VW Settlement Includes Buyback, Monetary Compensation, Funds for Clean Air Efforts
June 29, 2016—Volkswagen and U.S. regulators reached a settlement after the automaker admitted in September to cheating on U.S. diesel emissions tests. Volkswagen could pay more than $15 billion to buy back customer vehicles, provide compensation, and fund clean air technology development, according to a report from Reuters.
The settlement is the largest ever automotive buyback offer in the United States. Approximately 475,000 diesel vehicles are affected by the emissions-cheating software. Models include the 2.0-liter diesel Jetta, Beetle, Audi A3, Golf and Passat from model years 2009-2015.
The deal provides that Volkswagen will use $2 billion over 10 years to fund programs directed by California and the EPA to promote construction of electric vehicle charging infrastructure, development of zero-emission ride-sharing fleets and other efforts to boost zero-emission vehicle sales.
Volkswagen will also offer to buy back effected customer vehicles at the pre-scandal price in addition to providing compensation. Most owners may see $5,000-$10,000 in compensation, depending on the vehicle model and age.
No agreement has yet been reached over the 3.0-liter diesels also affected by the emissions-cheating software.