Essay on Business Plan For Boost Electric Car Sales
Case Study: “Germany to Give €1Bn Subsidy to Boost Electric Car Sales”
Seen as a dedication to meet the national climate goals with zero-emission mobility, Germany will subside all electric car purchase to boost the slow growth of the sector. For instance, the buyer will receive a subsidy amounting to €4,000 for the purchase a purely electric vehicle and €3,000 for a hybrid. With the program starting in May 2016, the Germany hopes that by 2020 the initiative will help them put 1 million electric cars on the road.
This program has been received well by the public with giant auto manufacturers, Volkswagen, BMW and Daimler having already signed to it. In due course, the program will be open to all the auto manufacturers, both national and foreign. This is aimed at ensuring that all the automakers together with their customers are able to enjoy the benefit, hence attracting a larger portion of the public.
The one billion budget will be divided into three parts, with €600 million distributed as subsidies on a first-come-first-served basis for vehicles priced lower that €60,000. An additional €300 million will be used to speed up the development of infrastructure of electric car charging stations in the cities and autobahn stations. The remaining €100 million will be used to purchase electric automobiles for the federal government fleets.