Tag Archive: subsidy

  1. Austria funds e-mobility for private individuals

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    Source: Klima- und Energiefonds

    Austria’s Federal Ministry for Innovation, Mobility and Infrastructure (BMIMI) is releasing additional funding to support private individuals in transitioning to electric mobility, with up to €1,800 available for the purchase of new electric mopeds and motorcycles, and the cost of installing charging infrastructure also offset.

    The funding comes under the “E-Mobility for Private Individuals” program, which is is part of BMIMI’S “eMove Austria” initiative, which aims to accelerate the decarbonisation of Austria’s transport system.

    The submission period for the funding is open while funds are available and will close on 31 March 2026. Full details of the scheme are outlined here, and the headline details are that:

    • New L1e class vehicles (electric mopeds) are eligible for funding of €600
    • New L3e A1 class vehicles (electric motorcycles with less than 11kW of power) are eligible for funding of €1,200
    • New L3e A2 & A3 class vehicles (electric motorcycles with more than 11kW of power) are eligible for funding of €1,800
    • Wallbox charging for a single- or two-family house is eligible for funding of €400
    • Single-system wallbox charging in an apartment building is eligible for funding of €800
    • A community charging system in an apartment building is eligible for funding of €1,500

    Submissions for two-wheeler funding can be placed here, and for charging infrastructure here.

  2. Austria incentivises sustainable mobility with subsidies and bike repair scheme

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    Source: RadMarkt

    Austria’s bicycle industry is anticipating positive results from upcoming political developments, with a new subsidy for e-bikes and traditional bikes being discussed, and the reintroduction of the popular Reparaturbonus (repair bonus) for electrical items including e-bikes and, more recently, non-electric bikes.

    Subsidies for e-bikes and bikes

    The federal budget for 2025/26 was approved in June, followed by discussions on the structure of the Klimaaktiv Mobil funding program. An initial coordination meeting between Austria’s Federal Ministry for Innovation, Mobility and Infrastructure and representatives of the bicycle retail trade were scheduled for July 30, with a goal of establishing cooperation within the e-bike and bike funding program’s framework. The aim is to create incentives for sustainable mobility in the coming year.

    Return of the repair bonus

    The repair bonus scheme was temporarily suspended in May 2025 when funds were exhausted. The Federal Ministry for Climate Protection has now advised that the program will resume towards the end of this year. Alongside other electrical items, e-bikes are eligible for reimbursement through the program, and since September 2023, traditional bicycles have also been included. VSSÖ, the Association of Austrian Sporting Goods Manufacturers and Retailers, advocates for equal treatment of all repair shops under the scheme, ensuring that those which are not exclusively operating in the bicycle sector are eligible – thereby broadening the reach of the program.

    Austria’s Bicycle Regulations

    Potential amendments to Austria’s Bicycle Regulations are also under discussion. With a goal of improved, practical regulations, key points include alignment with European product standards and vehicle types, alongside the use of trailers for the transportation of children and cargo.

  3. Germany’s e-cargo bike funding reaches significant milestone

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    Source: Velobiz

    Since 2021, Germany’s Federal Ministry for Economic Affairs and Energy (BMWE) has been subsidising the purchase of electric cargo bikes and matching trailers for commercial use. The number of bikes and trailers purchased under the scheme has now reached over 10,000.

    The Federal Office for Economic Affairs and Export Control (BAFA) which provides the financial support announced in a recent press release, “with the 10,000th subsidized e-cargo bike in May 2025, a significant milestone was reached. A total of around 14.5 million euros was paid out to companies from 80 sectors.”

    The funding is distributed as part of the National Climate Initiative (NKI), which is a key part of Germany’s aim to be widely climate neutral by 2045. Funding can be applied for by companies and public institutions, such as universities, until 30 June 2027. Up to 25% of the purchase price is subsidised, up to a maximum of €3,500 euros per bike.

  4. Subsidies on bike purchases eliminated in France

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    Source: Bike Europe

    The recent budget crisis in France, which has stirred significant political turmoil, is now impacting the bicycle and e-bike industry.

    Without prior notice, the French government has announced the abrupt termination of all state subsidies for bicycle and e-bike purchases. The decision has sparked widespread concern within the industry, with the Alliance for Cycling warning of severe repercussions.

    In late November, the government revealed that the ‘ecological bonus‘ program, which supported bicycle purchases for both individuals and businesses, will end next year. Starting from December 2, 2024, bicycles invoiced or rented for the first time after February 14, 2025, will no longer qualify for state aid.

    Backlash from the cycling community

    Patrick Guinard, president of France Vélo, criticized the government’s sudden decision, stating, “These decisions were taken without the slightest consultation, in total contradiction to studies showing the benefits of cycling—for the planet, the economy, health, and social cohesion.” He emphasized that this move undermines recent progress made during a pro-cycling five-year term.

    E-bike market at risk

    The bicycle subsidy, introduced in 2017, led to a doubling of sales, according to Union Sport & Cycle. Despite subsequent restrictions, subsidies still accounted for 10% of e-bike purchases. Earlier this year, the program was extended to 2027 and expanded to include secondhand bicycles. Research highlighted its positive effects on public health, regional economies, and the decarbonization of transportation.

    Additionally, the ‘conversion bonus‘, which allowed consumers to trade in their cars for e-bikes, was a notable achievement of the 2021 Climate and Resilience Regulation. In 2023 alone, the government paid out €40 million in subsidies, with grants ranging from €150 to €2,000, depending on the type of bicycle and the recipient’s financial situation. In low-emission zones, additional premiums of up to €1,000 were available.

    Challenges for the cycling industry

    Industry groups such as Réseau Vélo et Marche, FUB, Union Sport & Cycle, and APIC have emphasized the importance of the subsidy program in rebuilding France’s bicycle production sector. In a joint statement, they noted a 24% decline in bicycle production and a 13% drop in sales compared to 2022. They warned that while electric cars continue to receive government support, neglecting e-bikes risks derailing progress in the cycling industry.

    Cargo bikes, in particular, have seen significant growth due to subsidies, with sales quadrupling between 2022 and 2023. “The subsidy program has been a crucial driver for developing a sustainable and ambitious cycling industry in France,” the statement concluded.

    The abrupt halt to these subsidies marks a significant challenge for France’s efforts to promote cycling as a sustainable mode of transportation. Industry leaders are urging the government to reconsider its decision to preserve the momentum built over recent years.

  5. CARLA CARGO shares details on e-cargo subsidy in Germany

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    Brand outlines BAFA discount details for German businesses and public entities

    On October 1 2024, the German government’s Federal Office of Economics and Export Control (BAFA) announced that it is again offering financial assistance for electric cargo bike purchases. CARLA CARGO has confirmed that this subsidy enables participants to receive a 25% discount, saving up to €3,500 on all eCARLA models, with the option to include non-electric models in conjunction with e-cargo bike orders in a discounted order.

    Eligibility

    These purchases are exclusive for private companies, corporations, and public entities (such as universities) and must be used for transporting loads such as materials, goods etc.

    Funding details

    The BAFA discount will apply to the following eCARLA models:

    eCARLA

    eCARLA OR

    eCARLA maxi

    The subsidy can also be used for a combination of e-cargo bike purchases and non-motorized models, like so:

    eCARGO bike + CARLA/ CARLA mini/ CARLA maxi

    It can also be applied to a second battery, structures, lock, shipping and packaging.

    Subsidy examples

    CARLA CARGO has published this example of potential BAFA savings:

    Full details of purchasing an eCARLA model with the BAFA discount can be found here (in German).

  6. Fossil fuel subsidies for company cars cost EU taxpayers €42 billion every year according to new study

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    Source: Transport and Environment

    The new European Commission has pledged to eliminate fossil fuel subsidies and ensure a fair green transition. Now, it must fulfil this commitment, says clean transport advocacy group Transport & Environment (T&E).

    In a recent report, T&E highlights that subsidies for petrol and diesel company cars cost EU taxpayers €42 billion annually. The study by ERM, commissioned by T&E, examined the impact of four key tax benefits provided to company cars: benefit-in-kind, depreciation write-offs, VAT deductions, and fuel cards. Unlike private car owners, company car drivers benefit from these subsidies, with company cars representing 60% of new car registrations in Europe.

    Italy leads the list of countries heavily subsidizing polluting company cars, followed by Germany, France, and Poland, with annual costs of €16 billion, €13.7 billion, €6.4 billion, and €6.1 billion respectively. Most of these subsidies arise from benefit-in-kind schemes that continue to favor petrol and diesel vehicles.

    In contrast, the UK and Spain provide significantly lower tax advantages for polluting company cars. The UK imposes high benefit-in-kind rates on petrol and diesel company vehicles, which encourages a switch to electric cars, now accounting for 21.5% of company registrations. In Spain, tax benefits for company cars mirror those for private cars, with minimal incentives for EVs, resulting in a lower uptake of electric vehicles among companies at 3.7%.

    The report also reveals that SUV drivers of company cars receive high fossil fuel subsidies, paying up to €8,900 less in taxes annually than private SUV owners. Consequently, companies register twice as many SUVs as private households, with €15 billion of the total subsidies directed toward SUVs.

    Stef Cornelis, Director of T&E’s electric fleets program, criticized the situation, stating that billions of taxpayer euros fund tax benefits for company drivers of high-pollution SUVs, calling it “bad climate policy and socially unfair.” Cornelis urged the European Commission to take swift action, as countries like the UK and Belgium have begun phasing out benefits for polluting vehicles, while major European markets continue to support them.

    With corporate fossil fuel vehicle subsidies hindering the EU’s green transition, T&E advocates for immediate policy changes. They call on the new European Commission to introduce a Greening Corporate Fleets Regulation in 2025 with binding electrification targets for large corporate fleets and leasing firms. This step aligns with the EU Clean Industrial Deal, which aims to create a lead market for clean technology, stimulating demand for EVs and ensuring investment stability for key industries.

    President von der Leyen has reaffirmed her dedication to the Green Deal and tasked her Commissioner candidates to eliminate fossil fuel subsidies. Stef Cornelis concluded that under von der Leyen’s renewed leadership, the Commission should set electrification targets for company fleets and correct this tax discrepancy, supporting the EU’s industrial agenda and boosting the clean tech and e-mobility sectors.

  7. Pendelfonds subsidizes sustainable commuting in Belgium

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    The commuter fund is now open for applications for projects that improve the connection between public transport and the workplace, and projects that stimulate the use of nearby bicycle highways.

    Commuting must be more sustainable. We still use the car too much to get to work and this without taking one or more colleagues with us. In the near future, the share of private car use in commuting should decrease. The share of bicycles and public transport in commuting must increase.

    The Pendelfonds subsidy has been set up in order to achieve these objectives, among other things. Pendelfonds subsidizes projects that promote sustainable commuting. Projects aimed at reducing the number of car journeys in the field of commuting may be eligible. Companies or other private institutions, but also local or provincial governments or other public institutions (in collaboration with a private partner) can also apply for the subsidy.

    The subsidy amounts to a maximum of half of the costs associated with the project implementation, with a maximum of 200,000 euros when a company submits alone. This maximum amount increases depending on whether the project is submitted by two or more companies: 250,000 euros for 2 companies, 300,000 euros for 3 companies, 350,000 euros for 4, and 400,000 for 5 or more companies. The project duration is a minimum of 2 and a maximum of 4 years.

    On 18 September, the 14th call for Pendelfonds applications was opened and companies and governments can apply to submit a dossier. With this funding, the Flemish government aims to give subsidies to initiatives that make commuting more sustainable. The 14th call is aimed at projects that improve the connection between public transport and the workplace, and at projects that stimulate the use of nearby bicycle highways.

    Companies and organisations that want to submit a project can apply for a filing number from 18 September to 18 October. After that, they have until January 18 to complete the grant application. The more a submitted project falls under the focus of the call, the higher the score of the project, and the more chance of receiving funding.

  8. Austria launches folding e-bike funding plus tighter e-scooter regulations in Vienna

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    Austrian policy developments across the light electric mobility experience

    Source: SAZ Bike, TheMayor.eu

    Electric drive folding bikes are now included, for the first time, in a subsidy initiated by the Ministry of Climate Protection, in cooperation with the sports retail trade. Private individuals, companies, clubs and communities may now benefit from funding up to 600 Euros (450 Euros via the Ministry of Climate Protection and 150 Euros from the sports retail trade) towards folding electric or non-electric bikes, plus one bicycle service. Live since March 1 of this year, the initiative aims to make cycling more attractive to a wider group of riders, especially where folding e-bikes are more adaptable to multi-modal and public transportation. Indeed, for private individuals to be eligible for the subsidy, they need to show possession of an annual ticket for public transit. The folding bike itself must also be under 110 x 80 x 40cm folded.

    Austria has seen further regulatory developments this month in the form of an announced overhaul of e-scooter regulations in Vienna. The main change will see the city set up 200 designated parking spaces for electric scooters, making it impossible to end your ride unless you park in an official space. The move is intended to better control pavement parking, and parking spaces will be situated on the road, next to WienMobil bike stations. Sites can park 8 to 10 scooters and there will be a parking ban with a radius of 100 metres around them. Outside of these stations, riders are instructed to park between cars.

    Vienna already enacted a 500 scooter cap in its central zone and a 1,500 cap in districts 2 through 9 and 20, and in the future intends to designate red zones around hospitals, markets and other hotspots, where scooters will not work and parking violations will be enforced.

  9. London’s ULEZ subsidies could contribute to increased LEV use in excluded groups

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    Source: Cycling Industry News, M. Sutton

    Subsidies available through the ‘Ultra Low Emission Zone’ scrappage scheme have been confirmed to be valid for the purchase of e-bikes, cargo bikes, and e-scooters.

    London’s ultra-low emission zone (ULEZ) was designed to reduce the use of the most polluting vehicles in the city centre. Thus far, the ULEZ has helped to reduce roadside pollution levels by 44% in central London and 20% in inner London. Hence, the scheme is going London-wide from August 2023, aiming to improve air quality for an additional 5 million residents, trigger a 2% reduction in car use, and cut further into PM2.5 exhaust emissions.

    A key factor in the ULEZ expansion is the associated £110 million ‘scrappage scheme’; the full details of this can be found here. Transport for London shared, “Following the success of our last scrappage scheme, which saw the removal of more than 15,000 polluting vehicles from London’s roads, our new scrappage scheme will support Londoners on certain low income or disability benefits, and eligible micro-businesses (up to 10 employees), sole traders and charities with a registered address in London. Only eligible applicants with vehicles that do not meet the ULEZ emissions standard will qualify for our new scrappage scheme.

    It is excellent to hear that scrappage subsidies can be applied to the purchase of e-bikes, e-scooters, and cargo bikes. This massively improves the accessibility of LEVs and green mobility to many Londoners who may have been priced out until now.