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 and let us know.

Registration tax benefits

• Regions provide an exemption (either total or 50%) for alternatively-powered vehicles (ie electric, HEVs, CNG, LPG and E85).
• BEVs, FCEVs, PHEVs (with a range of > 50km) are exempt from the mass-based malus

Company tax benefits

Exemption from CO2-based tax component (‘TVS’) for vehicles emitting less than 60g CO2/km (apart from diesel vehicles).

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): € 5,000 (max 27% of purchase price)
• 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 the driver has an income less than €14,100 yearly, the maximum subsidy is €7000. And an extra €3000 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

https://www.eplaque.fr/en/grants-electric-vehicles-france
http://www.strategie.gouv.fr/publications/politiques-publiques-faveur-v…
https://www.affiches.fr/infos/droit-et-chiffre/la-fiscalite-des-vehicul…
https://www.primealaconversion.gouv.fr/dboneco/accueil/
https://www.service-public.fr/professionnels-entreprises/vosdroits/F222…
https://immatriculation.ants.gouv.fr/Vos-demarches/Cout-et-taxes-additi…
https://www.tesla.com/fr_FR/support/incentives
http://advenir.mobi/
https://www.avere-france.org/bonus-ecologique-et-prime-a-la-conversion-…
https://www.capital.fr/auto/malus-ecologique-calcul-et-montant-1386057h…
https://www.drivetobusiness.fr/taxe-sur-les-vehicules-de-societe-tvs/
https://www.drivetobusiness.fr/les-avantages-en-nature/
https://www.ecologie.gouv.fr/changements-en-vigueur-au-1er-janvier-2023
https://www.avem.fr/2023/01/04/changements-aides-voitures-camionnettes-…
https://www.economie.gouv.fr/particuliers/bonus-ecologique#
https://www.asd-int.com/en/france-all-about-the-french-tax-on-company-v…
https://blog.wallbox.com/france-ev-incentives/
https://www.wfw.com/articles/the-future-of-e-charging-infrastructure-fr….