France planning $145 per month EV lease for low-income households

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The French government looks set to honour an election pledge to make electric vehicles more affordable for low income families via a state-subsidised leasing scheme.

Over the weekend, Gabriel Attal, the public action and budget minister, told the LCI news channel Emmanuel Macron’s recently re-elected government is planning to introduce €100 ($145) per month EV lease in the not-too-distant future.

The mechanics of the low-cost lease have yet to revealed. Unknowns include which vehicles will be eligible, income thresholds, and lease length and terms.

Attal said the government is working through those issues, and is trying to determine when the scheme will become available.

He also claimed the €100 per month cost of the lease is less than what many French motorists spend on petrol or diesel every month.

There are already a number of low-cost EVs available for lease in France. These include the 26.8kWh Dacia Spring that starts from €120 ($173) per month, while the 40kWh Nissan Leaf and 20kW Fiat 500 both begin at €139 ($201) per month.

The 22kWh Renault Twingo might also be available via the government lease as it currently starts at €150 ($217) per ment.

Currently the French government offers incentives of up to €6000 ($8700) for EVs priced under €47,000 ($68,000). Additional money is available through a cash-for-clunkers scheme.

Despite these incentives Attal admitted EVs “remain very expensive” for many French citizens.

Up until the end of July, pure EVs accounted for around 12 per cent of new car sales.

The EU is currently working through plans to ban the sale of new passenger cars with internal combustion engines from 2035.

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