Auto industry - promoting demand for clean vehicles
The French government wants to accelerate the renewal of the old and polluting car fleet by providing incentives to buy cleaner vehicles, new or used, in exchange for the scrapping of an old vehicle.
The government will encourage the purchase of electric vehicles (EV) by reinforcing ecologic bonuses. From June 1 to the end of 2020, subsidies for the purchase of EVs with a price lower than EUR 45,000 , will be up to EUR 7,000 for individuals and EUR 5,000 for companies. A new subsidy of EUR 2,000 was also introduced for the purchase of plug-in hybrids under EUR 50,000.
EUR 535 million will be used in total for 2020.
"Prime à la reconversion" will be reinforced from June 1 until the end of 2020. Households eligible for the scrapping scheme increased to EUR 18,000 (covering 3/4 of the population). Criteria for eligibility was relaxed to include Crit'air 3 vehicles; increased schemes for households up to EUR 3,000 for a thermal vehicle and EUR 5,000 for an EV or a hybrid rechargeable vehicle. These exceptional measures will only apply to the first 200,000 demands.
EUR 800 million are allocated in total for 2020.
The policy mobilises public demand and accelerates vehicle fleet transformation to EV and hybrid vehicles. The government imposed a target of 50% to reach within the auto industry. All B2 sequence vehicle for public demand shall adhere to electronic models.
The policy will also increase recharging points. ADVENIR will prolong the budget to EUR 100 million (2020-2023) to increase 45,000 points across the territory. Recharging points will be implemented along the main transport routes of the country and in collective buildings, with the goal of having 100,000 points by the end of 2021.
As of 19 January 2021, a complementary bonus of EUR 1 000 will be allocated for the purchase and rental of a clean vehicle.
Want to know more about this policy ? Learn more (French)