German government expands subsidies for electric cars
dw.com
dw.com
Most of the other comments seem quite negative. It is protectionism, but it applies to most electric cars and is a step in the right direction. It is late and selfish, but better than the alternative.
Electric cars only make 1% of the annual car registrations in Germany and 0.18% of the total number of cars registered.
In fact, Volkswagen is planning a new factory for cars with combustion engines in Turkey. It's just currently put on hold due to the conflict at the Syrian border.
But just from the fact that electric cars have a 5 times higher share of new registrations than of existing cars shows that it's a growing market, and adoption curves usually grow exponentially until you approach market saturation. Volkswagen is doing a lot to get a bigger piece of that pie.
Yes, there is a long tail of applications where EVs are not a reasonable proposition. Emergency services (police, medical, fire fighting) come to mind immediately. There is pretty much no way you can built an all-electric fire truck with batteries that isn't much worse than ICE fire trucks today: Battery weight means you can carry less water, which directly reduces operational capability; limited battery charge means the truck's pumps don't last as long, and a battery is much harder to refuel in the field than a tank of diesel. Similar reasons apply to ambulances. Some L.E. vehicles can reasonably be made to work as EVs (patrol cars), others not so much. Whenever you need to maximize off-grid operational time or you continuously need a lot of power, EVs are just not a sane option.
Additionally the small number of these vehicles make their emissions rather irrelevant.
You can use fuel cells. Harder than a tank of diesel (less energy dense), but not by much.
Of course in sparsely populated places like much of the US this looks completely different. Another class of vehicle that will hold onto ICE for a long while will be farming vehicles. I don't see a farmer recharging his combine harvester in the middle of the field until we have made significant advances in battery tech.
The problem is not so much the driving range, that is true. The problem is that taking out a fire might take 10 minutes, 10 hours or 10 days. The electric truck is fine for 10 minutes, but it won't be fine when you have to stay on site for a couple hours.
[0] https://electrek.co/2019/11/04/vw-id3-production-electric-ca...
[1] https://www.reuters.com/article/us-volkswagen-strategy/vw-em...
https://www.reuters.com/article/us-volkswagen-emissions-comb...
https://www.freiepresse.de/nachrichten/sachsen/volkswagen-be...
What's funny is how the requirement of a <= 60k EUR car price means that those buying a Tesla won't get any subsidies. It's kind of understandable though: in Germany most cars are sold in the 10-20k EUR range, so it would be political suicide to create a subsidy to pay for what most citizens consider a luxury. Subsidizing cars in the 40k-60k EUR is quite outrageous already IMO.
I don't understand it personally, I prefer cycling and having my mortgage paid off but everyone to their own :)
I guess if you're in your 50s then you paid very little for your house so it makes sense to pay the 1200 EUR a month net for a car.
The government has acknowledged this now, and it will tapered down / abolished. Not sure.
For electric cars you pay 4% of the new price for the first 50k then 21% over the rest. Your employer pays the lease itself (about 1.2k EUR for a Model 3 last I checked).
Although this is marketed as a "tax cut to the rich" that isn't completely true. Most new car sales here come from leases. In 4 years time these cars will hit the second hand market and be bought by people like me.
We should absolutely be increasing tax on the most environmentally unfriendly leases and using that money to fund the lower rate on pure electric cars. Let the SUV drivers pay.
Which is great you like Me or my parents who have a spare 8-10k - if your a single mom living in rented accommodation who buys her electricity via a key not so much.
What does "via a key" mean?
This is, of course, tailored at the poor.
https://cleantechnica.com/2019/04/13/tesla-model-3-vs-bmw-3-...
It's not out of the question that Tesla drops the price to 39.999E without the fancy AP hardware so people take full advantage of the subsidy.
> For electric cars over €40,000, there will be an increase in the subsidy by 25%. Any car priced over €60,000 will not supported by the scheme.
For 20k EUR I get a decent Mercedes C 220: https://www.autoscout24.de/angebote/mercedes-benz-c-220-c-kl...
or a decent E350 with 40k km (similar to the one I bought, see below): https://www.autoscout24.de/angebote/mercedes-benz-e-350-t-cd...
etc. The only people buying new cars in Germany are either private companies / leasing companies, or rich people that don't know what to do with their money.
You can get pretty much any 2 year old car with 20-40k km for 1/2 of the original price in perfect condition, and 1/4 of the original price with 100k km and being 3 year old model which is more or less what many leasing car get in the 2-3 years its leased.
I was looking for a car in the ~<80k EUR segment early this year and ended up paying 26k for an E350 from 2016 with 60k km and 3 years warranty, and buying a super sport bike also used for 9k as well instead, and saved over 50k EUR in the process that I ended up putting in ETFs.
Buying new cars makes zero economic sense. Even if you try to buy from the German manufacturers here, their websites offer you used cars ("refubrished") with 5 years warranty for a fraction of the price.
If you are looking for a car in the 40k EUR segment, for buying new to be worth it would mean that 20k EUR are "nothing" for you, which is hard to believe because if that were the case you'd be actually looking at cars in at least the 80-120k range. Even for somebody making 120k EUR/year, 20k EUR is still not pocket change, its two months salary full-time.
I'm not sure why they are so expensive, but I can imagine that if you have to retrofit the battery system for 20-30k EUR before reselling them, then that's going to drive their price up quite a bit.
Not involved with any of this! Poland stronk. We love Poland in any case.
How does that work?
Assuming a base state of
* Car costs $34000, subsidy is $4000, manufacturer pays $2000
How are the two following scenarios different:
* Car costs $34000, subsidy is $5000, manufacturer pays $2000
* Car costs $35000, subsidy is $6000, manufacturer pays $3000
It seems like the "manufacturer pays half" thing is just a trick to make the subsidy appear more palatable to voters/taxpayers, since effectively, the manufacturer is paying itself.
Why not subsidize public transport instead? Why has the German government been unable to make (useful) climate protection laws in the past years, but these odd subsidies are no problem?
Also, I think it's good to get into renewables for the climate and to cut the monarchs and autocrats off from their money in the long run.
https://www.volkswagenag.com/en/InvestorRelations/shares/sha...
Edit: Saxony does get more voting rights than Qatar.
This is backwards, plugin hybrids rarely use their gas engines. BMW 330e 2020 has a 20 mile electric only range (about the same as Prius Prime). Average German car trip distance is 11 miles [0] Even if the trip is longer than 20 miles, it will only use the gas after the electric runs out.
[0] Large PDF, average car trip distance on page 50 https://setis.ec.europa.eu/system/files/Driving_and_parking_...
Can't seem to find the link :/
edit: Anecdotal: My father-in-law is a typical German field staff. Average daily driving distance is ~60 miles. And he certainly would not charge the car at home over night, from his private electricity bill. I doubt many people would.
Do plugin hybrids or EVs solve all current transportation problems for all transport distances? No. Is there a issue with subsidizing luxury vehicles? Yes. But I wanted to correct your incorrect statement about plugin hybrids.
[1] https://www.adac.de/_mmm/pdf/statistik_mobilitaet_in_deutsch...
They decided to subsidize the industry to drive growth and help their big players quickly get to scale where they can make a profit. The alternative is they cease to exist and Germany suffers.
I'm all for public transit, but people there won't stop buying cars. Might as well buy local.
While they certainly have deficiencies in the software department compared to Tesla and Germany not being the best place to test autonomous vehicles, they had electric cars for years now. The produced few because the market isn't really convinced yet.
Companies are the primary customers. Some of our workers use electric vehicles because they got a company car, but nobody owns one.
Apart from a nuclear apocalypse I don't really see the large manufacturers ceasing to exist anytime soon. They have enough capital to invest in development.
But on the other side. Evs have an henn and egg problem. People need charging stations. Firms need an incitive to build them.
And I think even hybrid are shitty all around. They create the demand for charging stations without being 100 percent depend on them. So they can be build and get used..
This is Germany too, so there's already a lot more riders than in the US so drivers are accustomed to see them.
(I don't actually know how healthcare works in Germany, not being German, but I assume it's like other first world countries in that it's subsidized by taxpayers).
And aren't we in a climate crisis? If its a question of environmentalism my 125cc minibike gets 150mpg. Its greener than a Tesla.
Source: an experienced rider with over 100,000 miles riding all over the USA and teacher of multiple new riders.
> over 100,000 miles riding all over the USA
Yeah that's actually a good argument for not subsidizing them since it encourages non-green behavior—driving all over the country on joy rides.
More people road-trip in cars than motorcycles.
Even among motorcyclists, in the US it's been more common to transport bikes across the country to attend events like Sturgis, Bikeweek, or to ride "the tail of the dragon", than do the trips on two wheels.
My extensive touring on two wheels is the exception not the norm, it's fairly unusual, uncomfortable, unsafe, expensive, and inconvenient. This activity isn't even a blip on the environmental impact radar, and never will be.
Motorcycles are firmly in recreational use territory, promoting them from an environmental perspective is utterly misguided. People will often be buying them in addition to other more practical and safe vehicles. It's just more consumerism, they'll never represent a bulk of miles traveled nation-wide, but will always cost resources to manufacture.
I grew up in the midwest where there's quite a lot of "lifestyle" bikers, their garage queen bikes are ridden so little you can arbitrage buying barely used bikes from the midwest by selling them on the coasts.
I realize this is a bit off topic but I get so bitter when I heard about other countries converting to electric. I just wish someone would make and sell a reliable electric car in the states for around 10-15k and provide me with enough utility stations to make it practical to use.
And I'm lucky enough to have a parking garage. At least ~70% of the people living in my area park on the street, where there are... Also no chargers.
With a service like Chargepoint, there is no cost to the landlord at all. They have a brochure you can print out on their website.
Failing that you can park near a regular 120v outlet and use level 1 charging, which fills up most cars in about 8 hours.
A regular 120V outlet is 15A at best (usually 12A). That's barely enough to charge a PHEV in 8h, let alone a BEV. Practical example [0]:
> connected to a 240V outlet, the onboard 7.7kW charger should take the battery from 0-100% SoC in 2 hours 25 min. (A 120V charge will take a bit longer at just over 16.5 hours.)
[0] https://arstechnica.com/cars/2019/10/on-the-road-with-audis-...
The EVSE run between $500 - $1000. Add in the cost of a residential electrician, and I'm estimating $3k total. If it's commercial, then double that. If you have to trench and do concrete work, double it again. Get into a ROW with other utilities, even worse. It gets expensive really fast.
The level 1 charger for my 24 kW*H Leaf says 24 hours for a full charge. Forget about it for a Tesla.
Either way (I could be wrong) I don't think you can just plug it into a 120V outlet to get a charge.
That's what prevented me from buying one as well. I didn't want to have to go wait in line at one of the few public chargers in my city.
A 120V/15A outlet will deliver 1.8 kW. Assuming "overnight" means 12 hours, you can charge ~21 kWh, about 80 miles in a Model 3. Probably enough to keep it topped off after your daily commute/driving. (Edit: apparently 15A means 12A, so a bit less)
Some employers also offer EV charging spots.
2 Not everyone lives in a house with of street parking
1. not every part of the U.S. grid is in dire need of improvement, most homes have access to 240v most of the time. (with the exception of the 1 state that has assigned fire damages to their utility. And, most vehicles are charged at night, outside of peak demand. (also, the Tesla wall was a technology that further decreased demand on the grid)
2. Most of Montana is going to have off street parking, be it a barn or garage (and with at least 120v) mostly by the necessity that sub zero temperatures ~2 months of the year freezing anti-freeze, batteries -- and that you can't use an ice scraper to scrape off feet of snow.
All the mains sockets in uk houses are 240v - this is whey you never see an electric kettle in US homes
By code, US 2 phase (120x2 == 240) is going to be wired with lower gauge wire to provide more overall electricity. Typically, the 240v is going to be capable of providing 600 total amps (though there are cases where 400amp is served); with a typical breaker at 30 or 40 amps. compared to a triple 415 providing 8 or 15amps.
For these cars they work great but you have to accept that they usually have to be charged every other day.
You can get used Nissan Leaf's in the price-range you're wanting. In Spokane tho I guess...
https://www.cars.com/for-sale/searchresults.action/?dealerTy...
Or used Prius's in Missoula:
https://www.missoulanissan.com/VehicleSearchResults?search=p...
edit: I am genuinely curious about the $5K car good for 100K miles.
This is the biggest barrier to electric IMO. I'm planning on getting a Tesla but it makes absolutely no economic sense.
Which country is converting to electric?
"China Beats U.S. 8-1 When It Comes to Charging Electric Cars"
https://www.bloomberg.com/news/features/2019-10-15/china-ele...
I didn't even own a desktop computer because I couldn't justify the space a dedicated computer space takes.
Thus, given the golf carts can't drive everywhere, you pretty much need a second car so I kind of agree with you. That being said, wasn't there some noise about free public transit? Maybe a small EV (not necessarily from China PR) is good enough in a pinch if the public transit is free of cost and reliable?
Are you referring to it as a death trap based on it's crash test performance or solely on the looks?
It is possible to make a safe lightweight car. DLR is proving it with their research.
The way that company fucks Germany over and over is truly remarkable. Paid no penalties for the whole Dieselgate in Germany, now after all that they let the taxpayer fund their infrastructure. I bet their solution won't be compatible with Tesla.
Edit: Okay, charging system seems to be compatible, I got angry over the first part.
They could have done that for years, but it happens the day Volkswagen decides to finally build them.
Instead, we got DieselGate, not just one, but at this point, several of them [0] and the responsible parties, even government agencies who knew but tried to hide it, just shrug their shoulders and nothing changes.
Now they can celebrate themselves for putting EV on their agenda when everybody else is already miles ahead. Which is a common theme with German politics and any kind of tech innovation [1]
[0] https://www.rbb24.de/politik/beitrag/2019/10/abgase-dieselsk...
[1] https://www.spiegel.de/international/germany/merkel-neuland-...
I came to believe that German politics still associates "high tech" with the cog wheel: more cog wheels, more tech.
Since that doesn't apply to IT, it completely falls by the wayside. And since EVs have less of them than an ICE car, they're also lower tech than regular cars.
So far that's the only way I could make sense of it all.
It's a standard charger system that I've seen all kinds of cars (incl. Teslas) connected to. Also: Renaults, VWs, BMWs, Mitsubishis.
> The way that company fucks Germany over and over is truly remarkable.
Their political reach certainly is remarkable. I quipped that there will be legal roadblocks for autonomous cars in Germany that "magically" disappear each time a German car maker solves the technical issues that prevents them from going to market with it now.
> Paid no penalties for the whole Dieselgate in Germany
Some of that is blatant protectionism (which applies even when banks defraud the federal government by scheming to recoup taxes they never paid: https://www.cnbc.com/2019/10/14/cum-ex-german-tax-case-could...), but the other part of no-to-low penalties in Germany compared to certain other countries is due to differences in the legal systems.
Germany first had to establish a process for something akin to class action lawsuits, because that didn't exist here. That was done in response to the Dieselgate thing.
Even with that in place, you won't see the huge sums in Germany that you see in the US as punitive damages (doubling or tripling the value "because") don't exist, either (with no intent to change that): There's potentially a legal penalty and there's damages - for which actual damage needs to be proven.
German prosecutors have charged VW's former CEO and some other executives [1]. I think it's very rare for bigwigs to be held personally responsible for pollution anywhere in the world so I see this as a refreshing change. The company itself paid a fine in Germany (one billion, I think) and has paid fines in other countries, as well as recalling a lot of cars.
As far as government support goes, well, Tesla made a ton of money from selling pollution permits and I think their car prices were also directly subsidised. I'm sure the big Chinese EV manufacturers were supported at crucial times as well. Industrial policy can be corrupt but it is a necessary part of a big, national or international level effort and I don't think there is any point in pretending otherwise.
- 5 million, the maximum for this misdemeanor "Ordnungswidrigkeit",
- 995 million levy of infringer's profits.
Given that they couldn't have sold their cars if the real emission values would have been known that number is ridiculously low (we are talking about 10 million cars sold between 2007 and 2015).
Now the article mentions 3.5 billion will be invested in electric vehicle infrastructure subsidies.
About 50% of the population in Germany are renters, not owners. And for the other 50% owners, many just own a unit in a multi family building, not the whole property.
For manyyyyy of these people there simply is no option to conveniently fast charge their electric vehicle at home. No renter will want to invest in a pricey wallbox at a property that they don't own - even if the landlord would allow such a wallbox to be installed (most don't want any modifications to their building). And for the apartment/unit owners, a German court has decided that all the other unit owners must agree to such a wallbox being installed, so that's another obstacle.
I don't see any major city doing that anytime soon. The grid is not ready, power plants are not ready, it would cost billions to rewire everything, especially in old European towns. And even more for germany since they're shutting down coal and nuclear right now. It's not a big issue though, we should focus on getting rid of personal cars and that's something Berlin is getting slightly better at by the day.
Secondly, grid has a lot of capacity. Its like motorways, most of the time its under utilised. Only during peak time that it is full capacity. Think of the grid in a similar way. Its mostly under utilised except for peak time. All we need to do is make use of it outside peak time (with batteries) and suddenly we have double or triple the capacity.
> All we need to do is make use of it outside peak time
Seems like a huge thing to overcome to me.
The UK National Grid says otherwise.
See https://www.carbonbrief.org/rise-uk-electric-vehicles-nation... for instance.
Laws can be changed.