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European Alternative Fuels Observatory

France

Incentives and Legislation

The incentives and legislations section is updated for beginning of 2024, as of 23rd April 2024.

Incentives and legislation that aim to increase uptake of alternative fuels vehicles and infrastructure.

If you know of other national or local incentives that should be included in this section, please send us an email, or use the button on the right, and let us know.

Registration tax benefits

Fully electric vehicles and plug-in hybrids are for 50% exempted from registration fees. And 100% exempted form licence plate regestration (available on most regions) 

Company tax benefits

The 8th of December 2022 Social Security’s official newsletter has established the prolongation for two years (until the 31st of December 2024) of companies’ BIK assessment for the provision of an EV and the use of a charging station.

For the calculation of social contribution, the advantage resulting from the provision of an EV to employees will not take into account the electricity fees engaged by the employer for the vehicle’s charge and will be systematically assessed after a 50% depression which the amount of is capped at 1 800 € per year.

Purchase subsidies

Through the “ecological bonus”, the state helps citizens with the purchase of a vehicle. In other words, it provides financial assistance to anyone who buys or leases a new or second-hand low-emission vehicle. (Types of grants in France, and amount as of July 1st, 2022)

  • Electric cars (CO2 emissions : 20g/km max) worth less than € 47,000 (grant for individuals), and a weight limit of 2.4 tons: € 3,000  (max 27% of purchase price), or € 4,000 for LCVs
  • Electric cars (CO2 emissions : 20g/km max) worth less than € 47,000 (grant for companies): € 3,000 (max 27% of purchase price)

Additional incentives: if driver has income less than €14,100 yearly, maximum subsidy is €7000. And extra €1000 to 3000 eur for vehicles in Low Emission Zones.  

Conditions to be met. Certain conditions must be fulfilled to benefit from this grant:Be resident in France. Buy or lease the vehicle. The vehicle can be new or used, for used cars the subsidy is €1000. Has to be 100% electric or hybrid (less than 50 gr of CO2). The vehicle must be a passenger car, van, 2 or 3-wheel motor vehicle or quad bike. If it is a car or a van, the owner does not have the right to sell his vehicle before 12 months of ownership.  

Other Financial Benefits

With a green card (eligible for Evs) up to two hours of free parking in certain municipalities

AF Infrastructure Incentives

In November 2020, the Advenir program was officially renewed for 3 years until December 2023 with new application rules. The subsidy is capped at 960 EUR for individuals and 1660 EUR for shared ones.

All the work to install an electric car charging station at home benefits from a reduced VAT rate of 5.5% . For the installation of sockets intended for recharging in buildings over 2 years old, VAT is 10%. In buildings less than 2 years old, VAT is 20%.

Since January 1, 2021, as part of the 2021 finance law, a dedicated tax credit applies for the purchase and installation of a charging station for electric vehicles between January 1, 2021 and December 2023. This tax credit covers 75% of the costs of purchasing and installing the charging station up to a limit of € 300.

The work must be carried out by a qualified company that supplies the equipment or its subcontractor. The invoice must mention the address of the work, as well as the technical characteristics of the charging station and its price. To finance electric vehicle charging infrastructure, there is also the Advenir subsidy, intended for individuals in collective buildings, co-ownership trustees, companies, communities and public persons.

Interesting links
Local incentives

Since 2019, the Métropole du Grand Paris, grouping together 131 municipalities, has offered assistance with the purchase of an electric vehicle . It initially offered 5,000 €, then 6,000 € since December 14, 2020 for any new electric car, new or used, and the scrapping of an old vehicle. The aid is cumulative, and can bring the total amount up to € 19,000 with national bonuses, premiums and surcharges. The amount is €2,200 for income over €30,508, €4,500 for income between €14,090 and €30,508, €7,500 for income between €6,359 and €14,089 and €9,000 for income less than or equal to €6,358.

The Normandy region has implemented measures to support the purchase of electric vehicles . For the purchase of an electric vehicle of less than 40,000 €, the aid is 1,000 to 2,500 € depending on income and type of household.

Auvergne-Rhône-Alpes - Vallée de l'Arve region offers SMEs, communities, etc., up to 5,000 euros in aid for an electric vehicle. In Normandy, micro-enterprises and associations can benefit from aid of 2,000 euros for the acquisition of a 100% electric models. [2021]

Nice and its agglomeration have adopted aid for individuals, without income conditions. The aid for the purchase of a new vehicle is 2,000 €, however with the scrapping of an old ICE.

Institutions involved in Incentives
  • Service Public Pro (e.g. VTS tax information)
  • Ministere de la Transition ecologique et solidaire
  • ASP - Agence de Services et de Paiement
  • Advenir

Are you aware of further incentives you want to bring to the Observatory's attention? Let us know by filling in this form.

Incentives and Legislation

The incentives and legislations section is updated for beginning of 2024, as of 23rd April 2024.

Incentives and legislation that aim to increase uptake of alternative fuels vehicles and infrastructure.

If you know of other national or local incentives that should be included in this section, please send us an email, or use the button on the right, and let us know.