Germany has pledged to cut carbon dioxide emissions by 80 to 95 percent by 2050. In order to meet that pledge, new car registrations of gas and diesel powered cars need to stop by 2030. If the campaign is successful, the government estimates it will take about 20 years for existing internal combustion powered cars to get off the road.
In addition to setting a cutoff for gas-powered sales, in April Germany established an incentive program to speed up the manufacture and purchase of EVs. The key feature of the program is a 4,000 euro ($4,480 U.S.) incentive program for people who buy all-electric vehicles. The incentive is in the form of a discount from the purchase price and is paid directly to the dealer. This discount is money paid directly and immediately, unlike a tax credit or tax deduction.
Germany’s two largest automotive manufacturers, Daimler and Volkswagen, have already made their electric vehicle program strategies public. Volkswagen announced a goal of manufacturing two to three million EVs annually by 2025, including more than 30 new “purely battery-powered electric vehicles.”
In June Daimler pledged to develop more environmentally friendly designs for all powertrains. Mercedes-Benz introduced the all-electric Generation EQ concept SUV, at the 2016 Paris Motor Show. The EQ is the first of many models to be built on Mercedes’ new electric car dedicated platform.
The decision to push for a 2030 Europe-wide ban on new gas-powered cars, published by Der Spiegel, is a step forward but doesn’t carry the weight of law. Germany, however, is influential with EU Commission headquartered in Brussels, which can push for wider spread regulations, which in turn will make such laws easier for its constituent countries to enact.
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