what does the amendment to the revocation decree mean?

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Among the amendments presented to the Relaunch decree, about 8 thousand proposals for changes, we find one that aims to reintroduce the incentives for scrapping old cars. In this way we try to support one of the sectors most affected by the coronavirus emergency, the automotive one. The Democratic Party, supported by Italia Viva and Leu, has in fact introduced an amendment which provides for contributions of up to € 4,000 for those who scrape a vehicle over 10 years old. At the same time, the purchase of Euro 6 cars with CO2 emissions of over 61 grams per kilometer is encouraged.

If the amendment is approved, the incentives will remain effective from 1st July 2020 until the end of the year, on December 31st. The contribution of up to € 4,000 for anyone who scraps a car over ten years old is shared between the state and the dealership. The amount will be equal: 2 thousand euros will be allocated by the state, while another 2 thousand euros will be made available by the concessionaire. As anticipated, incentives are also provided for those who buy a new vehicle Euro 6. In this case there is a discount of 2 thousand euros, always valid from 1st July to 31st December 2020. Also in this case the sum is divided into equal amounts between state and dealership.

The majority divided

However, the majority are divided on the issue. The Five Star Movement did not in fact support the amendment presented by the allies, and is opposed to any incentive that is not directed to the purchase of hybrid and electric cars. The Minister for Economic Development, Stefano Patuanelli: the sector “must be supported“he says, although it is up to”parliamentary debate“find ways to do it. The Undersecretary for Development, Alessia Morani, underlines how an incentive tool is needed that will allow us to” between this year and the next “dispose of the stock of cars produced that still have high standards for reducing emissions“. According to Morani, the current eco-bonus on hybrid and electric cars could be enlarged”even to the most advanced heat engine cars“, Since “350,000 vehicles produced before the crisis remain in the aprons“and that will hardly be sold.

The crisis in the automotive sector

In fact, since the reopening of the past few weeks, the automotive sector has not recovered what was hoped. According to the Ministry of Transport, in the first month of resumption of activities, the registrations counted were 49.61% less than in the same period of 2019. In April, however, sales were practically zeroed, with a 97.55% in less. There loss of turnover is around 8.3 billion of Euro. The estimates for the year are not positive: there could in fact be a drop of 17.4 billion compared to last year, to which must be added 3.8 billion euros in VAT revenue.



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