Electric Vehicle Mandate

author: FutureCar Staff    

The government has released the details of its Zero Emission Vehicle (ZEV) mandate, which states that by 2030, 80% of new cars sold in the UK by carmakers must be zero emission. This will increase to 100% by 2035. The documents, published recently, are largely unchanged from the proposals set out in a consultation document in March. This is despite the government's decision to delay the end date for the sale of internal combustion engine cars and vans from 2030 to 2035.

Under the new plans, car manufacturers will need to ensure that 22% of the cars they sell in the UK next year are zero emission. This percentage will rise to 33% in 2026 and 52% in 2028. The auto industry has expressed concerns about meeting these targets and has called for additional policy support from the government. However, advocates for electric vehicles (EVs) argue that the 22% goal should be achievable, as zero emission vehicles currently account for around 18% of car sales.

The targets for zero emission vans are less strict, with a 10% market share target set for 2024, rising to 34% in 2027 and 70% in 2030. Transport Secretary Mark Harper stated that the ZEV mandate provides certainty for manufacturers, benefits drivers by providing more options, and helps grow the economy by creating skilled jobs. He also highlighted the government's efforts to make it easier to own an electric vehicle, such as increasing the number of chargepoints and providing tax relief for EV owners.

Manufacturers that fail to meet their ZEV targets will face fines of £15,000 per car and £18,000 per van, after accounting for exemptions. However, companies will be able to "borrow" a limited number of ZEV allowances from future manufacturing plans through a system of "over-performance credits". These credits will last for three years, allowing carmakers to borrow against manufacturing plans until 2027. In the first year, car manufacturers can borrow up to 75% of their annual target, which will decrease to 25% in 2026. Carmakers that exceed their targets can trade their allowances with manufacturers that have fallen short.

The publication of the ZEV Mandate has been welcomed by major carmakers, who had expressed concerns about delays in finalizing the rules. The mandate is seen as the "single most important measure to deliver net zero" by the Society of Motor Manufacturers and Traders. Clean transport groups have also praised the fact that the ZEV mandate has remained largely unchanged since the original proposals were set out in March.

However, some critics argue that the recent decision to push back the phase-out date for new internal combustion engine cars and vans could undermine the impact of the ZEV mandate. They calculate that this change will result in approximately 980,000 more internal combustion engine vehicles on the roads, producing 10 million tonnes of additional carbon emissions over their lifetimes.

The final version of the ZEV mandate has relaxed the targets for van makers in 2025 and 2026, which has disappointed campaigners who believe the previous goals were already not ambitious enough. It is worth noting that the sales targets set for the period between 2030 and 2035 are still "indicative" and have yet to be written into legislation.

The release of the ZEV mandate comes at a time when the government is facing criticism for watering down key climate policies. The decision to approve the Rosebank oil and gas field has also been highly controversial. MPs on the Energy Security and Net Zero community have joined the chorus of criticism, expressing concerns that the government is undermining the UK's climate leadership and turning climate issues into a "party political football".

FutureCar Staff