New Bus: What the funding of up to 70% achieved by July 21, 2026
Up to 3,500 electric buses have already benefited from government subsidies – when will you electrify your fleet? Applying for funding for a new bus or a conversion was possible until July 21, 2026; up to 70% of the additional costs were subsidized. Reducing operating costs and meeting legal requirements remains your task, regardless of this.
The topic briefly and concisely
The application deadline for the 70% funding for e-buses and DTE conversions ended on July 21, 2026.
The Clean Vehicles Directive mandates a share of 45% for clean buses in public procurement by the end of 2025.
A diesel-to-electric conversion (DTE) is often more economical than buying new, reduces the total cost of ownership (TCO), and conserves resources through circular economy.
Rising diesel prices, stricter emission regulations, and the growing pressure from the Clean Vehicles Directive pose enormous challenges for fleet operators. The acquisition of a new bus or the modernization of the existing fleet is unavoidable. However, the solution does not necessarily lie in an expensive new purchase. The state funding rate for electrification reached up to 70% in the 2026 bus call with a low level of electrification, otherwise 55%; together with intelligent conversion solutions, this results in an economic perspective. This article shows you in four clear steps how to assess the funding situation after July 21, 2026, lower the Total Cost of Ownership (TCO) of your fleet, and act sustainably through a circular economy. A free funding analysis will classify your specific case.
Review: Up to 70% funding until July 21, 2026
The funding situation has shifted for public transport operators and municipalities. In its 2026 call, the funding program of the Federal Ministry for Digital and Transport (BMDV) offered a subsidy rate of up to 70% on the additional investment costs for a new bus with an electric drive or a conversion with a low level of electrification, otherwise 55%. This conversion refers to the conversion of an existing diesel vehicle to a pure electric drive. In addition, 40% of the costs for the necessary charging and workshop infrastructure were covered. The call ran from May 26 to July 21, 2026; this deadline has expired. This means that the course for a future-proof and economical fleet must be set independently of the next call. Around 250 transport companies have already taken this opportunity and applied for funding for approximately 3,500 climate-friendly buses. Applying for such funds was not a complex hurdle, but a plannable process that significantly reduced the investment burden. The next section explains the legal framework that further accelerates the transition.
Clean Vehicles Directive: Legal obligation for a clean fleet
In parallel with the funding situation, the European Union is increasing the pressure on public procurers. The Clean Vehicles Directive (CVD), implemented in Germany by the Clean Vehicles Procurement Act (SaubFahrzeugBeschG), prescribes binding minimum quotas for the procurement of low-emission vehicles. For the period until the end of 2025, 45% of all newly procured buses must be "clean", with half of them even completely emission-free. This applies not only to direct purchases but also to leasing agreements and the awarding of transport service contracts. Failure to meet these quotas can result in legal and financial consequences. A sustainable conversion solution is credited towards meeting the quota in the same way as a new vehicle. This regulation makes proactive action a strategic necessity. With a clear plan, you can implement these requirements efficiently.
Your 4-point action plan for pragmatic electrification
To clearly assess the funding situation and meet legal requirements, we recommend a pragmatic four-step process:
Requirements and TCO analysis: Determine your actual requirements. Analyze route profiles, schedules, and the Total Cost of Ownership. A TCO analysis compares all costs over the entire service life of a vehicle, not just the purchase price.
Evaluate the solution – New bus or conversion?: Check which option is more economical for your fleet. While a new bus is often associated with high acquisition costs, a conversion preserves your capital and maintains the value of your existing special bodies.
Apply for funding: The 2026 bus funding call ended on July 21, 2026, most recently with up to 70% of the additional costs covered. A professional, free funding analysis can significantly simplify the application process and increase the chances of success.
Implementation and commissioning: Plan the procurement of the vehicles and the setup of the charging infrastructure. HEERO offers complete solutions for this, ranging from consulting to the HEERO Tourer minibus and the 165 kW fast charger for the medium low-floor bus.
The financial comparison between purchasing new and converting is often the deciding factor when choosing the right solution.
Costs in Focus: Total Cost of Ownership (TCO) as a Basis for Decision Making
The acquisition costs are only part of the equation. An informed decision for or against a new bus is based on the Total Cost of Ownership (TCO). This key metric takes into account all costs incurred over the entire service life. Studies show that the TCO of an electric bus is 5-10% lower than that of a diesel bus in the long term. Retrofitting amplifies this effect, as the initial investment costs are significantly lower than when buying a new vehicle. Retrofitting is often up to 40% cheaper than a comparable new electric bus.
Here is an overview of the key advantages of retrofitting:
Lower capital costs: Avoid the high expenses of a new vehicle and preserve your liquidity.
Preservation of value: Expensive and proven special bodies of your existing vehicles are fully preserved.
Reduced operating costs: Benefit from up to 50% lower maintenance and energy costs compared to diesel.
Faster availability: Bypass long delivery times for new vehicles and achieve faster integration into the fleet.
In addition to finances, the technical performance of the vehicles is crucial for daily operations.
Heero technology: performance and range for everyday practice
Whether a new minibus or a converted regular-service bus – the technical data must be convincing. HEERO relies on field-tested components for maximum reliability. With its 96 kWh net battery capacity, the HEERO low-floor rear bus achieves a real-world range of up to 300 kilometers. It is charged with up to 135 kW, which ensures short downtimes. The HEERO Tourer for nine people even manages up to 400 kilometers. The heart of the low-floor middle bus is a powerful system with a net capacity of 115 kWh and a DC charging power of up to 165 kW. This means the bus is ready for use at 80% again in around 30 minutes. These values show that electromobility in the bus segment no longer requires compromises. However, the transition makes not only an economic but also an important ecological contribution.
More than just CO₂ reduction: Circular economy as a sustainable principle
The decision to convert a vehicle is a clear commitment to the circular economy. Instead of scrapping a fully functional vehicle with an intact chassis and body, its lifecycle is significantly extended. This approach not only saves the grey energy that would be required to produce a completely new bus, but also drastically reduces waste and resource consumption. Every converted bus is an active contribution to resource conservation and a strong signal for lived sustainability in your company or municipality. By converting, you not only meet emissions targets, but also position yourself as a responsible and forward-thinking player. Start the transition and leverage these benefits.
More useful links
A press release from the Bundesministerium für Digitales und Verkehr (BMDV) provides information on the funding of climate-friendly buses.
The Nationale Leitstelle Ladeinfrastruktur offers comprehensive information on the topic of commercial vehicles and their charging infrastructure.
Here you can find detailed information from the Nationale Leitstelle Ladeinfrastruktur on the status of the funding programs.
The Bundesministerium für Digitales und Verkehr (BMDV) provides the funding guidelines for charging infrastructure for electric vehicles.
The Umweltbundesamt publishes an analysis on the environmental footprint of motor vehicles.
The Verband Deutscher Verkehrsunternehmen (VDV) provides information on current developments and initiatives in the field of e-mobility.
Elektromobilität NRW offers information on funding for companies in the field of electromobility in North Rhine-Westphalia.
