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A Government Perspective 18 February 2014 ACFO EV Seminar Anna West Head of Consumer Incentives – OLEV [email protected]

A Government Perspective

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A Government Perspective. Anna West Head of Consumer Incentives – OLEV [email protected]. 18 February 2014 ACFO EV Seminar. Energy issues. Incentives. R&D. Supply Chain. Infrastructure. 1. What is OLEV?. Department for Energy & Climate Change. Office for Low Emission Vehicles. - PowerPoint PPT Presentation

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Page 1: A Government Perspective

A Government Perspective

18 February 2014 ACFO EV Seminar

Anna WestHead of Consumer Incentives – [email protected]

Page 2: A Government Perspective

2

1. What is OLEV?

Incentives Infrastructure Supply ChainR&D Energy issues

Office for Low Emission Vehicles

Department for Energy & Climate Change

Page 3: A Government Perspective

[email protected]

2. Context

130g/km EU Fleet Ave

target 2015

95g/km EU Fleet Ave

target 2020

50-60g/km likely maximum achievable with an ICE

Sub 50g/km – Only achievable by ULEVs and the opportunity for UK Plc.

130g/km EU Fleet Ave

target 2015

95g/km EU Fleet Ave

target 2020

50-60g/km likely maximum achievable with an ICE

Sub 50g/km – Only achievable by ULEVs and the opportunity for UK Plc.

Mass Market EV TechnologyNiche EVs

20202000 2010 2030

Full Hybrid

Micro/Mild Hybrid

130 95 TBDEU Fleet Average CO2 Targets (g/km)

2040

Plug-In Hybrid

IC Engine and Transmission innovations (gasoline/diesel/gas/renewables)

Demonstrators Fuel Cell Vehicle

Demonstrators

Charging Infrastructure

H2 Infrastructure

Energy Storage Breakthrough

Energy Storage Breakthrough

Vehicle Weight and Drag Reduction

Fuel Cell & H2 Supply/Storage Breakthrough

Tech

Regs

Opportunity for UK PLC.

€95 per

gram per car

Page 4: A Government Perspective

3. Aims and ambitions

• Every new car an ULEV from 2040, and an effectively decarbonised fleet by 2050

• The UK established as the best place in Europe for ULEV industries to invest

[email protected]

Page 5: A Government Perspective

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4. Plug in grants – The scheme

o 25% off the cost of an eligible car (up to £5000)

o 20% off the cost of an eligible van (up to £8000)

20 eligible cars 7 eligible vans

<75g CO2>70 miles range

>60 mph top speed

*Committed until April 2015

Page 6: A Government Perspective

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5. Plug in grants – Uptake to date

o Grant uptake in 2013 was 335% higher than in 2011

Page 7: A Government Perspective

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6. Grant eligible vehicles

Page 8: A Government Perspective

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7. Vehicles arriving in the next year…

… and more announced every month!

Page 9: A Government Perspective

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8. Infrastructure – Grants available

o 75% grant to install domestic chargepoints (up to £1,000). Available to all.

o 75% grant to install rapid chargepoints (up to £37,500). Available to local authorities.

o 75% grant to install chargepoints in station car parks (up to £7,500). Available to train operating companies.

o 75% grant to install chargepoints on the public sector estate (up to £7,500). Available to public sector organisations.

8 “plugged in places” created to gain understanding of charging habits; including charging at home and at work.

National infrastructure grants launched…

Page 10: A Government Perspective

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9. Infrastructure – Current status

o 1,500 bids for 7kw chargepoints on public sector sites

o 400 chargepoints (7kw or 22kw) in train stations

o 5,000+ domestic grants claimed

o 5,700+ chargepoints through the 8 PIP projects by Dec 2013

o 67% publicly accessible

National Schemes

Plugged-in Places

Privately funded…

o Over 5,000 chargepoints…

The UK will have the best rapid chargepoint network in Europe by next year

Page 11: A Government Perspective

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10. National chargepoint registry

http://www.zap-map.com/

o All Government funded chargepoints must be registered

o Privately funded chargepoints encouraged to register

o Database made available to companies to create software – e.g. Zap map

Page 12: A Government Perspective

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11. Tax incentives

o Vehicle Excise Duty – Exemption for <100g Co2 / km

o Fuel Duty – 0 for BEVs

o Company Car Tax – Exemption for 0g Co2 cars to 2015 – 5% for 1-74g CO2 cars to 2015 – 5% for 0-50g CO2 cars 2015 – 16 – 7% for 50-75g CO2 cars 2015 – 16

* Commitment to maintain a 2% differential for ULEVs out to 2020

o Enhanced Capital Allowance – write-down 100% of EV value in 1st year to set against tax (even if the grant has been used)

o Van benefit charge (VBC) – Exemption from the £3,000 charge payable to employees for private (as well as business) use till 2015.

Page 13: A Government Perspective

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12. Personal tax

o Advisory Fuel Rates– Use the diesel rates for diesel hybrids– Use the petrol rates for petrol hybrids– Currently at discretion of companies for pure EVs

o Authorised Mileage Allowance Payments– No discrimination between power train – 45p / mile for all cars and vans

Electricity is not classed as a fuel for tax purposes. The fuel benefit charge and advisory fuel rates do not apply.

HMRC is working to update the tax regime. Current advice is…

Page 14: A Government Perspective

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o PIFI (2012-13) – Looking at how to integrate ULEVs into 20 UK fleets.

o PIFI 100 (2013-14) – £280k made available to allow 100 more fleets to benefit.

Interest has been high, but a few places are still available!

o 2014-15? – Currently exploring options for a further phase …

www.energysavingtrust.org.uk/pifi

13. Plugged-in fleets initiative

Page 15: A Government Perspective

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14. Public sector procurement

o Mandatory for central Government Departments

o Best practice for the wider public sector

Transport UpdateAim – incentivise improvement through…

o lower mandatory fleet average CO2 emissions for cars

o promote consideration of ULEVs in 1st instance

Only reference to ULEVs

Already exceeded

Page 16: A Government Perspective

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15. The Chancellor’s EV readiness scheme

“<the Government will> invest £5 million during 2014-15 in a large scale electric vehicle-readiness programme for public sector fleets. The programme aims to promote the adoption of ultra-low emission vehicles, demonstrating clear leadership by the public sector to encourage future wide spread acceptance” George Osborne, Autumn Statement 2013

+ + Fleet reviews

…More details in April…

Page 17: A Government Perspective

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16. Go ultra low!

Industry / Government joint communications campaign launched 30 January

www.goultralow.com

Aims: Raise awareness, tackle misconceptions Honest, one-stop gateway

NB. The campaign will have a dedicated “Fleet” strand

Page 18: A Government Perspective

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o 107 members to date

o Please join us!

17. OLEV fleets forum on Linkedin

Aim: to provide a platform for fleets purchasers and fleet users to share and gain knowledge of using ULEVs

http://www.linkedin.com/groups/OLEV-Fleets-Forum-6547857/about

Follow us on twitter: @OLEVgovuk

Page 19: A Government Perspective

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18. Call for evidence

o £500m funding secured for 2015-2020

o Sought evidence from across the industry for how to target the funding

o 134 responses received

o Currently being analysed…

Page 20: A Government Perspective

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19. Support between 2015-2020

o Spring 2014 – Draft package announced

o April 2015 – Final package implemented

Car and van grants

Workplace chargepoints

Research and development

Hydrogen

Natural Gas

Other vehicles

Network upgrade

Local initiatives

Communications

Wireless charging

Page 21: A Government Perspective

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20. Fleets and step change

Are there any other barriers for you, which we are not addressing?

o Where fleets lead, others follow

o Grateful for support and enthusiasm to date and keen to keep working with you!

Page 22: A Government Perspective

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THANK YOU!

Any Questions?

[email protected]