Vehicle stimulus package: Environmental bonus, conversion bonus—the new measures for 2020
The French government has recently set out a multipronged approach for restarting the economy, confirming its ambition to drive the energy transition. Against this backdrop, the government has developed a stimulus package for the automotive industry.
Effective from June 1 until end-2020, the package will help companies and households purchase and lease vehicles, supported by three measures :
1. New ENVIRONMENTAL BONUS in 2020 for NEW vehicles, whether COMMERCIAL or PRIVATELY-OWNED :
FULLY-ELECTRIC VEHICLES (less than or equal to €45,000 incl. VAT):
- €5,000 for companies or corporations;
- €7,000 for private individuals.
Rechargeable hybrid vehicles (PHEV or PLUG-IN, with a range above 50 km/31 mi [WLTP standard], less than or equal to €50,000 incl. VAT):
- €2,000 for companies, corporations and private individuals.
Maximum environmental bonus specified, up to 27% of the purchase price (battery included).
2. CONVERSION BONUS revised upwards:
- For companies and corporations:
The 2020 conversion bonus has doubled to €5,000 for light electric and rechargeable hybrid commercial vehicles with a range above 50 km (31 mi).
- Eligible private individuals:
The conversion bonus increases to €3,000 when purchasing a combustion-powered vehicle and to €5,000 when purchasing an electric or rechargeable hybrid vehicle, with a range above 50 km (31 mi). Coverage has been expanded for households that benefit from bonus increases on combustion-powered, electric and rechargeable hybrid vehicles. The taxable income benchmark threshold in France has increased per unit, from €13,500 to €18,000. (This accounts for nearly 75% of the French population.)
In any event, the eligibility criteria have been made less stringent to ensure the scrapping of vehicles such as those qualifying for France’s Crit’air 3 system (i.e. gas vehicles registered before 2006 and diesel vehicles registered before 2011, which represent 50% of France’s vehicle fleet.)
Note: This conversion bonus will apply to the first 200,000 requested. Once this figure is reached, the previous scale will be reintroduced.
3. ADDITIONAL BONUS for beneficial owners who live and work in a “Low Emission Zone”(Zone à Faible Emission [ZFE]):
- €2,000 for Rechargeable hybrid vehicles (PHEV or PLUG-IN), with a range above 50 km/31 mi (WLTP standard), less than or equal to €50,000 incl. VAT (additional bonus funded equally by the French government and local authorities)
- The ZFEs are as follows: the intercommunal structures of Aix-Marseille-Provence, Clermont Auvergne, Greater Annecy, Greater Nancy, Greater Paris, Grenoble-Alpes, Lille, Lyon, Montpellier Méditerranée, Plaine Commune, Saint Etienne, Strasbourg, Toulon and Toulouse in addition to the Arve Valley (the municipality communities of the Chamonix-Mont-Blanc Valley, Cluses Arve & Montagnes, Faucigny Glières, Pays du Mont-Blanc and Pays Rochois), the intercommunal community of Arras, the intercommunal structures of La Rochelle and Valence Romans, and Fort de France.
A combined package of three measures is possible depending on your status (revenue-tested and to be confirmed).
You are a Professional ?
The BPCE Car Lease Long-Term Rental offer lets you benefit from all the measures in this government stimulus package.
We offer an extensive range of cars online.Choose the one that meets your needs without leaving the comfort of your home:
Peugeot e-208, Peugeot e-2008, Renault Zoe, Renault Kangoo, Nissan Leaf, Hyundai Ionic, Hyundai Kona, Volkswagen Up, BMW i3, Tesla Model 3, Tesla Model X, and many more !
To supplement the French government’s measures, BPCE CAR LEASE is offering you
the first three rental payments free of charge (€0)
for all Long-Term Rental contracts set up before 12/31/2020.
Full breakdown of our special offer
You are a professional and registered with MyCarLease ?
Feel free to call our sales team. They’ll provide you with a quote that exactly matches your needs:
Tél. : 01 58 32 58 58
Monday through Friday, 8:30 a.m. to 6:00 p.m., local call cost
To learn more about the government bonuses, the 2020 environmental bonus, the conversion bonus , and eligibility conditions, please see the French government’s public administration website.