The FIA World Motor Sport Council approved two sets of financial regulations for the Formula E to be introduced by the FIA to monitor and control spending levels of competitors.
One of this sets involves the teams and the other one the manufacturers.
New regulatory framework will enhance long term financial sustainability of Formula E, supporting retention of current participants and attracting investment in the Championship from new manufacturers, teams, investors and commercial partners.
The new financial regulations will come into force from 1 October next year and will align with the Championship’s technical and sporting regulations.
The team financial regulations are comprehensive with limited exclusions, mainly for costs clearly linked to the commercial growth of the Championship.
The spending level for Seasons 9 and 10 will be set at €13 million per season with certain transitional exclusions to address existing contractual commitments.
From Season 11 onwards, the spending level will increase to €15 million per season inclusive of driver costs and other costs associated with the second phase of the Gen3 car, facilitating continued investment in talent and development.
A separate set of financial regulations will govern manufacturer investment in research and development related to powertrain development.
Manufacturers will operate within a spending level of €25 million over two consecutive seasons starting from Season 9.
Includes costs for research & development, manufacturing activities and ongoing mandatory services to support Formula E teams.
The regulations will be enforced via the FIA’s Cost Cap Administration who will monitor compliance, investigate instances of suspected non-compliance and update regulatory documentation.
In October and November 2022, Formula E Teams will be able to voluntarily submit Season 8 documentation to acclimatise to the new regulations.
Source: Formula E
Photo: ‘Courtesy of Formula E’