ZEV Mandate targets could be relaxed
It has been reported that the UK government will modify ZEV Mandate targets after pressure from vehicle manufacturers.
The government met vehicle manufacturers last week to discuss the electrification of the UK car parc and insisted the 2030 deadline for all sales to be electric would not be moved.
However, Nissan called the sales targets ‘outdated’ and said they threatened future UK investment, while Ford said it was cutting jobs due to falling EV sales.
Meanwhile, Volvo has recently adjusted its all-EV sales target for 2030, allowing for up to 10% of sales to come from plug-in hybrids.
ZEV Mandate
It is now understood the government could adopt a similar strategy by allowing manufacturers to count a certain number of hybrids towards ZEV Mandate targets. Vehicle manufacturers may also be able to buy EV ‘credits’ from other manufacturers, such as Tesla, while rules around exports could also be relaxed.
It is understood that the financial incentives to drive buyer demand are also being considered.
The ZEV Mandate stipulates that 22% of all new car sales in the UK need to be electric this year, with the ratio rising to 28% next year. Manufacturers face fines of £15,000 for every petrol or diesel sale above the quota.
Speaking after last week’s meeting, Mike Hawes, SMMT chief executive, said:
“A strong market and manufacturing base that sustains jobs and drives growth requires workable regulation backed by support for consumers – fiscal incentives and confidence that the charging network will be there when it is needed. We will now work urgently with government to identify any adjustments necessary to help the industry and government meet their targets, instilling confidence in the consumer and other stakeholders, all of whom are part of this transition.”
