Particle.news

Download on the App Store

SPD Tables Targeted EV Incentive Plan as Government Says Details Not Settled

The plan steers aid to lower‑income buyers through price caps plus European‑made requirements.

Overview

  • SPD lawmakers propose a state bonus of at least €3,000 from 2026 to 2029, matched by manufacturers or dealers, for new and used battery EVs built in Europe with a net list price under €45,000 and meeting an environmental score.
  • The proposal includes a social leasing program starting in 2027 with low monthly rates and a later purchase option for qualifying households and mobile workers.
  • Key ministries say they cannot confirm circulating figures or final program mechanics, indicating negotiations with the Union bloc are still ongoing.
  • Financing discussed totals roughly €3 billion from the Climate and Transformation Fund and the EU Social Fund, as the government separately extends the ten‑year Kfz tax exemption to new EV registrations through end‑2030, up to 31 December 2035.
  • Civil‑society groups urge a subsidy cap at €35,000 gross and exclusion of plug‑in hybrids, while Norway moves to cap EV VAT relief at 300,000 NOK in 2026 and remove it in 2027, pending parliamentary approval.