2023-09-15 06:30:28
Published on September 15, 2023 at 6:30 a.m.
The four electric battery gigafactories already announced in France (ACC in Lens, Envision in Douai, Prologium and Verkor in Dunkirk) are perhaps only the first wave of a surge of “green” factories in France. Bercy believes in any case that the tax credit for green industry, which will see the light of day in 2024, is promised a certain success. According to the latest estimates from the Ministry of the Economy, presented this Thursday, this new tax loophole will cost the State 3.7 billion euros by 2030.
This represents an acceleration. Bercy continues to anticipate that the measure will cost 500 million euros in 2024, but the bill should gradually increase – a sign that investments should multiply in the French production of batteries, solar panels, heat pumps or ‘wind turbines. This is the objective of the measure: to encourage the national production of these elements essential to the ecological transition.
Brown niches versus green niches
The new tax loophole for green industry will appear in the finance bill for 2024 which will be unveiled in ten days. From next January 1, and at least until the end of the five-year term, manufacturers building factories in these sectors in France will be able to benefit from a tax credit representing 20 to 45% of their investment.
The government assumes this new tax expenditure, to the extent that it contributes to the ecological transition. Overall in 2024, the executive plans to devote an additional 7 billion euros to the issue through various measures, including the halving of MaPrimeRénov’ which alone will represent an additional 1.6 billion euros ( for a total brought to 4 billion).
To ensure that this effort does not push France out of its debt reduction trajectory, the government intends to make savings in parallel on other measures which conflict with the French climate ambition.
“To accelerate the ecological transition, we are putting our taxation through a ‘green magnifying glass’,” summarizes the Minister of Public Accounts, Thomas Cazenave. On the one hand, we are gradually reducing brown tax loopholes on fossil fuels. On the other hand, we are taking incentive measures such as the green industry investment tax credit. »
The government has finally given up on removing the tax advantage on diesel from which road hauliers benefit. But he found an agreement to gradually reduce that which benefits farmers or the public works sector.
It is by following the same logic that the bonus for the purchase of an electric vehicle will be increased, while the penalty on the most polluting vehicles will be increased. The same goes for the greening of company car fleets or the creation of an ad hoc tax on motorway companies. The government makes no secret of it: the ecological transition will be painful – for some from 2024.
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