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French scrappage scheme: new conversion bonus system comes in to play on 3rd of August

The French government’s scrappage scheme, implemented for transforming the French car fleet towards newer and less polluting vehicles, is being replaced by the new conversion bonus system applicable from the 3rd August.

 

According to the Ministry of Ecological Transition, ‘as part of the support plan for the automotive sector after the health crisis, the conversion bonus has been exceptionally increased, from the 1st June 2020, to increase the number of eligible households and the amounts of bonuses, while maintaining the objective of transforming the French car fleet towards newer, less polluting vehicles and emitting less CO2. This temporary conversion bonus scheme was applicable to the first 200,000 requests.

The exceptional conversion bonus system under the recovery plan will be adapted from August. A transitional mechanism is planned to allow eligible vehicles ordered until Monday 3rd August to benefit from the exceptional mechanism, a period of 3 months being granted for the invoicing of the vehicle.

From the 3rd of August, the Government maintains a strong incentive system of the conversion bonus. In order to allow the greatest number of households to benefit from this measure, all vehicles classified as Crit’air 3 or older will remain eligible for scrapping (namely petrol vehicles registered before 2006 and diesel vehicles registered before 2011).

The conversion bonus scale will be that which prevailed before the exceptional support plan, continuing the particular effort desired by the government in favour of the poorest households to support them in the purchase of cleaner vehicles.

Since the start of the five-year term, more than 800,000 conversion bonuses have been issued. The new system should make it possible to achieve the objective of 1 million bonuses issued over the five-year term, set by the President of the Republic.

In addition, the following measures are reinforced at the end of the recovery plan:

  • Eligibility for the premium for the conversion of the transformation of a heat engine into an electric motor, known as “electric retrofit”, in the same way as the purchase of an electric vehicle;
  • Establishment of a state surcharge of a maximum of € 1000, when the beneficiary lives or works in a “low emission zone” (ZFE) and similar aid has been granted by the local authority in the region. ZFE.

Source: www.ecologique-solidaire.gouv.fr

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