VDIK Criticizes Planned End of Plug-In Subsidy

A letter from the Parliamentary State Secretary at the Federal Ministry of Economics and Climate Protection indicates that plug-in hybrids newly registered as of 01 January 2023 will no longer be subsidized in the further development of the environmental bonus.

VDIK President Reinhard Zirpel commented: “If the subsidy for plug-in hybrids were to expire, this would slow down the ramp-up of electromobility and make it more difficult to achieve the climate targets. In addition, it would permanently destroy the trust that has also been created by the agreements in the coalition contract. Public support is still necessary to keep plug-in hybrids competitive with thermally powered vehicles.”

In addition, the letter rejects the industry’s call for a return to the two-stage application process for the environmental bonus. Zirpel added: “The dependence of the subsidy on the registration of the vehicle would already lead to a significant reluctance to buy vehicles with electric or plug-in hybrid drives. Due to the sometimes long delivery times for these vehicles, which are due to supply bottlenecks for vehicle components, eligibility for subsidies can no longer be guaranteed. The manufacturers have already been paying their share of the environmental bonus from the outset. An increase in this share to compensate for the uncertainty about the delivery date is not financially feasible.”