Buy luxury buses: Secure 80% funding for your electric fleet by 2025
Up to 3,500 electric buses are already benefiting from an 80% government subsidy – when will you electrify your fleet? Given the rising diesel prices and the final funding deadline on August 31, 2025, now is the critical time to strategically plan the switch and optimize total costs (TCO).
The topic briefly and concisely
The deadline for applying for 80% funding for e-buses and DTE conversions ends on August 31, 2025.
The EU Clean Vehicles Directive sets binding quotas for zero-emission buses, which will be further tightened from 2026.
The total cost of ownership (TCO) of e-buses is advantageous in the long term due to maintenance costs that are up to 40% lower and lower energy costs.
If you want to buy a luxury bus or modernize your fleet, you are faced with complex decisions. It’s not just about the purchase price, but the future viability of your operations. Rising operating costs, strict EU regulations like the Clean Vehicles Directive, and the impending end of the current funding period require pragmatic action. This guide offers you a clear, solution-oriented roadmap. Learn how you can meet legal requirements through a retrofit or new purchase, while also significantly reducing your Total Cost of Ownership (TCO) and benefiting from up to 80% funding for vehicles and 40% for charging infrastructure. The deadline for submitting project outlines is August 31, 2025 – act now.
Understanding the pressure of action: Why the time until August 2025 is crucial
The pressure to decarbonize bus fleets is not a distant future vision, but an immediate business reality. The EU's Clean Vehicles Directive (CVD), implemented by the German Clean Vehicles Procurement Act, already mandates fixed minimum quotas for emission-free buses in public contracts. These quotas will be tightened again from 2026, further increasing the pressure to act. At the same time, the current subsidy guideline from the Federal Ministry of Digital and Transport (BMDV) is expiring, which offers a one-time subsidy rate of 80% on the additional costs of an e-bus or a diesel-to-electric conversion. The crucial deadline for submitting project outlines is August 31, 2025. Those who miss this opportunity risk not only higher investment costs but also competitive disadvantages in future tenders. It is about setting the course now for an economically and ecologically sustainable fleet.
Your 4-point action plan for timely fleet electrification
To ensure the funding is secured on time and to avoid wrong investments, a structured approach is necessary. These four steps will systematically lead you to your goal:
Analyze deadlines and guidelines: Internalize the deadline on August 31, 2025, for the funding application according to the BMDV guideline. Check in parallel the relevant quotas of the Clean Vehicles Directive, which must be met by the end of 2025.
Define needs – conversion or new purchase: Analyze your routes and mileage. A Diesel-to-Electric conversion (DTE) conserves resources and is ideal for existing vehicles with expensive add-ons. A new Electric Minibus like the Heero Tourer offers high flexibility for passenger transport with a range of up to 400 km.
Evaluate total costs (TCO): Consider not only the acquisition. The Total Cost of Ownership (TCO) of an e-bus is often lower in the long term, as maintenance costs decrease by up to 40% and energy costs decrease significantly.
Conduct funding analysis and prepare application: Gather all necessary documents for sketch submission. A professional funding analysis maximizes your chances of success in obtaining grants of up to 80%.
This plan lays the foundation for an informed decision that prepares for the next step: selecting the right technology.
Make optimal use of funding pots: Up to 80% subsidies for vehicles and conversions.
The current funding landscape offers an extraordinary opportunity to minimize the investment burden of electrification. The centerpiece is the "Guideline for the Promotion of Alternative Drives for Buses in Public Transport" from the BMDV. It subsidizes the additional investment costs for battery or fuel cell-powered buses compared to a diesel reference model by up to 80%. Crucially, this applies to both the purchase of new vehicles and the retrofitting of existing diesel vehicles, thus reinforcing the principle of the circular economy. Additionally, the establishment of the necessary, non-public E-bus charging infrastructure at the depot is subsidized by up to 40% of the costs. Not only municipalities are eligible to apply, but explicitly also private transport and economic companies based in Germany. The combination of these subsidies significantly lowers the barrier to entry and accelerates the amortization of your investment. Time is of the essence, as the application deadline for these attractive conditions irrevocably ends on August 31, 2025.
Technology in Focus: DTE Retrofit versus New Vehicle
The decision between retrofitting an existing bus and purchasing a new e-bus depends on your fleet strategy. The diesel-to-electric retrofit (DTE) is a highly economical and sustainable option. It preserves the value of your existing vehicle chassis and expensive custom bodies. A sprinter converted to electric drive can, for example, achieve a range of up to 425 km. This approach of innovative conversion solutions embodies the circular economy and reduces the CO₂ footprint compared to the production of a completely new vehicle. For targeted fleet expansion, new vehicles like the Heero low-floor bus offer state-of-the-art technology from the factory. With its 137 kWh gross battery and DC fast-charging capability of up to 165 kW, it is ready for operation again to 80% in about 30 minutes. The range of up to 300 km reliably covers most urban and regional routes. An analysis of your total cost of ownership will show which path is the most profitable for your specific requirements.
Charging infrastructure and lifespan: Mastering the practice of electromobility
A powerful charging infrastructure is the backbone of every e-bus fleet. Planning must consider energy requirements, downtimes at the depot, and grid connection capacity. HEERO vehicles support fast charging with up to 165 kW (medium low-floor bus), making optimal use of short downtimes. An intelligent charging and energy management system can avoid peak loads and reduce electricity costs by up to 30%. Concerns about battery life are largely unfounded today. Modern lithium-ion batteries are designed for a lifespan of eight to ten years and over 1,000 charge cycles, often exceeding the service life of the bus. Maintaining a state of charge between 20% and 80% during regular operation further conserves the battery. With the right strategy for charging and battery care, you ensure high availability and predictable operation over many years. This clears the way for the final step: your personal funding analysis.
Start your funding analysis: 3 steps to 80% funding
The path to successfully electrifying your fleet ends with a clear call to action. Make the most of the time remaining until the deadline on August 31, 2025. Secure your grants and make the transition to electric mobility economical and pragmatic.
Start your funding analysis
Answer three questions, receive your grant roadmap, and take advantage of the 80% funding.
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More useful links
Federal Ministry for Economic Affairs and Energy provides the final report of an accompanying study on electric buses in public transport (ÖPNV).
Federal Ministry for Digital and Transport (BMDV) informs about the milestone of 1000 funded electric buses in Germany.
Federal Gazette contains an official publication on relevant announcements and guidelines related to electric buses.
Federal Environment Agency confirms in a press release the climate benefit of electric vehicles, which is also relevant for e-buses.
FAQ
Who can apply for the E-bus funding?
Eligible applicants are legal entities under public law (e.g., cities, municipalities) as well as legal and natural persons under private law who are economically active. These include private bus companies, logistics companies, and other companies with a fleet and a business location in Germany.
What is the range of an electric bus?
The range varies depending on the model and battery size. The Heero Tourer (minibus) reaches up to 400 km, while the mid-size and rear low-floor bus is designed for up to 300 km. A DTE-converted Sprinter can manage up to 425 km.
How long does it take to charge an electric bus?
The charging time depends on the battery size and charging power. The Heero mid-size low-floor bus can charge with up to 165 kW DC, allowing the battery to be charged from 20% to 80% in about 30 minutes. Other models charge with up to 135 kW.
How long does an E-bus battery last?
Modern lithium-ion batteries in E-buses have an expected lifespan of about eight to ten years or over 1,000 full charge cycles. Most manufacturers provide warranties that ensure a residual capacity of 70-80% over this period.
What is the difference between a DTE conversion and a new vehicle?
In a DTE conversion (Diesel-to-Electric), the combustion engine of an existing vehicle is replaced with an electric drive and batteries. This is a sustainable and often more cost-effective solution. A new vehicle is an entirely newly built electric bus with the latest technology.
What should I consider regarding the charging infrastructure?
The planning of the charging infrastructure requires an analysis of the daily energy demand, the downtime of the buses, and the available power of the electrical grid at the depot. The installation costs can be subsidized by up to 40% under the BMDV directive.