France To Provide $22,000 Subsidy For Diesel Drivers Who Switch To EVs

While France already offers a subsidy of $8,400 for consumers who purchase a new electric vehicle, a proposed piece of legislation would see that figure expand for drivers of diesel cars, bringing the total subsidy to a staggering $22,000.

The bill, proposed by Segolene Royal (France’s minister for ecology, sustainable development and energy, and a one-time Presidential candidate) would provide enhanced subsidies for drivers of diesel-powered cars, according to the International Business Times.

With diesel cars being extremely popular in France, the bill would likely give drivers an incentive to scrap their oil-burner in favor of a new electric vehicle – and how convenient it is that French automaker Renault currently offers a range of EVs to suit every purse and purpose.

Although the Twizy is a niche city car, Renault’s Zoe and Kangoo EVs neatly cover the compact hatchback and commercial van markets, both of which are important segments and commonly powered by diesel engines. If a diesel driver took full advantage of the available subsidies – which, under the plan, would amount to an extra 10,000 euros on top of the 6,300 euros already available -, then a 20,700 euro Renault Zoe would cost just 4,400 euros.

While the program is undoubtedly cloaked in environmental benefits, the real gain here is for Renault, and France’s new car market. It’s hard to imagine that legions of diesel car owners wouldn’t be compelled to make the switch to a 4,400 euro new car, even with the limitations that come with owning an EV. Year to date, EV sales are down 12 percent in France, with Renault sales down 6 percent. This move should reverse things tout de suite.