Germany to reduce electricity tax for electric buses

Electric buses, similarly to trains, are a low-emission and environmentally friendly mode of transport. Why wouldn’t they use electricity at the same, tax-reduced rate? German government decided to amend the Energy Tax and Electricity Tax Act, which entails considerable tax relief for electric and hybrid buses in local public transport.
"This is an important decision with regard to the promotion of low-emission and environmentally friendly mobility in public transport, which we very much welcome. These tax reductions make the use of electric, hybrid and natural gas buses more economical for transport companies and, thus more attractive", said VDV Vice President, Ingo Wortmann.
Up to now, transport companies pay electricity tax of 20.50 euros per MWh for the operation of their electric or hybrid buses, while the reduced tax rate for electric railways is EUR 11.42. The tax reduction amounts to substantial 55%!
"Electric, low-emission bus engines are just as climate-friendly and environmentally friendly as the rail. Therefore, they must be treated equally in taxation if both modes are to help achieving the climate protection targets of the federal government in the transport sector", Wortmann concludes.
Source: VDV, www.vdv.de
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