Electric minibus

Minibus electric: Reduce fleet costs by 2025 with 80% funding and DTE conversion

09.02.2025

Minutes

Federico De Ponte

Experte für Beratung bei Auctoa

05.23.2025

10

Minutes

Jan Schreiter

Profitability Expert

Up to 425 km range after a diesel-to-electric upgrade – without the cost of a new vehicle. In light of rising diesel prices and the final funding deadline on August 31, 2025, fleet operators face a clear decision. Act now to bypass bureaucracy and significantly reduce your total cost of ownership (TCO).

The topic briefly and concisely

Take advantage of the government funding of 80% for converting to an electric minibus and 40% for the charging infrastructure before the deadline on August 31, 2025.

Retrofitting an existing diesel minibus (DTE) conserves resources, ensures valuable special structures, and is a core principle of the circular economy.

An analysis of the total cost of ownership (TCO) shows that an electric minibus is up to 15% cheaper in the long run than a diesel model due to lower energy and maintenance costs.

The electrification of your fleet is no longer a question of "if," but rather "when" and "how." Particularly in the minibus segment, the switch to an electric minibus represents a strategic necessity, driven by the EU's Clean Vehicles Directive and increasing cost pressures. However, many companies are hesitant about the effort and the seemingly high investments. In doing so, they overlook the currently greatest opportunity: With a government subsidy of 80% for conversion and a clear timeline until August 31, 2025, the transition not only becomes feasible but highly profitable. This contribution pragmatically shows you the necessary steps to future-proof your fleet while utilizing the principles of the circular economy.

The pressure to act is increasing: Why you should switch to an electric minibus now

The regulatory framework and economic factors are creating a new reality for fleet operators. The EU Clean Vehicles Directive (CVD) has mandated minimum quotas for the procurement of clean vehicles in the public sector since August 2021. In the first reference period until the end of 2025, 45% of new buses must be "clean," half of which, or 22.5%, must be completely emissions-free. Starting in 2026, these quotas will tighten to 65% and 32.5%, respectively. Meanwhile, volatile diesel prices and rising CO₂ charges are impacting your operating costs. An electric minibus is no longer an ecological option but a business necessity to ensure your competitiveness. Retrofitting existing vehicles is the fastest and most resource-efficient way to achieve this, as you can read about in the emissions-free minibus. This urgency is underscored by a clear deadline that will be explained in the next section.

Your 4-point plan for the timely electrification of your minibus

The path to the electric minibus is straightforward and manageable with the right strategy. To ensure compliance with the funding deadline of August 31, 2025, we recommend a structured approach in four steps:

  1. Needs analysis and funding check (1 week): Analyze your current routes and identify the vehicles suitable for retrofitting. At the same time, we will check your eligibility for funding and the maximum grant amount of 80% for you free of charge and without obligation.

  2. Offer and commissioning (2 weeks): Based on the analysis, you will receive a detailed offer for the Diesel-to-Electric conversion (DTE). After your commissioning, we will take care of submitting the funding application.

  3. Vehicle conversion (approximately 10 days per vehicle): Once the funding approval is received, the actual conversion begins. In just about ten days, your diesel chassis will be transformed into a powerful Sprinter Electric, while valuable special structures are retained.

  4. Integration and commissioning (1 week): We will assist you in setting up the charging infrastructure, for which you will receive 40% funding, and train your drivers for optimal use of the new drive.

This pragmatic process not only secures you the maximum funding but also minimizes the downtime of your fleet. The key to success lies in utilizing the right funding pots.

Make optimal use of funding pots: Up to 80% subsidy for your electric minibus

The current funding landscape of the Federal Ministry for Digital and Transport (BMDV) is a decisive lever for your investment. The guideline for funding light and heavy commercial vehicles with alternative, climate-friendly drives and the associated refueling and charging infrastructure (KsNI) is your greatest opportunity. It covers up to 80% of the additional costs incurred by choosing an electric drive compared to a diesel model. This applies to both the purchase of a new e-bus and the DTE conversion. Additionally, the necessary charging infrastructure is subsidized with 40% of the investment costs. The crucial point is the application deadline: All applications must be submitted by August 31, 2025. Given the processing times at the authorities, it is advisable to start the process immediately. The conversion not only conserves your budget but also proves to be superior when considering the total costs.

Cost comparison: How the TCO analysis demonstrates the economic advantage

The higher acquisition costs of an electric bus are often perceived as an obstacle. However, an analysis of the Total Cost of Ownership (TCO), meaning the total operating costs over the entire lifespan, proves the opposite. Studies show that the TCO of an electric bus can be up to 15% lower than that of a diesel bus. This advantage arises from several factors:

  • Lower energy costs: Electricity is significantly cheaper and more price-stable compared to diesel.

  • Reduced maintenance requirements: An electric motor has up to 70% fewer moving parts than a combustion engine. Oil changes, exhaust system maintenance, and clutch wear are completely eliminated.

  • Tax advantages and subsidies: The current subsidy of 80% drastically reduces acquisition costs.

  • No CO₂ levies: You save on the annually increasing costs for CO₂ certificates.

An HEERO DTE-Sprinter with a range of up to 425 km is not only a sustainable but above all a long-term cheaper alternative. This approach of continued use is a perfect example of a functioning circular economy.

The conversion as the core of the circular economy: Your diesel minibus becomes an electric vehicle.

Why scrap a proven vehicle when only the drive is outdated? The Diesel-to-Electric conversion (DTE) is the heart of the circular economy and the smartest form of sustainability. Instead of consuming resources for a completely new vehicle, we preserve the value of your existing minibus. Especially for vehicles with expensive specialized bodies, such as in patient transport or trades, this is an invaluable advantage. The conversion process is highly efficient: We remove the diesel engine and replace it with our electric drive system. Your Mercedes-Bus Elektro retains its familiar chassis and body while gaining power and efficiency. A converted Sprinter can achieve a range of up to 425 kilometers and actively contributes to CO₂ reduction. This approach not only protects the environment but also your capital. The practicality in everyday use depends on range and charging capacity.

Range and charging infrastructure: The practical facts for your electric minibus

The concern about insufficient range is unfounded with modern electric vehicles. Our Heero models are designed for the real needs of businesses. The Heero Tourer, a minibus for nine people, offers a range of up to 400 kilometers with a 96 kWh net battery capacity. For urban public transport, our rear low-floor bus reaches up to 300 kilometers. Charging performance is equally crucial for efficiency. With a DC fast charging power of up to 135 kW, the Tourer's battery is recharged to 80% in about 45 minutes. Our medium low-floor bus even charges with up to 165 kW. The planning of the charging infrastructure is straightforward and is subsidized by 40%. Usually, an overnight depot charge is sufficient to prepare the vehicles for the next day. The batteries themselves are designed for a long lifespan, often exceeding that of the vehicle.

FAQ

Do I have to buy a new car for the subsidy?

No, the subsidy of 80% also explicitly applies to retrofitting an existing diesel vehicle to electric drive. This process, known as Diesel-to-Electric (DTE), is particularly economical and sustainable.



What happens to my expensive vehicle configuration during the retrofit?

Your special configuration remains completely intact. During the DTE retrofit, only the drive train (engine, transmission, tank) is replaced by electric components (electric motor, battery). The chassis and configuration will be reused.



How long does it take to retrofit my minibus?

The actual conversion of your vehicle at our facility takes only about 10 working days. This minimizes downtime in your fleet.



What is the lifespan of the battery in an electric minibus?

The batteries are designed for a long lifespan of eight to ten years in vehicle operation. After that, they can be reused in a “second life” as stationary energy storage, further enhancing sustainability and cost-effectiveness.



What happens if I miss the funding deadline on August 31, 2025?

Currently, this is the last deadline for submitting applications under the ongoing funding program. Continuation in this form is uncertain. Without the 80% funding, the electrification of your fleet will become significantly more expensive.



Is the charging infrastructure complicated to install?

No, for most minibus applications, a simple overnight depot charging via a wall box or charging station is sufficient. The installation is straightforward and is also subsidized at 40% of the cost. We are happy to advise you on the suitable solution.