Germany finally agrees on an electric car incentive plan image

After months of talks, the German government and the automakers agreed to share the costs of the incentives for electric cars.

After months of debates over a strategy to surge the sales of electric cars in Germany, the government reached a deal with the automakers to jointly share the costs of a 1.2-billion-euros incentive plan (1.2-billion-dollar) to encourage customers to buy green vehicles. Buyers who shift their focus on electric cars will receive up to 4,000 euros, while those wanting a hybrid will get a 3,000-euro help, Finance Minister Wolfgang Schaeuble said at a press conference in Berlin. “The goal is to move forward as quickly as possible on electric vehicles,” he said, quoted by Bollmberg. “With this, we are giving an impetus.” The plan will be swiftly put into motion starting with the next month, according to Schaeuble.

However, the minister did now mention other supportive measures, as Reuters reported last week that the German government also planned to exempt buyers for paying the vehicle tax for 10 years, a move available to everyone aiming to by an electric car before 2020. Even if the German auto market accounts for nearly a quarter of all auto sales across Europe, only around 30,000 electric vehicles have been registered so far. Chancellor Angela Merkel has set a goal for Germany to have one million hybrid and battery plug-ins on the road by 2020.

Via Bloomberg