Green Stimulus Elements for Spain’s Transport Sector

Geography: Europe
Sector: Mobility

Read More: Spain's Green Stimulus for Transport Sector

On June 15, 2020, the Spanish Government announced a EUR 3.75 billion recovery package for the domestic automotive industry, of which 70% will be used to bailout companies in the automotive value chain. The remaining 30% includes measures for accelerating a sustainable transport sector in Spain, including the electrification of public transport, adjustment of rail routes, improvement of charging infrastructure for electric vehicles, deployment of e-bike sharing schemes as well ass research and development of hydrogen technology for transportation.

Moreover, the package includes a buyer’s premium of EUR 4,000 for replacing a combustion engine driven car by an electric vehicle or a vehicle powered by hydrogen. A buyer´s premium of EUR 1,000 will be granted for replacing a polluting car with one that emits less than 120g carbon dioxide per kilometre.  Estimations indicate that every EUR 1 million invested through this buyer’s premium could reduce annual carbon emissions of up to 716,000 tonnes.