1. 1 French Incentives for Clean and Energy Efficient Vehicles Deployment Willy Bréda, Advanced vehicules project manager Ministry of Ecology, Sustainable Development, Transport and Housing, France

2. 2 Bonus malus Implemented in January, 2008

3. 3 Support for the LPG conversion (up to 2010): 2000 € if intervention in the three years following the initial release, and if emissions of CO2 before the conversion does not exceed: E85: no malus Handicap: no malus for people with disability card Large family: allowance of 20 grams of CO2 per Km for each dependent child after the third child on the emission rates subjected to penalty Annual malus: vehicles emitting more than 245 g CO2/km are touched by a 160 € malus every year Bonus Malus for Specific Vehicles

4. 4 Incentive for Withdrawal from Circulation Implemented in december 2008 The incentive is paid in the case of withdrawal from circulation of more than 10 years old vehicles and for the purchase of a new vehicle emitting less than 160 G CO2/Km

5. 5 Purchase Behavior Change 2008 and 2009: + 37% enjoying a bonus vehicle sales CO2 <130 g of CO2/Km : 30% of sales in 2007, 45% in 2008 and 55% in 2009 CO2 > 160 g of CO2/Km : 24% of sales in 2007, 14% in 2008 and 9% in 2009 CO2 > 250 g of CO2/Km : vehicles sales divided by four In 2010, 50 % of sales are enjoying bonus vehicles (emitting less than 125 g CO2/km), and 10% are enjoying malus vehicles Market share Year

6. 6 Impact on the Vehicles Sales Sales of passenger cars are stable despite the economic crisis: 2,06 M in 2007 2,05 M in 2008 2,27 M in 2009 2009 presents a sales record in number of units sold, just behind 1989 and 1990. sales units sales year

7. 7 Plan for Battery Electric and Plug-in Hybrid Electric Vehicles

8. 8 Significant Changes are at the Casis of this Development - Many attempts between 1990 and 2000: all failed - Development of ecological awareness - Impact of regulations and incentives for low emissions vehicles - Increase of the barrel of oil ($ 30 in 2002 to $ 140 in 2008) - Hybrid vehicles already on the market (ex:Toyota Prius) - Stable prices of electricity and wish to reduce energy dependence - Development of lithium-ion batteries

9. 9 A Good Opportunity to Develop Low Consumption Vehicles 97% of land transport in France depend on oil. In France, 31M light vehicles and 6M light utility vehicles represent 32% of national oil consumption (29 of 89Mtoe/year) and are responsible for 67% of CO2 emissions related to land transport. Globally, the park (around 1 billion vehicles) should at least double by 2030. Over 60% of oil would be used for transportation. EV are performant in terms of CO2 emissions: the balance of CO2 emissions from well to wheel is less than 20gCO2/km (french energy mix) (100gCO2/km with european energy mix)

10. 10 Acceptable Technical and Financial Constraints In France, 87% of journeys are shorter than 60km (EV offer more than 120 Kms) EV without battery has a comparable price to a diesel vehicle. Given the price of electricity and maintenance costs, the Total Cost of Ownership is identical for an average annual mileage of 15 000 km. An alternative is the hybrid EV, that can be driven for short distances (electric motor), and for long distances (combustion engine)

11. 11 Launch of the National Plan for Deployment of EV and PHEV Vehicles 14 concrete actions: - Strengthen R&D and testing - Participate in the emergence of a new chain - Develop infrastructure at home and at work - Develop public infrastructure - Anticipate the environmental issues

12. 12 Some Actions in Detail - Demo of charging infrastructure (70 M€ ADEME) - Battery industry (ex: Renault FLINS) - Bonus of 5000 euros for the purchase of vehicles emitting less than 60 g CO2/Km (maximum 20%) - Cross experiments (ex: Toyota France-Germany) - Deployment of the network (75 000 plugs by 2015) - Tender (100 000 vehicles for 2015) - Working groups (electronic banking, roaming…)

13. 13 Ambitions for France - Market shares rise for the EV / PHEV compared to other vehicles, and a huge increase in park: - CO2 emissions and oil imports avoided: Market share (%)EV and PHEV park CO2 emissions avoided (Mt)Oil imports avoided (Mtoe)

14. 14 Infrastructure Development 2011: minimal infrastructure is under consideration in 14 cities (nearly 20 000 plugs and 60 M€) to « reassure » drivers Beyond 2011: The shared infrastructure will represent 10% of plugs, but 5% of uses Home and work Parking : slow charge Parking : fast charge Thousands of units