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Vienna's taxi fleet electrified: Subsidies meet skepticism
As reported by the Austrian newspaper "Der Standard", the city is thus following a target set by the Federal Ministry for Climate Protection, which is not legally binding. In the coming years, around 8,200 taxis in the federal capital are to become emission-free step by step. However, the path to this is rocky: currently, the share of purely electric vehicles is only 2.6 percent. Subsidy programs from the city and the federal government have so far been used hesitantly.
Slow progress despite generous subsidies
Currently, there are only 220 fully electric taxis operating in Vienna. Hybrids are much more common, making up the majority of the fleet with 5,500 vehicles. Among major taxi operators like 40100 or 31300, the share of hybrids and electric cars is now between 70 and 75 percent. However, from January, no new hybrids will be allowed to be registered. If a taxi leaves the fleet, it must be replaced by an e-car. It will probably take seven to ten years for decarbonization to be completed - as long as a taxi typically remains in operation on average.
To accelerate the transition, the city of Vienna is providing substantial subsidies. For each e-taxi, there is a grant of up to 10,000 euros, linked to the actual kilometers driven with paying passengers. Additionally, the Climate Ministry is co-financing with 1,000 euros per vehicle. The city's subsidy program runs until the fund of 6.4 million euros is exhausted. However, despite this incentive, only a fraction of the funds have been utilized so far. The city does not disclose how much remains.
High Costs and Charging Infrastructure as Obstacles
The sluggish demand has various reasons. A central factor is the higher acquisition costs of electric cars compared to hybrids or internal combustion engines. Even if subsidies partially cushion the difference, a significant personal contribution remains for many taxi operators.
Another obstacle is the charging infrastructure. While electric cars are more cost-effective to operate, long charging times with limited access to fast charging stations pose a problem. Especially for taxis in a two-shift operation, a practical solution is lacking. "If the car needs to be charged between two drivers: Who loses the time?" asks Eveline Hruza from Taxi 40100.
Additionally, many taxi operators do not have their own premises and live in rental apartments. Wallboxes, which are also subsidized, are therefore not an option for them. At the same time, there is currently no system in Vienna to reserve public charging stations. This means for taxi drivers: Even if there is time to charge between rides, it is not guaranteed that a free charging station is available nearby.
Uncertainties in the Market and a Wait-and-See Attitude
Many entrepreneurs seem to be waiting to see if the prices for electric vehicles will decrease or if the charging infrastructure will improve.
“Some are using the opportunity to acquire combustion engine vehicles or hybrids before the regulation comes into effect,” says Hruza.
According to the intermediaries, however, clear trends are hardly discernible. The hesitation is also reflected in the grant figures. Of the 6.4 million euros from the city of Vienna, millions remain unused after two years. Even with full utilization of the grant per vehicle, less than a third of the funds would have been drawn so far.
Environmental Effects of Complete Electrification
A complete conversion of the taxi fleet to electric cars could significantly reduce CO₂ emissions. According to a study by the University of Dublin, emissions would be reduced by 77 percent, based on the Irish electricity mix. In Austria, where the electricity mix is noticeably cleaner at 85 grams of CO₂ equivalent per kilowatt hour, the savings are likely to be even higher. Hybrids, on the other hand, would only reduce emissions by 29 percent.
Necessary Political and Economic Decisions
The Ministry of Climate and the city of Vienna emphasize the necessity of electrification, but grants alone do not seem to suffice. WU transport expert Manuel Tuscher highlights that the structure of the taxi trade, with many one- and two-man businesses, makes the transition difficult. Unlike in the parcel industry, where companies operate with their own infrastructure, the taxi industry often lacks the preconditions for comprehensive electrification.
For the complete decarbonization of Vienna's taxi fleet, therefore, not only financial incentives are needed but also a consistent expansion of the charging infrastructure and stronger support for small entrepreneurs. How quickly electrification will progress depends on these framework conditions – and the willingness of the industry to actively shape the transition.
Translated automatically from German.
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