Following the recent government announcement, our Head of Business Intelligence of Consultancy Matt Dale, asks "Can you afford not to start the transition from ICE to BEV?" Not only has the date of the ban on sales of new petrol and diesel vehicles been brought forward to 2035 (now only 15 years away!) but it's been confirmed that the ban now includes hybrids and PHEVs. Matt explores the impact that the changes to the ban could have to the future of fleet management below:
[Article below first published 04 February 2020]
"This morning’s announcement from the prime minister, has demonstrated the government’s recognition of the severity of the global emissions crisis. In 15-years, the sale of new petrol and diesel vehicles will be banned, which now includes hybrid and plug-in hybrid vehicles (PHEVs). This shouldn’t be a complete surprise, as a number of other countries have already taken similar action, but now there is clarity regarding hybrid and PHEVs for the future UK car market.
These recent decisions have drawn a line in the sand and given clarity to future car and van buyers across the country. Whilst the conversation surrounding hydrogen fuel cell technology will continue as the technology and infrastructure develops, we are now clear that internal combustion engine vehicles will be out in the cold from 2035!
However, while there will continue to be ongoing challenges regarding the electric vehicle charging infrastructure, the industry - government, vehicle manufacturers, energy companies - as well as us, the user of vehicles, have 15 years to work together to overcome these challenges and drive the adoption of zero emission vehicles.
Whilst much of the conversation will be about cars, careful consideration needs to be given to commercial fleets too. The choice of electric vans currently available is still very limited and none of these yet have a range of more than 200 miles. This means that either vehicle manufacturers need to continue the development of vans with increased ranges or organisations who rely on commercial vehicles to meet their business and customer needs may need to rethink how they operate in the future. Hydrogen could be a possible solution, but then the infrastructure conversation starts again.
The fleet and leasing industry has a pivotal role to play in the transition to zero emissions vehicle transport, and it’s important for the government to keep this in mind and to engage more with the key players in our sector. The traditional company car, once it has served its purpose after 3 or 4 years, will appear on the used car forecourt and will contribute a large proportion of the vehicles available to consumers for years to come. If the plan is to get battery electric vehicles (BEVs) to the masses, the used market has a massive part to play. The government would be wise to support the fleet industry in delivering as many BEVs as possible in the short and medium term, ultimately helping millions of used car buyers also start their journey to zero emission."
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About the contributor
Matt Dale, Head of Business Intelligence and Consultancy
Matt has over 30 years of experience in the motor industry. Crowned 'Unsung Fleet Hero' by the Energy Saving Trust in 2017, Matt uses his extensive knowledge of alternative fuels and financial analysis to support businesses to develop sustainable and cost-effective mobility policies.
Tel: 0772 0342544
Email: matt.dale@aldautomotive.com
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