Electric car registration: who benefits from the end of free registration?

As of May 1, 2025, the free registration certificate previously available to 100% electric cars will be discontinued in France.

The end of a major benefit for electric vehicle buyers is now confirmed. A discreet measure but with significant consequences for consumers, and which promises a welcome fiscal boost for local authorities.

Until now, purchasing an electric car allowed savings of several hundred euros thanks to exemption from the regional registration tax, commonly called the “grey card.” A valuable advantage added to aid initiatives like the ecological bonus or the conversion premium.

But this period is coming to an end. Most regions have decided to end this exemption, citing budget constraints. As a result, from May 1, 2025, buyers will have to pay the full price of the registration fee, just as they would for any thermal vehicle.

Estimation of the registration fee cost by region

The cost of the registration fee depends on the fiscal horsepower rate, which varies from region to region. For example: in a region where the fiscal horsepower rate is set at €60, a 5-horsepower electric vehicle will now have a regional tax of €300.

In the case of a Tesla Model Y, the tax will thus vary depending on the region. Here’s a table illustrating this based on motorization:

Estimated revenue of 200 million euros annually

If this measure causes dissatisfaction among motorists, it represents a significant gain for public finances. According to industry estimates, ending the exemption for electric cars’ registration certificates could generate around 200 million euros per year for regions.

This figure is rising sharply as electric vehicle registrations explode in France, driven by the energy transition. In 2024, more than 350,000 electric cars were registered. This volume is expected to exceed 500,000 units annually by 2026, naturally increasing revenue from registration certificates. Conversely, it has previously represented an increasingly large revenue loss. It all depends on perspective…

A slowdown in energy transition?

Behind this decision lies a well-established budgetary logic. For several years, regions have faced a gradual reduction in state allocations. To compensate for this shortfall, they seek to strengthen their own revenues. The registration fee—whose regional tax is a major component—is one of the few fiscal tools available to them.

For regions, this is an opportunity to balance their budgets without increasing overall taxation, while leveraging a growing segment.

However, this development raises questions about public policy coherence. While the state promotes electrification of the vehicle fleet to reduce CO₂ emissions, ending a symbolic financial advantage could deter some buyers, especially modest households, from switching to electric vehicles.

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