JURADOS DE LAS MESAS DE SUFRAGIO

6.9 Continued efficiency improvements to petrol and diesel engine vehicles will provide the biggest carbon savings in the short term. But it is clear that the UK market for ULEVs will need to continue to grow year-on-year if we are to both secure the wider benefits of the transition and meet our long term Carbon Plan targets.

6.10 The Government is confident

that this will happen – both global and national trends on this are positive. Rising uptake of ULEVs will lead to the technology being ‘normalised’ as people see growing numbers of drivers happily using these vehicles and a greater number of models on the market

(pictured, the BMW i3, on sale in the UK from November 2013).

Consumer incentives

6.11 The need for Government to support the early market will continue over the

near term. As the market develops we expect increasing global sales to drive down costs through economies of scale. While the ULEV market in the UK has grown significantly, doubling in size between 2011 and 2012, it is still nascent. We expect that a material, although declining, cost gap between traditionally fuelled vehicles and ULEVs will remain for some years to come. Until that point, the market is likely to require continuing support to alleviate a portion of the extra cost of ULEVs.

Sour

6.12 Government incentives cannot be maintained indefinitely, however, and we

will need to consider how and when support should end. This decision will need to be taken following engagement with industry. We also need to ensure that the consumer incentives are technology neutral and able to actively support the introduction of new technologies such as hydrogen fuel cell electric vehicles when they begin to enter the market in increasing numbers from 2015.

6.13 Our key consumer incentive commitments are as follows:

a) To provide certainty for investors and consumers the existing plug-in vehicle grants will remain unchanged to May 2015, and consumer incentives will remain in place beyond this date.

b) We will ensure that the guidelines for the Plug-in Grants include

appropriate technology neutral performance criteria so as not to exclude emerging technologies like FCEVs – by May 2014.

c) We will simplify the registration of hydrogen FCEVs when they become commercially available from 2015 by removing the requirement for vehicles using hydrogen fuel to be issued with a Vehicle Special Order.

Incentives for electric powered two wheelers and quadricycles

6.14 Changing patterns of mobility point towards an increasing variation in the

size and type of vehicles used to meet people’s mobility needs. With increased urbanisation, we expect to see a buoyant future for electric powered two wheelers and other small ULEVs.

6.15 Given the relatively low contribution of motorcycles and scooters to road

transport emissions in the UK (only 0.5% in 2011), the case for support in this market is less strong. We will continue to work with the industry, and in particular the eMCI, to monitor progress as the market develops. The Government recognises that the ‘electric powered two wheeler’ sector is working hard to address issues unique to their market, for instance on insurance, sales and distribution and recharging infrastructure.

6.16 We will keep this position under review when considering changes in scope

to current consumer incentives. We are keen to encourage reductions in emissions across all sectors and would welcome input from these important sectors when we launch a call for evidence later in 2013 to inform the development of the next phase of the Plug-in Vehicle Grants.

Incentives for heavy goods vehicles (HGVs)

6.17 Often the greatest barrier to the uptake of new technologies is uncertainty

around the fuel cost savings they will achieve in use. An independent test and accreditation scheme could provide reassurance and an indication of likely percentage fuel savings. We will work with the Low Carbon Vehicle

Partnership61 _{and others to consider how we might facilitate an industry-led}

scheme for the UK.

d) We will review the opportunities available to promote uptake of low

emission HGV technologies by May 2014, in particular considering the use of incentives that could improve the business case for operators.

Enabling informed decision-making by consumers

6.18 There is evidence that persistent misconceptions remain amongst

prospective buyers about ULEVs. These include issues around

performance, daily use, the availability of charging infrastructure and the environmental credentials of ULEVs. A key priority for the Government will be to address these misconceptions head-on and to provide the public with consistent, well-evidenced information.

e) We will work with a consortium of major ULEV manufacturers to explore the case for a national consumer communications campaign. Subject to agreement from all those involved, during 2014 we will launch a platform for providing robust and authoritative consumer information on ULEVs, supported by awareness raising activity.

Supporting uptake in public and private sector fleets

6.19 We will work with industry and wider partners to ensure potential consumers,

including fleets, have easy access to useful, comprehensive and accurate information about ULEVs, to inform purchasing decisions and to support vehicle uptake and use.

6.20 We will also ensure that public sector organisations play a leading role in the

early market for ULEVs, securing for themselves and demonstrating to others the benefits that these vehicles can bring.

f) We will provide funding to the Energy Saving Trust to continue the Plugged-in Fleets Initiative through to March 2014, helping 100 fleets to identify where plug-in vehicles can support their business needs.

g) We will update the Government Buying Standard for Transport by summer 2014 to encourage higher ULEV uptake in the public sector. In addition, we will work to remove unintended administrative barriers to public sector purchase of ULEVs.

h) We will develop a procurement specification for ULEVs by February 2014 as a basis for future mass public sector procurement exercises, bringing down the cost per vehicle of ULEVs for public sector organisations.

61 The Low Carbon Vehicle Partnership (www.lowcvp.org.uk/) is a public-private partnership that exists to accelerate a sustainable shift to lower carbon vehicles and fuels and create opportunities for UK business. Nearly 200 organisations are engaged including automotive and fuel supply chains, vehicle users, academics, environment groups and others.