By opting for an electric car, you are actively helping to preserve our environment. What’s more, this is rewarded by the federal and state governments with various subsidies and benefits, which are intended not only to encourage and support the purchase of an electric vehicle, but also the development of a charging infrastructure. In this post, we will tell you which subsidies you are entitled to.
If you need assistance with implementing your charging infrastructure, we will be happy to help you.
Germany-wide subsidies
a) Coronavirus stimulus package
b) Environmental bonus for electric cars and plug-in hybrids
c) Charging infrastructure for electric vehicles in Germany
d) KfW subsidies for private charging stations at residential buildings
e) KfW environmental programme for favourable loans;
f) Vehicle tax exemption
g) 0.25% regulation for fully electric cars
Subsidies at regional level
a) Subsidies at state level
b) Subsidies from energy suppliers
c) Subsidies from cities and municipalities
1. Germany-wide subsidies
To improve environmental quality, the federal government subsidises, among other things, the purchase of electric cars and the expansion of the charging infrastructure. In addition, tax concessions are also granted.
b) Environmental bonus for electric cars and plug-in hybrids
Half of the environmental bonus is paid by the manufacturer and half by the Federal Office of Economics and Export Control (BAFA). Electric cars and plug-in hybrids included in the list of eligible electric cars are subsidised.
What?
- Electric cars
- Plug-in hybrids
How much?
- Electric cars (net list price up to €40,000 ) €6,000 each (€3,000 manufacturer+ €3,000 federal government) The subsidy amount is lower for electric vehicles over €40,000.
Update on the Coronavirus stimulus package: €9,000 (€3,000 manufacturer+ €6,000 federal government) - Plug-in hybrids (net list price up to €40,000,) €4,500 each (€2,250 manufacturer + €2,250 federal government). The subsidy amount is lower for plug-in hybrids above €40,000.
Update on the Coronavirus stimulus package: €6,750 (€2,250 manufacturer + €4,500 federal government)
For whom?
- Private individuals
- Companies
- Foundations
- Corporations
- Associations
c) Charging infrastructure for electric vehicles in Germany
The subsidy guideline for electric vehicles is issued by the Federal Ministry of Transport and Digital Infrastructure (BMVI). It supports the development of publicly accessible charging infrastructure for electric vehicles. The aim is to establish a nationwide and demand-oriented network with 15,000 rapid and standard charging stations. Read more in our article on Subsidies for charging infrastructure. In order to make your charging infrastructure publicly accessible and to bill the charging processes, you must equip it with software for billing and access control. Here you can find out more about our backend.
What?
- Acquisition, installation and set-up of publicly accessible rapid and standard charging points, as well as their connection to the grid
How much?
- Normal charging points (up to 22kW) each with 40% (up to €2,500)
- Rapid charging points (from 22kW) each with up to 50% (up to €30,000)
- Grid connection – low voltage per location with 60% (up to €5,000)
- Grid connection – medium voltage per location with 60% (up to €50,000)
For whom?
-
- Private individuals
- Businesses
- Tradespeople
- Non-profit organisations
- Municipalities
d) KfW subsidies for private charging stations at residential buildings
Investment grants are a funding measure by the Federal Ministry of Transport and Digital Infrastructure (BMVI) and are awarded by the Kreditanstalt für Wiederaufbau (KfW). The aim of the funding measure is to support private individuals in switching to eMobility and to promote the expansion of the charging infrastructure in the private sector for this purpose. You can find more information in our article on the KfW subsidy.
What?
- Funding for setting up newly installed, private (not publicly accessible) charging stations at existing residential buildings
How much?
- €900 per charging point
For whom?
Sponsors of investment measures in non-publicly accessible areas of owner-occupied or rented residential buildings, such as:
- Tenants
- Homeowners
- Landlords
e) KfW environmental programme for favourable loans
The KfW environmental programme is also offered by the Kreditanstalt für Wiederaufbau. These are low-cost promotional loans for investments in environmental protection and sustainability. This also includes funding for electric and hybrid vehicles and their charging stations.
What?
- Low-cost financing for electric and hybrid vehicles and their charging infrastructure
How much?
- Loan of up to €25 million per project at home and abroad
- From 1.03% APR
For whom?
- Companies
- Freelancers
f) Vehicle tax exemption
No vehicle tax will be levied for 10 years on electric cars registered by the end of 2025.
Update on the Coronavirus stimulus package: the exemption has been extended until the end of 2030.
g) 0.25% rule for fully electric cars
For privately used company cars, taxation of the monetary value benefit for electric cars with a gross list price of up to €40,000 was reduced from 1% to 0.25%. Taxation for plug-in hybrids was reduced from 1% to 0.5%.
Update on the Coronavirus stimulus package: the 0.25% rule now also applies to vehicles with a gross list price of up to €60,000. For more specific information on tax benefits for electric cars, click here . Do you want to electrify your fleet or offer charging to your guests and customers? We are happy to support you with the implementation. Contact us here.
2. Regional benefits and subsidies
a) Subsidies at state level
Some states offer additional subsidies. Almost all of them increasingly promote the expansion of public charging infrastructure and Berlin also grants funding for private charging stations. Hesse supports research and development projects and Thuringia awards funds for converting to electric vehicles. In this way, each federal state is promoting eMobility in its own way. You can find out which support is available in which federal states, for example, at eMobilServer .
c) Subsidies from cities and municipalities
Some cities and municipalities, such as the city of Munich or the municipality of Unterschleißheim, also support eMobility with their own programmes. The best places to find out more are your town hall or community centre.