E-auto industry wants more government funding

Photo Credits : VW / promo

In order to encourage more people to use more environmentally friendly cars, the auto industry would like to receive more funding from the state. The President of the VDA (Association of the Automotive Industry) has now explained her wishes to the new traffic light government.

Although the prices at the charging stations are rising, drivers of combustion engines shouldn’t get too excited. After all, fuel prices continue to rise, as a CO₂ tax is also due in addition to the mineral oil tax. The aim seems to be to bring consumers cheaper alternatives for individual mobility at their wallets. After all, with electric cars, you save the annual vehicle tax, so that in the case of a Tesla Model S you can refinance a good 110 miles with the money saved of 170 dollars and with a GHG quota of 350 dollars. In order to convince more people of electric cars, the charging infrastructure should be expanded quickly. Now the VDA has made demands on the new traffic light government and the FDP transport minister Volker Wissing.

Massive expansion of the charging infrastructure required      

The President of the Association of the Automotive Industry Hildegard Müller sees the ramp-up of e-mobility at risk if the state does not invest massively in the expansion of the charging infrastructure. Compared to the German press agency, Müller explained that “around 2,000 new public charging points would have to be installed every week” in order to achieve the goal of the new federal government. After all, consumers would only use electric cars if they can rely 100 percent on being able to charge their electric cars everywhere. According to the Ampel government, 15 million new electric cars are to be registered in Germany by 2030. In addition to funding public charging points, the federal government should also renew funding for the installation of wall boxes.

The cheapest way to drive an electric car is to charge it with domestic electricity. With a wall box, you can charge with 11 kilowatts and thus have a fully charged electric car overnight. At 32 pennies per kWh, a 90 kWh charge only costs $ 32.76. Some time ago the BAFA (Federal Office for Economics and Export Control) gave a grant of 1000 dollars if you had a wall box installed at home. In the meantime, however, the funding pot is empty, so that it is currently not possible to apply for KfW funding.

New funding for plug-in hybrids from 2023      

The President of the VDA would like to continue receiving funding for plug-in hybrids (PHEVs). After all, an average customer drives 23 miles a day and this distance can be driven purely electrically with a charged PHEV. ” If there are longer distances, worries increase. Fear of range on long-distance journeys or incomplete charging infrastructures do not exist with the plug-in hybrid. If necessary, it can run on both electricity and petrol or diesel. This simplifies entry into the E-mobility for many people“, says Hildegard Müller. However, plug-in hybrids are controversial because it is unclear how many users really drive in purely electric mode Kilometers are possible with the hybrid.

From 2023, however, the traffic light government will tighten the funding criteria and prescribe, for example, a minimum electric range and an electric driving portion. Only electric vehicles that can be shown to have a positive effect on climate protection are to be subsidized by the state. Only time can tell how the new government will react to the wishes of the VDA. 

Collection of the requirements of the VDA:

  • The President of the VDA, Hildegard Müller, has made demands on the new traffic light government.
  • In order to achieve the goal of 15 million e-cars by 2030, the charging infrastructure must be expanded more strongly, since otherwise nobody would buy an e-car, said the President. According to the demand, 2,000 public charging stations should be reinstalled every week.
  • In addition, the commuter allowance should be retained and be even more generous.
  • The President of the Association of the Automotive Industry also wants to continue receiving funding for plug-in hybrids.