Government to set out ZEV mandate details “in due course”
The UK Government has announced it will stick to the 2030 ICE phase out, but said further details on the zero-emission vehicle (ZEV) mandate will be released “in due course”.
It follows intense lobbying from motor manufacturers who claimed job losses could result from the legislation. Yesterday, Transport Secretary Louise Haigh and Business Secretary Jonathan Reynolds hosted a roundtable with automotive and charging industry leaders to discuss the electric vehicles and the ZEV mandate, including the SMMT, Tesla, Nissan, Ford, Volkswagen Group, Stellantis, BMW, Toyota, ChargeUK, and BVRLA.
In a statement following the meeting, the government didn’t commit to specific plans on the ZEV mandate, but said it would apply it in a way that “also supports UK economic growth”.
A Government spokesperson said:
“Ministers from across Government have met with automotive sector and industry representatives to discuss the transition to electric vehicles, and how the Government can support continued growth of the sector.
“Recognising the global challenges the industry has been facing, ministers underlined the Government’s commitment to working constructively and in close partnership with the sector as we support the transition to electric vehicles by 2030.
“The UK automotive sector now has the fastest growth of zero emission vehicles of any major European market, and we’re providing more than £2.3 billion to support industry and consumers in making the switch, with 57 new public electric vehicle chargers added on average each day.”
The ZEV mandate is a series of staggered targets for the vehicle manufacturing sector to shift from internal combustion engine vehicles to battery-electric vehicles, commencing this year with a requirement for 22% of all new car sales being zero-emission – as well as 10% of van sales. The figure then rises to 40% by 2027 and rising to 80% by 2030 with all new car sales being BEV by 2035.
If manufacturers do not hit the mandate, they must pay a fine of £15,000 per vehicle that doesn’t hit the target number.
According to the latest new registration figures from the Society of Motor Manufacturers and Traders (SMMT), BEV sales are currently at around 18-20% of new sales, and vans at just half the target at 5%.
In a statement from Nissan, the manufacturer said it had “consistently supported the aims of the UK’s ZEV mandate” but it “risks undermining the business case for manufacturing cars in the UK, and the viability of thousands of jobs and billions of pounds in investment”.
Vicky Read, CEO of ChargeUK said:
“The charging industry is a UK growth story, we are delivering the vital infrastructure necessary for the EV transition at pace and scale.
“ChargeUK members are putting a new charge point in the ground every 25 minutes on average, and they are committed to invest over £6 billion up to 2030 ensuring we stay ahead of demand.
“That progress – building an entire industry practically from scratch over 10 years – was acknowledged by government this afternoon and everyone is agreed that uncertainty is the enemy of the EV transition and threatens investment on all sides.
“We will study the forthcoming consultation closely and continue to make the case to retain what we already have – a strong ZEV mandate that works.”
Dominic Phinn, Head of Transport at Climate Group, said:
“We strongly support the UK Government’s decision to hold the line on the ZEV Mandate against coordinated, last-minute lobbying efforts by a small number of companies. The strong show of corporate support we’re seeing for the legislation – from across sectors and the country – demonstrates just how important leading British companies think the Mandate is to deliver their own electrification targets, decarbonise Britain, and build a greener economy.
“There is absolutely no justification for tinkering with the ground-breaking tool that has put the UK in the fast lane of the global EV transition. Carmakers face a simple choice: scale up EV manufacture now and seize a huge economic opportunity – or be left behind by those who do.”
There had been anticipation before the election that the Labour government would return the sales ban on new petrol and diesel vehicles to 2030, which it has now said it is “committed to reinstating”.
Originally, the ban on new ICE vehicles had been set to be 2030, until it was pushed back to 2035 by previous prime minister Rishi Sunak in September 2023.
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