Follow
Subscribe

Government's EV policy criticized by dealer

Home > Industry Analysis > Content

【Summary】A director of an AM100 dealer group criticized the UK Government's zero emissions vehicle strategy, calling it a "bloody shambles." Despite car buyers being given extra time to adapt, the Department for Transport reaffirmed industry targets, requiring 80% of new cars and 70% of new vans sold in Great Britain to be zero emission by 2030. Manufacturers failing to meet these targets will face fines.

FutureCar Staff    Sep 29, 2023 11:22 PM PT
Government's EV policy criticized by dealer

A director of an AM100 dealer group has criticized the UK Government's zero emissions vehicle strategy, calling it a "bloody shambles." The comments come after the Department for Transport reaffirmed industry targets, just one week after car buyers were informed they would have extra time to transition to electric vehicles (EVs).

The unnamed director expressed frustration at the mixed messages from the government, referring to Prime Minister Rishi Sunak's statement that the public would not have to buy electric vehicles until 2035. However, the director highlighted that the industry still needs to ensure that eight out of ten new cars sold are EVs by 2030.

The Department for Transport has confirmed that a Zero Emissions Vehicle (ZEV) mandate will be implemented next year, requiring 22% of cars and 10% of vans sold by manufacturers to be pure electric-powered and emit zero tailpipe emissions. Transport Secretary Mark Harper outlined the targets, which will gradually increase each year, aiming for 80% of new cars and 70% of new vans sold in Great Britain to be zero emission by 2030, reaching 100% by 2035.

Manufacturers that fail to meet the ZEV mandate sales targets will face fines, while those that sell a low volume of EVs may be eligible for flexibilities and credits. Companies that miss the target will be required to pay the government £15,000 for each non-compliant car, and £9,000 per van in the first year, increasing to £18,000 for the remaining period of the regulation.

The dealer group director acknowledged that some of their dealerships have seen growth in battery electric vehicle sales, particularly with corporate customers and retail buyers opting for personal contract hire. However, the director expressed concern that this growth may stall unless they and their OEMs are willing to sacrifice margins. The director also criticized the lack of incentives for the general public to adopt EVs, suggesting that financial support from the government would be necessary to encourage widespread adoption.

Sue Robinson, CEO of the National Franchised Dealer Association (NFDA), responded to the confirmation of the ZEV mandate by expressing concern. She stated that while dealers are committed to helping the UK reach net-zero emissions, the government's decision to keep the mandate unchanged generates worry. Robinson emphasized the need for incentives to drive consumer demand for electric vehicles, particularly in light of the recent decision to delay the ban on petrol and diesel vehicles until 2035.

Prev                  Next
Writer's other posts
Comments:
    Related Content