German policymakers, industry experts, NGOs and unions were divided on the SPD's electric car subsidy plan. (Image: iStock)
German policymakers, industry experts, environmental NGOs and unions were split over a proposal to support the country’s ailing car industry with a new ‘cash for clunkers’ scheme, ahead of an industry crisis summit convened by the economy ministry.
Members of chancellor Olaf Scholz’s Social Democrats (SPD) argued in a paper seen by German media that people who trade in their old combustion engine car against a new electric model should receive a bonus payment of 6,000 euros, while drivers buying a used electric car should get a subsidy of 3,000 euros. To boost faltering electric car sales, the paper also suggested subsidies for electric car leasing for people with low or medium incomes, as well as support for private charging boxes, storage units and charging points.
