The government has announced the increase of taxes of 7 cents on diesel and 4 cents on petrol, from 2019. In return, it encourages the scrapping premium.
Will driving a car become a luxury? The government is continuing to raise fuel taxes. In 2019, those on gasoline will increase by 4 cents per liter next year , and those on diesel 7 cents.
Crude prices are still rising in global markets, so there is no reason to expect lower prices by next year.
“We are well aware that this choice can cause difficulties for some French, especially those who are far from the city centres and who have to take their car every day to move,” said Minister of Transport Elisabeth Borne.
— BFMTV (@BFMTV) 17 September 2018
“It means offering the French alternatives to the private car so that they are not prisoners. When you are in dense areas, carpooling is one of the possible options, “she concluded.
The success of the scrap premium
In return, the government is pursuing the conversion bonus, which encourages motorists to exchange their old polluting vehicles for cleaner cars. Friday, September 21, the Ministry of Ecological Transition announced that the objectives of the government had been largely exceeded, with more than 170,000 applications filed this year, against 100,000 considered.
By the end of the year, “more than 250,000 vehicles” will have been exchanged, according to a spokesman for the ministry, confirming information from Les Echos . Thus, over twelve months, half of the government’s target for the five-year period has already been reached.
“It’s a great success (…), it will allow to have vehicles that consume less,” welcomed Friday the Minister of Transport, Elisabeth Borne, on Europe 1.
“La prime à la conversion aide les français à avoir un véhicule qui consomme et pollue moins et c’est un grand succès”, dit @Elisabeth_Borne à @audrey_crespo #europe1 @nikosaliagas pic.twitter.com/8SkPG3kqiG
— Europe 1 📻 (@Europe1) 21 September 2018
“Cars today consume one-third less fuel than twenty years ago, so the conversion premium helps every French person to use a vehicle that consumes less and pollutes less.
70,000 motorists are still waiting for payment
However, this unexpected success causes big delays in payment. According to Le Parisien , “more than 70,000 people have been waiting for their conversion premium to be paid for four months”.
The Service and Payment Agency (ASP), the public institution responsible for paying aid and premiums, assures our colleagues that the problem is national and that their coffers … are empty! Too many bonuses have been paid.
And this agency is not able to say when motorists will be paid.
Are you eligible for the scrapping bonus?
Introduced since 1st January, the conversion premium provides for the payment of 1000 euros (2000 euros for non-taxable households) for the disposal of pre-2001 diesel vehicles (and before 2006 for non-taxable households) and gasoline vehicles before 1997.
The car purchased may be used but it must meet certain ecological criteria (vignette Crit’Air 0 to 2, Euro 5 or 6 standards).
The premium is raised to 2500 euros for the purchase of a new electric vehicle.
According to ministry figures, 80% of the vehicles discarded are diesel cars compared to 20% of gasoline vehicles.
Modest households are the most attracted by this scrappage premium, since 70% of households concerned are not taxable.
Test your eligibility for the conversion bonus on the government simulator