The Federal Ministry of Economics (BMWK) has announced that it is increasing the budget for the state environmental bonus for purchasing electric cars. The ministry will allocate at least 400 million euros for this year, bringing the total budget to 2.1 billion euros. The goal is to provide predictability and security for consumers and the economy, according to the BMWK. The additional funds will be reallocated internally from programs that have spent less than expected this year.
The increase in budget comes as the Federal Office of Economics and Export Control (BAFA) reports a rise in demand for the environmental bonus. In June, over 47,000 vehicles were applied for, compared to approximately 29,000 applications in March. However, the overall numbers for the year are still lower than those of 2022 and 2021. In the first half of 2023, around 147,000 vehicles were applied for, with 48 percent of applications coming from private individuals.
In the past, commercial leases were also eligible for funding, but this will expire at the end of August. Starting in autumn 2022, only private individuals have been able to apply for the environmental bonus. Additionally, subsidies for plug-in hybrid vehicles have also expired at the end of 2022. The environmental bonus has been available since July 2016.
This boost in funding aims to support the growing demand for electric cars and encourage more individuals to choose environmentally friendly vehicles. With the increased budget, it is expected that more consumers will take advantage of the state environmental bonus to make the switch to electric cars.
