Greater financial regulation has been a top priority for Championship CEO Jamie Reigle during his tenure as the series struggles to stabilize after the departures of Mercedes, Audi and BMW.
The new rules will go into effect on October 1, 2022 to cover the upcoming Gen3 era, although manufacturers have started to develop the new rules for the 470bhp powertrain following previous technical working group meetings.
As reported by Autosport in July, racing teams will be allowed to spend 13 million euros per season for 2022-24, although there are “certain transitional exclusions to meet existing contractual commitments”.
This will increase to 15 million euros per season from the 2024-25 season and beyond, but will then critically include driver salaries to facilitate ‘continued investment in talent’ as well as the development of the business. likely introduction of a Gen3.5 EVO car.
For powertrain manufacturers, they must operate with a limit of 25 million euros over two consecutive seasons to cover research and development as well as “the ongoing mandatory manufacturing activities and services to support Formula E. [customer] teams ”.
The biggest spenders are currently estimated to operate with a budget of 40 million euros.
These breakthrough spending regulations were approved following the December 15 meeting of the FIA World Motorsport Council to “monitor and control competitor spending levels, promote the long-term financial viability of teams and teams. Formula E constructors, the competitive equilibrium of the championship and sporting fairness.
Formula E has already introduced some measures in response to the global health crisis to combat rising spending by reducing staff and consumable parts limits.
Oliver Askew, Andretti Motorsport, BMW iFE.21, Jake Dennis, Andretti Motorsport, BMW iFE.21
Photo by: Andreas Beil
Reigle said: “Over the past 18 months we have worked closely with the FIA and all participants in the FIA Formula E World Championship to create a regulatory framework that will support the long term financial sustainability of all. the participants in Formula E.
“Combined with recent improvements to our technical regulations and sporting formats, this financial system will strengthen Formula E’s value proposition.
“In partnership with the FIA, we have created a framework that places long-term financial success at the heart of the championship, which will support our existing teams and manufacturers while attracting new competitors and investment.
“The Financial Regulations are designed to complement our ambitious technical roadmap and enable Formula E manufacturers to harness the potential of electric vehicles in the most demanding racing conditions: the FIA Formula E World Championship.
“The shift to electric vehicles is gaining momentum, Gen3 will set the standard for performance and efficiency. There is no going back. “
FIA Formula E director Frédéric Bertrand added: “I must salute the joint efforts of the financial teams of the FIA and Formula E, who have been working on these regulations for a few months now, in close collaboration with the teams and the championship builders.
“The result meets all expectations and – on the eve of the introduction of the Gen3 car – will give all stakeholders a clear vision of where the championship is going, allowing them to plan for the future with confidence.
“Adopting such measures allows the FIA Formula E World Championship to offer manufacturers the ideal platform to showcase their technologies at managed and controlled cost levels while increasing fairness among participating teams. at the height of electric racing. “
The expenses will be regulated by the FIA Cost Cap Administration, which will investigate any suspected violations.
The Andretti Autosport team already has a partnership in place with accounting firm Crowe UK to navigate the new restrictions.
In other WMSC-approved updates, the initial two-group stage of the new knockout qualifying format will be reduced from 10 minutes to 12 minutes to address concerns from teams about the limited window they could enter. in an outing, a preparation and a flight. knees.
In addition, no points will be awarded to the driver who has completed the fastest overall lap during qualifying, three points being awarded only to the winner of the pole.