Germany will abolish the ecological bonus: why it is a big mistake | TechBuzz

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Germany plans to lower the eco-bonus on electric cars and scrap support for plug-in hybrid vehicles.

Electrical charge

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At present, most European countries offer subsidies and other tax incentives to encourage motorists to go electric. Small boosts vary greatly from one country to another, while some do not offer any. This is particularly the case for Belgium and Denmark, while others will soon no longer offer them. Indeed, while sales of electric cars are accelerating everywhere, some countries want to lower the amount of aid.

A sharp increase in sales of electric cars…

This is particularly the case in France, even if this drop is postponed until the end of the year for electric cars. But our country is not the only one to choose this strategy. Indeed, and as pointed out by our colleagues fromAutomotive News, Germany also plans to reduce the amount of compensation granted to buyers of connected cars, whether electric or hybrid. A decision which is explained by the increase in sales, as declared by the Minister of the Economy Robert Habeck. ” Electric vehicles are becoming more and more popular and will no longer need government subsidies in the near future« .

Indeed, theSales of electric cars have almost doubled in the country in 2021 compared to 2022, while there are more than 600,000 currently in circulation, for more than one million hybrids. This reduction will apply from the beginning of next year. A measure already contested by the automobile association VDA, which is the equivalent of our French CCFA. This criticizes in particular the total abolition of aid for company vehicles.

And a sharp drop in the bonus

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The ecological bonus will thus increase to 4,500 euros against 6,000 euros for the moment for vehicles under 40,000 euros. From 2023, this amount will drop to €3,000. Cars costing more than 40,000 euros will see the premium drop to 3,000 euros at the beginning of next year, against 5,000 euros currently. To note that the bonus will disappear for cars over 45,000 € from 2024 against 65,000 euros currently.

As said earlier, aid for company cars will be abolished, as will aid for plug-in hybrids, from the end of the year. A decision motivated by skepticism vis-à-vis the virtues in favor of the environment of this engine. Remember that Europe wants to more or less put an end to plug-in hybrids because of a tax system that should be reviewed.

Towards a total elimination of the bonus

Finally, the aid paid to buyers of electric cars will disappear completely when the government has spent all of the budget of 3.4 billion euros allocated to incentives for electric vehicles. Germany is therefore following the path of the United Kingdom which, for its part, completely abolished the ecological bonus a few weeks ago.

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We hope that this decision by Germany will not give similar ideas to France. In effect, the energy transition requires a massive shift to the electric car and the ecological bonus makes it possible to accelerate the movement. Especially since the prices of electric cars are not yet affordable for all households. The future of the planet depends on electric cars, as the IPCC pointed out in its latest report, but also on other means of transport, such as public transport, cycling or walking. So let’s support this transition with real measures, and not a reduction or the elimination of the bonus.

Electric cars: the end of the ecological bonus in the United Kingdom is nonsense
Introduced in 2011, the ecological bonus for electric cars is now abolished in the United Kingdom. And the decision is difficult to pass.
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I am admin of techbuzz.asia blog & I provide tech-related news. As a part of my hobby, I make content related to technology and gadgets reviews too. I love to be a content creator apart from it, I am a full-time employee in an MNC company and manage blogs systematically. You can mail me at [email protected]

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