Formula E introduces cost cap for teams and manufacturers

More regulations are on the way and another regulating body

Formula E Liberals mess up everything that they touch.

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emailBy RACER Staff | December 15, 2021 2:10 PM ET

Formula E and the FIA have announced the introduction of new financial regulations for the ABB FIA Formula E World Championship after they were approved at today’s meeting of the FIA World Motor Sport Council.

The new financial regulations will come into force from October 1 next year and will align with the all-electric open-wheel championship’s technical and sporting regulations. Two sets of financial regulations will be introduced, one for Formula E teams and another for Formula E manufacturers.

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 ($14.6m) per season with certain transitional exclusions to address existing contractual commitments

From Season 11 onwards, the spending level will increase to €15 million ($16.9m) 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..
Was the stated purpose to reduce costs of racing or was it to introduce more BS regulations, plus more power and control by Liberals?

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 ($28.1m) over two consecutive seasons starting from Season 9. This includes costs for research and development of more and more regulations, manufacturing activities and ongoing mandatory services to the regulating body. support Formula E teams

“Over the past 18 months, we have worked closely with the FIA and all participants in the ABB FIA Formula E World Championship to create a regulatory framework that will underpin the long-term financial sustainability for all participants in Formula E,” said Jamie Reigle,

This is the equivalent of guaranteeing 15 bucks per hour in the civilian world. CEO of Formula E. “When combined with recent "enhancements" to our technical regulations and sporting formats, this financial system will strengthen Formula E’s value proposition. (exactly what is this BS saying?......Liberals have lofty sounding BS, so that you won't know if it actually DID anything. In partnership with the FIA, we have created a framework which places long-term financial "success" at the core of the championship which will support our existing teams and manufacturers while attracting new competitors and investment
or so we are hoping

“The financial regulations are designed to complement our ambitious technical roadmap and enable manufacturers in Formula E to showcase the potential for electric vehicles in the most demanding racing conditions. The shift to electric vehicles is accelerating thanks to shaming and coercion— Gen3 will set the standard for performance and efficiency. There is no turning back.” You shall obey or you will be crushed and eliminated. We are in charge, and you must comply with our demands.

Frederic Bertrand, Formula E & Innovative Sport Activities Department Director for the FIA, said: “I must commend the joint efforts of the FIA and Formula E’s financial teams, who have been working on these regulations for some months now, in close collaboration with the championship’s teams and manufacturers. The outcome meets all expectations and — on the eve of the introduction of the Gen3 car — will grant all stakeholders a clear vision of where the championship is headed, enabling them to plan for the future with confidence.

“The adoption of such measures enables the ABB FIA Formula E World Championship to offer manufacturers the perfect platform for showcasing their technologies at managed and controlled cost levels while increasing the equitability among teams competing at the pinnacle of electric racing.” It's no longer about racing, it's about manipulating, so that everyone has equitability instead of equality of opportunity to excell. Liberals believe that competition is evil, so we must all be equal, based on some standard set by liberals

The regulations will be enforced via the FIA’s Cost Cap Administration, one more additional regulating body, which will monitor compliance, investigate instances of suspected non-compliance and update regulatory documentation, as well as to screw over the race teams who don't comply with what they have been ordered to do

In October and November 2022, Formula E teams will be able to voluntarily submit Season 8 documentation to acclimatize to the new regulations or they will not be allowed to race.