EU's Top 5 Spend $45.6 Billion Annually on Fossil-Fuel Car Subsidies, Study Finds on October 21

Oct 21, 2024, 01:32 AM

A new study by Transport & Environment (T&E) reveals that the European Union's five largest countries spend approximately $45.6 billion annually subsidizing fossil-fuel company cars. The study highlights that Italy, Germany, France, and Poland are among the top contributors, with Italy spending €16 billion, Germany €13.7 billion, France €6.4 billion, and Poland €6.1 billion annually. The report calls for a shift towards electric vehicles (EVs) as the current subsidies significantly disadvantage EV adoption. For instance, France provides a €15,899 subsidy for purchasing a petrol BMW X3, compared to only €9,881 for its battery electric vehicle (BEV) version. The study, released on October 21, also notes that SUV company car drivers receive very high fossil fuel subsidies via company car taxation.