ZEV mandate “puts Britain back in the fast lane to electric”

By / 7 months ago / UK News / No Comments

The Government’s confirmation today that the zero emission vehicle mandate will start from 2024 has been welcomed by many across the automotive, fleet and charging sectors, which say it will help “put Britain back in the fast lane to electric, net zero motoring”.

The ZEV mandate gives OEMs clarity on what they are required to sell from 2024 up to 2030

The long-awaited confirmation reveals details of how the regulation will levy increasingly stringent EV sales targets on car and van makers from 2024.

The DfT said the ZEV mandate gives Britain the most ambitious regulatory framework for the switch to electric vehicles in the world – while providing certainty for OEMs and helping the charging sector confidence to invest.

Transport Secretary Mark Harper said: “The path to zero-emission vehicles announced today makes sure the route to get there is proportionate, pragmatic and realistic for families.

“Our mandate provides certainty for manufacturers, benefits drivers by providing more options, and helps grow the economy by creating skilled jobs.”

The clarification on targets was welcomed by the UK automotive sector – albeit with only just over three months to go until the scheme kicks in.

Mike Hawes, chief executive at the Society of Motor Manufacturers and Traders (SMMT), said: “With less than 100 days to go, manufacturers finally have clarity on what they are required to sell next year and up to 2030. The industry is investing billions in decarbonisation and recognises the importance of this mechanism as the single most important measure to deliver net zero. Delivering the mandate will challenge the industry, despite the flexibilities now included to support pragmatic, equitable delivery given this diverse sector. “

But the industry also warned again for the need to provide private car buyers with incentives to go electric.

Hawes added: “It is worth noting the mandate means the UK still retains the most ambitious transition timeline of any major market but without any private consumer incentives. Furthermore, the lack of a post-2030 regulatory framework creates investment uncertainty.

“Manufacturers offer a vast range of zero emission vehicles, but demand must also match supply. We need a buoyant market that delivers fleet renewal at scale, ensures a vibrant used EV market and gives consumers confidence. This means an attractive package of fiscal and other incentives, mandated infrastructure targets and a consistent message that encourages drivers to switch now.”

And the Institution of Mechanical Engineers (IMechE) also reiterated its call for more support for car buyers.

Matt Rooney, head of policy, said: “The proposed zero emissions vehicle mandate is not alone sufficient to deliver decarbonisation of cars on UK roads. The Government is proposing to force an increase in supply without making comparable interventions to boost demand.

“Other policies, in addition to the mandate, are required to make battery electric vehicles an economically viable and practical proposition to consumers.”

Other organisations pointed out how the delay to the 2030 ICE ban mean that the Government is “giving with one hand and taking away with the other”.

Ian Plummer, commercial director at Auto Trader, said: “Confirmation of the ZEV mandate at least gives the industry the clarity it needs, even though some manufacturers will struggle to hit these targets as they are behind the curve on EV sales. To close the gap and avoid fines, we could see prices come down to encourage consumer demand.

“But combined with the delay to the ban on new diesel and petrol sales until 2035, the Government is sending mixed messages in a crucial policy area. The key now will be to support consumers in making the switch. That won’t be easy given the current barriers of high upfront cost and charging infrastructure – despite the significant savings to be made from running an EV.”

Plummer welcomed the revised targets for zero-emission vans.

“When it comes to the vans mandate, the softening of the annual targets is a pragmatic step that will provide much needed breathing room for certain manufacturers. It also gives the fleet and business sectors – the biggest van buyers – more choice while electric van technology catches up with business requirements, and electric vans become more affordable for small businesses.”

The BVRLA said ZEV mandate clarity would “wrestle back some of the confidence that last week’s phase-out delay dented”.

Gerry Keaney, chief executive, commented: “The decarbonisation divide is growing. The company-provided car sector is well on its way and will be fully ZEV ahead of official targets. Others face much harder transitions. Vehicle rental, the retail market, and commercial vehicles have a mountain to climb if they are to adopt zero-emission vehicles in the volumes required. Targeted financial support and incentives will play a vital role.

“For those challenging market segments, the breathing space afforded by the ZEV mandate van trajectory changing, car club parameters being adjusted, and commitment to an accessible transition will be welcome.

“The Prime Minister may have applied the brakes to the Government’s phase-out targets, but the fleet sector still has its foot on the throttle. The pace of the transition will continue to accelerate in the years ahead. The Road to Zero is building momentum and we will continue to work with Government officials and stakeholders in the automotive and energy sectors to make sure it is not lost.”

The UK’s charging infrastructure industry also welcomed the clarity, as outlined by ChargeUK.

Ian Johnston, chair of the industry body, said: “ChargeUK supports a strong ZEV mandate that provides the confidence to continue to invest in deploying EV charging infrastructure at an unprecedented rate.

“We are turning on a new public charger every 20 minutes, making the UK the best place in the world to drive and charge an EV.

“We are working with government and others to deploy even faster and we welcome the commitment to reform grid connections to enable us to get new chargers in the ground ever more quickly. The Prime Minister also committed to speeding up planning processes for the biggest net zero projects and it is essential that this includes EV charging infrastructure.”

Finally, climate groups also greeted the ZEV mandate, highlighting that it will pretty much end sales of new petrol and diesel cars by the early 2030s.

Richard Hebditch, UK director of campaign group Transport & Environment, said: “Four out of five of new cars sold will be zero emission by 2030 and that will increase in the following years meaning realistically, that most mass-market car makers are still working towards an all-electric future by the early 2030s.

“Last week’s announcement pushing back the phase-out dates for new petrol and diesel cars could have blown a huge hole in our carbon budgets. But its impact is now set to be limited by a mandate that squeezes sales every year. Given the upfront costs of electric cars won’t be any higher than petrol cars in 2030, you’ve got to ask what the point of last week’s announcement actually was.”

And Ben Nelmes, CEO of New AutoMotive, said: “These regulations give the green light to the biggest transport revolution in half a century that will lead to cleaner, cheaper cars for all.”

He added: “We have been calling for a California-style zero emissions vehicle mandate for over two years, and we are pleased that the Government is taking a pragmatic and sensible approach that will put Britain back in the fast lane to electric, net zero motoring.”

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Natalie Middleton

Natalie has worked as a fleet journalist for nearly 20 years, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day. Natalie edits all the Fleet World websites and newsletters, and loves to hear about any latest industry news - or gossip.