Fleet upgrade: With 80% funding for a future-proof electric fleet
Already over 3,500 electric buses are securing 80% state subsidies – when will you electrify your fleet? Given rising diesel prices, stricter climate regulations, and complex bureaucracy, retrofitting your existing vehicles is the pragmatic solution.
The topic briefly and concisely
Take advantage of government funding of up to 80% for retrofitting and 40% for charging infrastructure with an application deadline of August 31, 2025.
A diesel-to-electric conversion reduces the total cost of ownership (TCO) through lower energy, maintenance, and toll costs.
The retrofitting in the sense of circular economy conserves resources, avoids CO₂, and maintains the value of expensive special superstructures.
The modernization of a commercial fleet is a strategic necessity. High operating costs, the European Clean Vehicles Directive, and national climate goals create pressure to act. However, many decision-makers are wary of the high investments in new electric vehicles and the complexity of the transition. A Diesel-to-Electric conversion (DTE) offers an economically and ecologically superior alternative. This article shows how you can bring your fleet up to the latest technical standards, cover up to 80% of the costs through subsidies, and sustainably reduce the total cost of ownership (Total Cost of Ownership).
Your fleet under pressure: Legal requirements and economic reality
The operation of a commercial vehicle fleet is becoming increasingly complex. The EU directive on clean vehicles (Clean Vehicles Directive) already imposes fixed quotas for low-emission vehicles in public contracts, which will be tightened further starting in 2026. For light commercial vehicles, a zero-emissions mandate will take effect in 2026. At the same time, fluctuating diesel prices and CO₂ taxation significantly burden the total cost of ownership (TCO) of your fleet. This TCO includes all costs over the lifetime of a vehicle, not just the purchase price. Therefore, the transition is not a question of whether, but of how. Many shy away from the bureaucracy of the E-bus funding in 2025. However, the right partner makes the process manageable and ensures you maximum grants.
The 4-step checklist for modernizing your fleet
A systematic approach is the key to bringing your fleet up to date with a retrofit of the latest technology. With this clear procedure, you safely navigate through the process:
Conduct subsidy analysis: Check which programs are suitable for you. The current BMDV funding guideline offers up to 80% subsidy for vehicle retrofitting and 40% for charging infrastructure, but the application deadline ends on August 31, 2025.
Evaluate cost-effectiveness (TCO): Compare the TCO of a retrofitted e-transporter with a diesel. Studies show that e-vehicles often amortize higher acquisition costs within four to six years due to lower energy and maintenance costs.
Evaluate existing vehicles: Identify vehicles in your fleet whose substance is good but have outdated engines. Especially expensive special builds benefit from a professional electrification, as the value of the build is preserved.
Plan charging infrastructure: Analyze your charging needs. For most fleets, charging overnight at your own depot is the most economical solution. Our Heero models like the Tourer charge with up to 135 kW DC, the medium-floor bus even with up to 165 kW DC.
This structured planning ensures a smooth transformation of your fleet.
Make optimal use of funding pots: Secure up to 80% grant
The current funding landscape in Germany is a decisive advantage for a quick fleet modernization. The Federal Ministry for Digital and Transport (BMDV) is massively supporting the transition under the funding guideline for electromobility. Decisive is the deadline: Applications must be submitted by August 31, 2025. Time is of the essence to benefit from the high subsidies. The funding rates are clearly defined: You will receive up to 80% of the additional investment costs for converting a vehicle to electric drive. Additionally, up to 40% of the costs for setting up the necessary non-public charging infrastructure at your operating site will be covered. To obtain these funds, no solo effort is needed; the process from pickup to delivery is accompanied by us. Utilizing this funding is a central lever to ensure the economic efficiency of the transition.
TCO Analysis: Why Retrofitting is More Economical than Purchasing New
Considering the Total Cost of Ownership (TCO) is essential for a strategic fleet decision. While e-vehicles are more expensive to purchase, they score with significantly lower operating and maintenance costs. A diesel-to-electric conversion (DTE) amplifies this advantage. It preserves the value of your existing and often expensive special superstructures. A new purchase would destroy this value. Studies show that battery-electric trucks will be the most cost-effective option for decarbonization for most classes by 2030. Our HEERO solutions are based on this logic. The reduction of total fleet costs is achieved through three factors:
Lower energy costs: Electricity is significantly cheaper per kilometer than diesel.
Reduced maintenance: An electric drive has fewer wearing parts than an internal combustion engine, reducing service costs by up to 50%.
Elimination of CO₂ tax and toll: Electric commercial vehicles are exempt from truck tolls, further improving TCO.
Thus, the conversion becomes a long-term profitable investment.
Circular economy as a model for the future: Rebuild instead of throwing away
The decision to retrofit is also a strong commitment to sustainability and circular economy. Instead of scrapping a fully functional vehicle, its lifecycle is significantly extended through electrification. This approach reduces the demand for primary resources such as steel and aluminum by tons and avoids the CO₂ emissions associated with the production of a new vehicle. Retaining a chassis saves up to 80% of emissions compared to new production. The German automotive industry is increasingly pursuing a "design-for-sustainability" approach that considers the entire value chain. A professional extension of the lifespan of your fleet not only conserves budgets but also precious resources. The batteries themselves are designed for a long service life and often last 15 years or longer before being reused in a second life, for example, as stationary storage. This secures the future viability of your fleet at all levels.
Practical technology: Focus on range and charging power
The concern about insufficient range is often unfounded. Modern e-transporters offer practical ranges for almost all operational scenarios. The Heero eTransporter achieves up to 500 kilometers, our converted DTE-Sprinter up to 425 kilometers. Even our e-buses reach up to 300 kilometers real range. These values cover the daily mileage of most fleets. Battery capacity is crucial: Our standard models use a 110 kWh gross battery (96 kWh net). The low-floor bus even features a 137 kWh battery (115 kWh net) for maximum performance. Charging infrastructure is the second crucial factor. With DC fast charging capacities of up to 165 kW, a bus is recharged to 80% in about 30 minutes. A careful planning of the charging infrastructure at the depot ensures that your fleet is fully ready for operation every morning.
More useful links
The Federal Office for Logistics and Mobility (BALM) provides detailed information on the funding program for climate protection and sustainability in transport (KSNI).
The Federal Motor Transport Authority (KBA) provides current statistics on new vehicle registrations in Germany.
The Federal Ministry for Digital and Transport (BMDV) provides comprehensive information on electric mobility with battery drive.
The Federal Environment Agency publishes press releases on the macroeconomic assessment of electric mobility.
Agora Verkehrswende offers publications and analyses on the topic of electric mobility.
The Fraunhofer ISI provides press information on the usage planning of electric trucks, their potentials, and costs.
The German Energy Agency (dena) informs about the expansion of charging infrastructure for electric trucks, challenges, and solutions.
The Association of the Automotive Industry (VDA) provides information on the drive strategy for commercial vehicles.
The KfW Bankengruppe offers funding programs and information on electric mobility for companies.
FAQ
Who benefits the most from converting a fleet?
The conversion is particularly worthwhile for companies and municipalities with vehicles that have expensive or complex constructions (e.g., refrigerated vehicles, workshop vans, garbage trucks). Here, the value of the construction is retained while the drive becomes future-proof. Fleets with plannable, daily routes also benefit enormously from the lower operating costs.
What does the Clean Vehicles Directive (CVD) state?
The CVD is an EU directive that requires public procurers to meet minimum quotas for “clean” and “emission-free” vehicles when purchasing vehicles. The quotas will be tightened from 2026, increasing the pressure to switch to e-mobility.
What should be considered when planning charging infrastructure?
First, analyze the dwell times and daily energy needs of your fleet. For most applications, depot charging overnight with AC chargers is sufficient and cost-effective. For vehicles with high energy needs or short dwell times, DC fast chargers (up to 165 kW at Heero) are the right choice. The cost of the infrastructure can be subsidized up to 40%.
How long does a battery last in a converted commercial vehicle?
Modern lithium-ion batteries in commercial vehicles are designed for a lifespan of 8 to 15 years and high mileage. Studies show an average degradation of only about 1.8% per year. After that, the batteries can be reused in a “second life” as stationary energy storage.
What does Total Cost of Ownership (TCO) mean?
The Total Cost of Ownership (overall operating costs) includes all incurred costs during the entire usage period of a vehicle. This includes acquisition, energy (electricity/diesel), maintenance, repairs, insurance, taxes, tolls, and residual value. E-vehicles often have a better TCO despite higher acquisition costs.
How do I apply for funding?
The process can be complex. We at Heero support you with this: We analyze your individual funding needs, help compile the necessary documents, and assist you with the timely submission of the application by August 31, 2025, to secure the maximum funding quota for you.
