expected 20,000 to 25,000 associated leases for 2024. In reality, within a few weeks, 50,000 were already interested, although not all will be taken into account initially.

(dsc/sda/awp/dpa)

Source: Watson

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