Germany’s PEV Incentive Plan Working; Nearly 2,000 Sign Up

Introduced on July 1, Germany’s plug-in electrified vehicle incentive plan saw some 2,000 people sign applications.

Perhaps showing national brand preference, a third of buyers opted for BMW models, while a third were filed on behalf of companies according to an Automotive News report.

Buyer incentives include: a subsidy of $4,485 (4,000 euros) available for battery-electric vehicles, and $3,364 (3,000 euros) for plug-in hybrid electric vehicles.

They’ll also receive an exemption from paying a vehicle tax for 10 years, an increase from the previous five-year exemption.

Additionally, there’s a 25-percent tax rate reduction on electricity used for charging plug-in vehicles at work by employees.

SEE ALSO: Germany May See Electrified Vehicle Incentives Coming Soon

The government’s BAFA economic affairs and export control agency announced that of the 1,793 applications filed, 581 were for BMW models, notably the i3.

The BAFA said that BMW has pioneered the production of EVs in Germany and offers more models than other carmakers.

There were also 444 applications for subsidies from buyers of Renault EVs and 154 from buyers of Volkswagen models.

The incentives are a push to expand the country’s fleet of electrified vehicles from the current 50,000 vehicles to 1 million on the roads by 2020.

The $1.35 billion (1.2 billion euros) cost of the program is equally shared by the government and the auto industry.

The incentives are due to expire at the end of 2019.

Automotive News