June 03, 2024

Ecobonus 2024: new incentives for electric cars kick off

Incentives
  • Introduction of Ecobonus 2024: The Ecobonus Decree has been published, making the reservation platform operational as of June 3, 2024, with 1 billion allocated to incentivize the purchase of electric and low-emission vehicles.
  • Proportional incentives: Incentives vary according to the environmental class of the vehicle to be scrapped and income (ISEE), with higher contributions for those with an ISEE of less than 30 thousand euros and for the most polluting vehicles scrapped.
  • Procedure and constraints: Dealers apply for ecobonuses through a dedicated platform, with specific clauses for contracts signed before entry into force and a constraint that requires the vehicle to be scrapped to have been in their name for at least 12 months.

After months of waiting and preparations, the decree on Ecobonus has finally been published in the Official Gazette. The booking platform managed by Mimit (Ministry for Business and Made in Italy) is operational as of 10 a.m. today, Monday, June 3, 2024.

As of this date, it will in fact be possible to access the forms to apply for the bonuses and consult the tables with the allocation criteria. The government has allocated 1 billion euros for these incentives, aimed at boosting the automotive sector and accelerating the transition to electric vehicles.

The main new features of the Ecobonus

The new incentive system introduces a proportionality of contributions based on the environmental class of the vehicle to be scrapped, including Euro 5 class cars. The main objective is to encourage the purchase of electric, plug-in hybrid and heat-engine cars with low emissions (up to 135 gr/km of CO2).

Incentives based on ISEE

Incentives are differentiated by income to favor those with lower ISEE in the following way: those with ISEE over 30 thousand euros will be eligible for an incentive of 6,000 euros without scrapping or 9,000 euros with scrapping. Those with an ISEE of less than 30 thousand euros will be eligible for an incentive of 7,500 euros without scrapping or 13,750 euros with scrapping.

Incentives for electric cars

Incentives for the purchase of electric cars, with 0-20 gr/km CO2 emissions, and with a maximum price of 35 thousand euros are as follows:

  • Without scrapping: 6,000 euros (7,500 euros with ISEE under 30 thousand euros)
  • Euro 0, 1, 2 scrapping: 11,000 euros (13,750 euros with ISEE under 30 thousand euros)
  • Euro 3 scrapping: 10,000 euros (12,500 euros with ISEE under 30 thousand euros)
  • Euro 4 scrapping: 9,000 euros (11,250 euros with ISEE under 30 thousand euros)
  • Euro 5 scrapping: 0 euros (8,000 euros with ISEE under 30 thousand euros)

Incentives for plug-in hybrid cars.

The incentives for hybrid cars with emissions 21-60 gr/km CO2 and a maximum price of 45 thousand euros are as follows:

  • Without scrapping: 4,000 euros (5,000 euros with ISEE under 30 thousand euros)
  • Euro 0, 1, 2 scrapping: 8,000 euros (10,000 euros with ISEE under 30 thousand euros)
  • Euro 3 scrapping: 6,000 euros (7,500 euros with ISEE under 30 thousand euros)
  • Euro 4 scrapping: 5,500 euros (6,875 euros with ISEE under 30 thousand euros)
  • Euro 5 scrapping: 0 euros (5,000 euros with ISEE under 30 thousand euros)

Incentives for endothermic-powered cars

There is no shortage of incentives for endothermic cars, having 61-135 gr/km CO2 emissions and a maximum price of 35 thousand euros, broken down as follows:

  • Without scrapping: 0 euro
  • Euro 0, 1, 2 scrapping: 3,000 euros
  • Euro 3 scrapping: 2,000 euros
  • Euro 4 scrapping: 1,500 euros
  • Euro 5 scrapping: 0 euro

Incentives for motorcycles and commercial vehicles

For motorcycles, scooters, electric tricycles and quadricycles, the subsidy is 30%, up to 3 thousand euros. This increases to 40%, up to 4 thousand euros, with the scrapping of a Euro 0, 1, 2 or 3 vehicle.

For non-electric models up to Euro 5, the discount is 40 percent, up to 2,500 euros, but only with the scrapping of a Euro 0 to Euro 3 vehicle. Commercial vehicles, on the other hand, have a bonus grid that varies according to different factors, with incentives ranging from 1,000 to 18,000 euros.

How to join

Dealers will be able to apply for ecobonuses through a dedicated platform, managed by Invitalia on behalf of the ministry, active as of today, June 3. Indeed, dedicated staff will be able to apply for ecobonuses on behalf of customers, using the forms and following the criteria for awarding grants available on the site.

Some dealerships had motorists sign contracts before the rule went into effect. Because this is a "click-day" system where resources can run out quickly, these contracts include a cancellation clause if you fail to get the bonus.

It is good to keep in mind an active constraint for these incentives: in order to qualify for the bonus, the vehicle to be scrapped must have been in the name of the person who owns the new vehicle or one of his or her cohabiting family members for at least 12 months. In the case of leasing, the constraint applies to the user person or one of his or her cohabiting family members.

Conclusions

Manufacturers have welcomed the new Ecobonuses, seeing them as an important step toward placing the Italian car market at the center of the European scene. These new incentives represent a significant push toward modernizing the Italian car fleet, which has an average age of more than 12 years.

With robust economic support, the government aims to reduce pollutant emissions and close the gap between Italy and other major European economies in the transition to more sustainable mobility.

The next step called for by many industry players involves the issuance of incentives to support theelectrification of corporate fleets by incentivizing the purchase and leasing of electric vehicles.

In the fleet and on the whole electric mobility sector, Powy is active in building an increasingly widespread public charging network in Italy and Spain. Browse our website to find out more.

About Powy

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Powy is a company active in the development and management of public charging infrastructure for electric vehicles. It is based in Turin, Italy, where it launched commercial operations in 2021. The network of Powy is composed of different types of charging infrastructure (from quick, to fast to ultra-fast) located in highly strategic locations, providing energy from 100 percent renewable sources. This makes it possible to offer EV drivers state-of-the-art solutions suitable for all charging needs. Info: www.powy.energy