Spain government electric car boost 2021 plan revealed - This is the Government's plan to boost the electric car in Spain: 24,000 million euros, 250,000 registered electric vehicles and 140,000 jobs.

Spain takes a step forward in the manufacture of electric cars. The Council of Ministers approved on Tuesday 13 its first PERTE (Strategic Project for Economic Recovery and Transformation), focused on the reconversion of the automotive sector to boost the manufacture of electric and connected vehicles, as well as to "democratize access" to this.

"Spain is, for the first time, at the forefront of the transformation of the automotive industry," said Reyes Maroto, Minister of Industry, Trade and Tourism, at the press conference after the Council of Ministers, the first after the change of Government.

The minister has described it as a" historic milestone", which will allow"the mobility of the future, which has to be green, to be written also from Spain". "The recovery plan is starting to roll," he said, after Ecofin has approved the first disbursements.

The President of the Government, Pedro Sánchez, already presented on Monday 12 the main aspects of the PERTE-formula to benefit faster from European funds-of the electric and connected vehicle, the first of several in which the Executive works.

Spain government electric car boost 2021 plan revealed

Moncloa presented it on Tuesday as "a project based on public-private collaboration and focused on strengthening the value chains of the Spanish automotive industry, a strategic sector" for the country.

"Our priority is economic, social and territorial recovery. And, to achieve a vigorous recovery, we cannot settle for returning to the starting point prior to COVID, but [we must] transform our economy," said Pedro Sánchez.

"This revolution that we present today [for Monday 12] is structured around 2 axes of the Recovery, Transformation and Resilience Plan: the so-called twin green and digital revolutions, keys to accelerate progress towards a better Spain. We are talking about a new model of mobility for a new model of country after the pandemic, " said the president.

These are the main keys of the first Government PERTE, focused on the transformation of the automotive sector and the promotion of the electric and connected vehicle:

The development of the Strategic Project for Economic Recovery and Transformation focused on electric vehicles foresees a total investment of about 24,000 million euros in the period 2021-2023.

Spain government electric car boost 2021 plan revealed

To reach this figure, the Government will go to the European funds Next Generation mostly: it will have a private investment of 19,700 million euros, which will be added to a" historical public investment " of 4,300 million (which represents about 1 in 5 euros), has shared the Minister of Industry and Trade.

"With this investment to boost the electric vehicle, we believe that the sector can increase up to 15% of its weight in the GDP for 2030", it has advanced the chief Executive on this PERTE, for which to create an Alliance for the Electric Vehicle and Connected, in which are represented the ministries involved (at least 7) and the bureau of automotive where there are organizations of the automotive sector, the trade unions and the autonomous communities.

The target? "Create in Spain the ecosystem necessary for the development and manufacture of electric and grid-connected vehicles and turn our country into the European hub of electromobility", formula Moncloa. "It is one of the driving levers" of Spain in this stage of recovery, according to Maroto.

Spain is the second European vehicle manufacturer and the ninth worldwide, with 17 factories in the Spanish territory. In addition, it represents 11% of the turnover of the industrial total. The automotive sector is the fourth largest exporter and represents 15% of total Spanish exports, according to government data.

Also, according to an executive report published on Monday, only industrial lines linked to electric vehicles generate an impact on GDP of between 10,095 and 17,835 million euros, in addition to the generation of between 68,000 and 141,000 jobs, reports El País.

Spain government electric car boost 2021 plan revealed

This plan will be supported by European recovery funds, the first disbursements of which have just been approved by Ecofin (EU Ministers of Economy and Finance), as recently published by the European Council.

With them, much of the total investment of 24,000 million euros destined to the plan, the Government expects to reach 250,000 registered electric vehicles in 2023.

In addition, between 80,000 and 110,000 charging points are expected to be deployed by the same year.

Spain government electric car boost 2021 plan revealed

The job creation generated by PERTE could reach 140,000 jobs and the contribution to GDP would be around 1.7%, according to Reyes Maroto.

This, as explained by the president, will contribute to the creation and consolidation of quality jobs, collect the Executive, who also reports the formation of "hundreds of thousands of young people" through new programs in FP aimed at the sector, as well as the training programs digital, which will be financed with european funds.

"Spain is the first country in which an Academy for Drums is going to be set up. An initiative that will allow the training of about 150,000 people in the coming years in the different areas related to the development and manufacture of batteries for electric cars," said Pedro Sánchez.

Spain government electric car boost 2021 plan revealed

Once the PERTE is published in the Official State Gazette, interested companies will be able to register the groups to participate in it and, in September, start the process of calls to request resources from the European Union, reports El País.

In this respect, the participation of car companies such as Seat is already taken for granted, which has requested European funds to help develop a network of charging points for electric cars and industrial infrastructure.

That of electric vehicles will be the first PERTE, but it is far from being the only one. As reported by the Spanish media, the Government has initially contemplated up to 7 strategic projects for economic recovery and transformation.

Spain government electric car boost 2021 plan revealed

To this one focused on the electromobility sector is expected to be added one of electronics (around the design of chips), one based on the circular economy and battery recycling and others related to the renewable energy industry, agri-food, health and aeronautics.

This first one has been "the most expensive", but also the one that will mark "the step" to continue with the next ones, according to Maroto.