OZEV plug-in van grant extension welcomed

The government’s extension of the plug-in van grant has been welcomed by the industry – but it has also called for further support to assist in the transition to zero-emission vans.

It comes as the government grant, which offers up to £2,500 for small vans and £5,000 for large vans, has been extended from a limit of 1,000 vehicles per customer to 1,500 with immediate effect. The Office for Zero Emission Vehicles (OZEV) said the move was due to market conditions and it would continue to review the grant.

In response to the announcement, the British Vehicle Rental and Leasing Association (BVRLA) said van fleet operators were struggling to hit the 2030 target – but it welcomed the action on the grant.

Gerry Keaney, BVRLA Chief Executive, said: “Van fleets are struggling to make the zero-emission transition and the 2030 Phase Out target for internal combustion engine vehicles is at serious risk. Fleet-friendly public charging infrastructure is scarce and operators are struggling to find electric vehicles that can match their diesel counterparts when it comes to cost of ownership, payload or range. 

“The Government is listening and today’s Plug-in Van Grant extension will be welcomed by the largest fleet operators. The Grant is a vital tool in bringing more electric LCVs to UK roads, but it is not a silver bullet.

“The Zero Emission Vehicle Mandate that comes into force next year will encourage manufacturers to produce more affordable and capable electric vans. In the meantime, we need to see a huge effort in rolling out a more affordable, reliable and accessible van fleet-friendly charging infrastructure. We need a new Electric Van Plan.

“The BVRLA continues to campaign on this topic and is in regular contact with OZEV and other bodies to share the concerns of van operators and drivers. Our ongoing research projects are quantifying these challenges and giving tangible solutions that we are working to implement.”

Electric van expert and owner of EV Essentials Paul Kirby said: ”This is exciting news. The wider van market has been struggling with electric van adoption and some of the largest companies have been keen to continue their journey of adoption. This extension is very welcome indeed as it will help both with the growth of market share, answering the challenge of the ZEV mandate for manufacturers, and the improvement in regards to air quality as many of the larger companies operate in the cities. It should also give a much needed injection of volume. As good as this announcement is, I still hope for something to spur on the smaller fleet size end of the market which is in desperate need of confidence, information and incentive. Thanks for listening to the market OZEV.”

Image courtesy of Shutterstock

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