Van buyers will
be able to receive 20% - up to £8000 - off the cost of a plug-in
van, Transport Minister Norman Baker and Business Minister Mark
Prisk announced today.
This is an extension of the Plug-In Car Grant which offers 25% -
up to £5000 – to motorists buying a new plug-in car. Ministers
have also re-confirmed there is funding secured for this grant
until 2015.
The purpose of the consumer grant is to enable the purchase of
ultra-low carbon vehicles which could otherwise have been
unaffordable. The consumer will also benefit from lower running
costs over the lifetime of the vehicle.
Transport Minister Norman Baker said:
“Electric vehicles are the arrowhead for a low carbon revolution
in motoring and as more models come to market we’ll begin to see
sales gather pace.
“Car buyers have had a year to take advantage of our grant and
now it’s time for van buyers to get their chance to go electric.
This is great news for businesses given the lower running costs of
these vehicles – fleet buyers tell us that this is one of the most
important factor influencing their decision on what to buy.
“It is radical initiatives like these which will allow us to
create a transport system that both cuts carbon and is an engine
for economic growth.”
Business Minister Mark Prisk said:
"Supporting ultra-low carbon technology in vans makes
sense. An upfront purchase grant, when combined with lower running
costs and tax benefits, can make switching to an ultra-low carbon
van an attractive choice for businesses.
“The technology also fits well with a large portion of the van
market that rely on short urban trips to and from base.”
From today ultra-low carbon van manufacturers will be able to
apply to be part of the Plug-In Van Grant - which will help to
improve local air quality in cities, reduce carbon emissions and
meet Government carbon reduction targets.
To be eligible for the scheme, vans will have to meet performance
criteria to ensure safety, range, and ultra-low tailpipe
emissions. Consumers, both business and private will receive the
discount at the point of purchase.
There are currently 10 cars eligible for the Plug-In Car Grant –
5 of which came onto the market in 2011, with the other half
expected to be available to purchase this year. During the first
year of the scheme, over 1000 eligible vehicles were registered
and, up to 31 December 2011, 892 applications were made for the
Plug-In Car Grant.
Notes to Editors
1. Further details about the Plug-in car and van grants,
including the manufacturer application process and the criteria
vans must meet to be part of the grant, can be found here:
http://www.dft.gov.uk/topics/sustainable/olev/plug-in-car-grant/
2. Only vans which meet strict performance criteria for range,
tail-pipe emissions and safety will be eligible for the Plug-In
Van Grant. The application process opens today and van
manufacturers are invited to apply for their vehicles to become
part of the scheme. Applications can be received at any time. The
Department expects to confirm shortly the first vans to join the
scheme, for which applications will need to be received by 31
January. 3. As announced at the Spending Review, the Government
has made provision of over £400m to promote the uptake of
ultra-low emission vehicle technologies. This includes
approximately £80m supporting research and development activities;
£30m for the installation of infrastructure; and, £300m to support
consumer incentives for the life of the Parliament. 4. The
Government committed to monitor the scheme to ensure it remains
the most effective way of delivering consumer incentives ensuring
value for money for the tax payer - the need for and value of the
grant, as well as its scope was examined. In reviewing the Plug-In
Car Grant the Government’s strategy to support the transition from
the early ultra-low emission vehicle market to mass market was
also revisited.
http://www.dft.gov.uk/publications/dft-business-plan-2011-2015 5.
Fleet running costs were identified as the most important factor
influencing fleet management decisions by fleet purchasers by
researchers for ‘Industry review – Quarter Four 2010’,
Fleeteye/The University of Buckingham.
http://www.buckingham.ac.uk/wp-content/uploads/2011/05/pnc-2010-q4-fleeteye-review.pdf
6. A National Chargepoint Register is being established to make it
easier for drivers to locate recharging points and to track the
growth in the national charging network. This will be operational
early this year. 7. The Government’s assessment is that the number
of installed chargepoints in the UK is more than 2500, of which
765 have been delivered (to 14 October 2011) through the
Government’s Plugged-In Places trials and the remainder through
private sector organisations’ investment. The private sector
organisations have commitments to deliver approximately a further
4000 points across the UK by the end of 2012. 8. During 2011, 1052
vehicles eligible for the Plug-In Car Grant were registered in the
UK and 892 applications were made for the Plug-in Car Grant
(Quarter 1; 465; Quarter 2 215; Quarter 3 106; Quarter 4 106).
Manufacturers apply for the grant following the purchase of the
car hence the lag between registrations and grant applications.
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