Luxembourg Extends eMobility Financial Aid Scheme until End-March 2022

Luxembourg's Ministry of the Environment, Climate and Sustainable Development has announced the extension of the "Clever fueren" financial aid scheme for electric and active mobility until 31 March 2022.

On Wednesday 24 March 2021, Luxembourg's Government Council adopted a draft Grand-Ducal regulation extending the “Clever fueren” scheme for an additional twelve months, i.e. until 31 March 2022, while providing for a more targeted allocation of subsidies.

Resolutely oriented towards zero CO2 emissions mobility and active mobility, the “Clever fueren” scheme will continue to promote pure electric motor vehicles, with hydrogen fuel cells and, for a limited period, so-called “plug-in-hybrid" vehicles, as well as bicycles and pedal-assisted bicycles.

The financial assistance of €8,000, introduced under the “Neistart Lëtzebuerg” economic recovery programme, will be maintained for 100% electric cars, provided that their electric energy consumption does not exceed 18 kWh / 100 km, a value respected by around 75 % of pure electric cars newly registered in 2020. For more fuel-consuming / less energy-efficient cars, whose electrical energy consumption exceeds the aforementioned threshold, the subsidy amount is limited to €3,000.

In order to take into account the needs of larger families, a subsidy of €8,000 will be allocated for cars with seven or more seats regardless of their electrical energy consumption, provided that the applicant for assistance is part of a household of at least five people.

For 100% electric vans, the amount of financial aid remains unchanged at €8,000. The same is true for hydrogen fuel cell cars and vans.

These new provisions will apply to vehicles ordered between 1 April 2021 and 31 March 2022 and whose first entry into service takes place before the end of 2022, in order to take delivery times into account.

For "plug-in" rechargeable hybrid electric cars and vans, financial assistance amounts to €1,500. In accordance with the guidelines adopted by the government as part of Luxembourg's Integrated National Energy and Climate Plan, the subsidy only applies to vehicles purchased and put into service for the first time between 1 April and 31 December 2021.

For other 100% electric vehicles (quadricycles, motorcycles and mopeds), subsidy amounts (50% of the cost excluding value-added tax of the vehicle, without exceeding €1,000), revised upwards under “Neistart Lëtzebuerg ”, remain unchanged.

While the minimum detention period of seven months remains applicable for all vehicles subject to compulsory registration, the applicant for assistance, provided that it is a natural person who owns the vehicle, may now apply for financial assistance as soon as the vehicle is registered in his / her name.

The financial aid allocated for bicycles and pedal-assisted bicycles, the amount of which was doubled under the "Neistart Lëtzebuerg" programme (50% of the cost excluding tax on the added value of the vehicle, without exceeding €600), also remains unchanged. The new provisions will apply to bicycles and pedal-assisted bicycles purchased between 1 April 2021 and 31 March 2022.