Globally, ground transportation contributes towards 30% of the total greenhouse gas emission in our environment. With an objective of making transportation much more efficient and accessible along with creating a sustainable future by reducing CO2 emission, the French government has introduced a 1st of its kind mobility law on the 19th November 2019.
The law recommends a voluntary creation of a “Sustainable Mobility Package” of up to €400 per year for companies with more than 50 employees. This package will be exempt from income tax and social security contributions for the employees who use cycle or carpool for their home-office daily commutes.
While there are multiple aspects to it, the mobility law is primarily based on the following 3 key pillars:
- More and better investment in the daily transport - An Investment of €13.4 billion in the five-year period (€4 billion more than the last five-year period) towards the betterment of the existing rail and road infrastructure.
- Deployment of new transport solutions for the citizens with an objective of reducing the use of private cars and promoting shared mobility solutions like carpooling, car sharing, on demand transport, etc.
- Initiative towards the adoption of green mobility solution, with an objective of achieving carbon neutrality for land transport by 2050. The objective is accompanied by clear trajectory of 37.5% reduction in emission of greenhouse gasses by 2030 and banning the sale of fossil fuel cars by 2040. Increase in the deployment of electric charging stations with the possibility providing the ease of recharging at one's place of residence or work.
Fresh start to Mobility for everyone
The mobility law, or commonly known as the LOM in France, confirms the right to mobility for all and is targeted to address the current issues related to urban commuting. On one hand, it addresses the rural and the less accessible areas and on the other hand, it also aims to decongest the metropolitan areas.
With the principal aim of reducing the excess dependency on private cars used for daily commuting, it also provisions developing a platform with the new shared mobility solutions that will provide a smooth transition towards the adoption of more environment friendly transportation mediums.
Mobility solutions for people with disabilities will also be promoted by improving information sharing about accessible solutions and guaranteed reduced fares for people accompanying them.
The law also hopes for the dissemination of real time data related to transportation (on demand transport, public transport), by 2021 in order to promote easy accessibility of useful information for the travellers (bus schedule, availability of free-floating vehicles, rate card etc). The availability of these information on a single platform will help the commuters, better understand the available travel options and further enhance their experience by combining several transportation modes (MaaS). The bill also provides much needed reforms for obtaining a driving license, with a series of measures designed to reduce the overall cost and the time required.
How can large businesses and companies benefit from the new Mobility Law?
The new law puts special emphasis on the home to office commute in companies with more than 50 employees. Implementation of a mobility plan that supports cleaner transportation mediums like carpooling, cycling and contributing to the employees transport cost beyond public transportation, will not only help the companies reduce their expenses but also contribute significantly to their overall Sustainability Goals.
The progressive growth prospects for most of the corporates is not only bringing newer challenges from a workplace perspective but is also significantly affecting their bottom-line margins as more and more employees tend to use their personal cars, increasing the need of vehicle ownership, need of additional parking spaces and the indirect effect of congestion on the overall productive of the employees.
With the new mobility law, the French government is sending the right signals about their seriousness to improve the commuting experiences and is also encouraging corporates to adopt these measures that will enhance their workforce experience and move towards a greener society.
At Zify, we whole-heartedly welcome this law and are determined to help our partner companies in making the best use of this opportunity. Get in touch with us to know how Zify’s Managed Carpooling Solution can help you achieve your goals for achieving sustainability and comply with the new French Mobility Law.
To be book a free consultation with one of our in-house mobility expert, visit http://zify.co/en-FR/business.html