Electric car at €100 per month, the government’s difficult equation

The measure was a campaign promise from Emmanuel Macron. An electric car, accessible at €100 per month for the most modest households, partly subsidized by the State. Finally, it will not arrive before the end of 2023, confirmed the Minister of the Economy Bruno Le Maire on Tuesday, during a trip to the Paris Motor Show, not wanting the State “finance foreign manufacturers”.

“We are working technically (…) and above all to define the timetable, precisely to allow the device to be deployed in parallel with the increase in production in France.said the President of the Republic, Emmanuel Macron the day before, in an interview with the newspaper The echoes. Pre-orders will be made by the second half of 2023, for delivery in early 2024, which corresponds to the ramp-up of our entire strategy. »

Become owner

Few details have leaked on the final form that the device could take. Literally translated, the leasing system corresponds to rental with option to purchase: after an initial contribution – which can be partly financed with the ecological bonus and the conversion bonus – it must allow the rental of an electric vehicle up to until the sum paid allows to buy it back. The measure has already been implemented by some manufacturers in recent months, like Dacia, Renault, Fiat or Peugeot. Some banks have also embarked on this rental race.

With social leasing, the State would bear part of the cost to arrive at a monthly bill of €100 for the consumer. Hence the challenge of seeking above all to subsidize low-cost vehicles, to avoid creating a financial abyss. In June, the Minister for Energy Transition, Agnès Pannier-Runacher, specified that the measure could concern people whose car is a work tool and those who do not have the necessary means to switch to a clean vehicle. The ultimate goal is to reach 100,000 people per year.

Origin of vehicles

But the calibration is difficult. “The most modest households, especially in the first decile, will not necessarily have the means to pay the monthly installment of €100 or the supplement necessary to buy back the vehicle, poses Clément Dupont-Roc, automotive partner at C-Ways. In terms of income, it is only from the third decile that people can become homeowners. On condition that vehicle prices are low, which will be very difficult to offer in the future with French productions. »

For now, the first city car models start at around €20,000 and are assembled in China. Enter here “electric car for all” advocated by Emmanuel Macron and the potential financing of competitors to the French sector, it is therefore a delicate equation for the government.

“The measure must benefit the greatest number”pleads Dorothée Dayraut Jullian, director of public affairs and communication at Mobilians, federation of automotive services. “You have to be vigilant to target the households that need it the most, but they also have to be able to buy the electric vehicle, otherwise they won’t use the measure. »

Tariff shield

With this measure, the government is trying to act on the electric car price wall. In the interview with echoesEmmanuel Macron had also announced the increase of €1,000 in the ecological bonus for half of households and a tariff shield on the recharging of electrical terminals.

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