Due to the spending freeze in the current federal budget in Germany, the Federal Office of Economic Affairs and Export Control (Bafa) had to temporarily pause a total of nine funding programmes in December 2023. The programmes included the guideline for the subsidisation of e-cargo bikes. A few days ago, the Federal Ministry for Economic Affairs and Climate Protection (BMWK) lifted the pause in applications and approvals. For financial support from the federal budget for the purchase of e-cargo bikes and e-cargo trailers, this means a return to the status quo for the time being. For the time being.
On 15th November 2023, the Federal Constitutional Court in Karlsruhe declared the Second Supplementary Budget Act 2021 null and void. As a result, Federal Finance Minister Christian Lindner (FDP) was forced to impose a budget freeze on the Climate and Transformation Fund (KTF), which was specifically affected by the judgement. This abruptly put the brakes on all those who had hoped for financial support for the purchase of e-cargo bikes via the guideline for the subsidisation of e-cargo bikes.
Old and new applications being processed again
Last week, the BMWK, which is responsible for the Bafa, gave the green light for applications for funding to be submitted to the authority again with immediate effect. At the same time, the processing of existing applications is continuing, according to a recent announcement on the Bafa website. Anyone who submitted an application before 4th December 2023 does not have to resubmit it.
The guideline for the subsidisation of e-cargo bikes is considered an important piece of the puzzle in the future transition of local cargo transport from cars to bicycles. As part of the programme, which was launched on 1st March 2021, interested parties have been able to receive a grant for the purchase of a cargo bike and a cargo trailer, each supported by an electric drive, for around four years now. The subsidy amounts to a maximum of 2,500 euros per vehicle. Only commercial use is subsidised. Private individuals are therefore excluded from a grant.
The word of the hour is “provisional”
However, the renewed approval for the subsidy programme granted in January is a provisional decision. For the time being, the deadline is the 29th of February 2024. Until then, interested parties can submit applications as mentioned and the Bafa will deal with them. However, this will all take place within the limits of the current provisional budget management of the federal budget. As things stand at present, the adjusted budget for 2024 is due to be adopted by the German Bundestag in calendar week five. It is not yet known what the specific plans are for the continuation of the directive to subsidise e-cargo bikes.
Key information on the guideline for the subsidisation of e-cargo bikes at a glance
1. What is the subsidy for?
2. How much is the subsidy?
3. Who receives the subsidy?
4. Who is explicitly excluded from the subsidy?
5. What else needs to be considered?
1. What is the subsidy for?
- e-cargo bikes and e-cargo trailers
- standard and brand new
- payload of at least 120 kg
- e-drive supports up to a maximum of 25 km/h
- transport option inseparably connected to the bike
- more volume can be transported than with a conventional bicycle
2. How much is the subsidy?
- 25 per cent of the expenditure for the purchase
- maximum amount of 2,500 euros per e-cargo bike or e-cargo trailer
3. Who receives the subsidy?
- private companies
- freelancers
- companies with municipal participation
- municipalities (cities, municipalities, districts)
- corporations / institutions under public law
- associations and organisations with legal capacity
4. Who is explicitly excluded from the subsidy?
- e-cargo bikes intended for passenger transport
- sharing service providers
- e-drives that can be fitted as a retrofit kit
5. What else needs to be considered?
- apply for funding before ordering the e-cargo bike or e-cargo trailer
- application to be submitted by the future owner of the property
- subsidy includes the following accessories for e-cargo bikes and e-cargo trailers:
- safety equipment, such as safety lock, rear-view mirror, higher-quality lighting, bicycle helmet
- upgrade of the battery (second battery, battery with more power)
- upgrade handles, saddle, tyres
- superstructure (box, flatbed, etc.)
- GPS tracker
- shipping and packaging
In addition to the BMWK, the German Federal Ministry for Digital and Transport also runs a similar initiative. Entitled “mobil gewinnt” (mobile wins), the programme is aimed at small and medium-sized enterprises (SMEs). With the help of the subsidy, they should be able to switch their company mobility concept to electrically powered vehicles. The programme therefore not only supports the purchase of electric cargo bikes, but also investments in electric vehicles and charging infrastructure in general. Initial funding of up to 5,000 euros and broad-based funding of up to a maximum of 60,000 euros are available for this purpose.
Numerous federal states have also set up their own funding programmes. In some cases, the funding guidelines differ greatly from those of the federal government. In some cases, the funding amounts are significantly higher than those in the Bafa’s guideline for the subsidisation of e-cargo bikes, so it’s worth looking around.
Pictures: Federal Ministry for the Environment, Nature Conservation and Nuclear Safety; Rytle Mobility GmbH; B.A.U.M. Consult GmbH
