Electric and Hybrid Electric Cars

Debate between Barry Gardiner and Andrew Jones

Wednesday 6th July 2016 Westminster Hall

[Andrew Jones]

I am under extreme time pressure. If I have any time, I will come right back to my right hon. Friend.

The UK is not alone in addressing the environmental impacts of road transport. Action is taking place on a global basis to compel manufacturers to bring forward an increasing choice of cleaner and more efficient vehicles, to meet growing consumer demand and expectations. Our automotive sector has a great history of innovation, and we are seeing some of that now. With the help of a strong domestic market, we are in a great position to benefit from global demand for electric vehicles as the transition takes hold in the coming years.

A number of Members have mentioned the referendum. Let me be clear that our determination on electric vehicles and standards is not in any way changed by the result of the recent referendum. The drivers of transition to zero emissions are global in nature and will continue to apply regardless of our place in Europe.

The benefits of electric vehicles include securing the manufacturing of the future and health benefits. Let me run through the actions that we are taking. In our manifesto, we committed to the goal that by 2050 nearly every car and van on our roads should be a zero-emission vehicle. That will require all new cars and vans on sale to be zero-emission by around 2040. We have in place one of the most comprehensive support packages anywhere in the world, with committed funding of more than £600 million in this spending review period. Progress to date puts us in a very encouraging position. Vehicles that used to be exotic are now considered commonplace on our streets. In total, about 28,000 ultra-low emission vehicles were sold in the UK last year, which is more than in all the years since 2010 combined. We have had more than 70,000 claims for our plug-in car and van grants. I am particularly pleased that many of those vehicles are manufactured by Nissan at its Sunderland plant, which last year produced 20% of all electric cars sold in the EU.

A number of colleagues have spoken about the importance of charge points. There is an ever-expanding network of charge points for electric vehicle drivers. We have more than 11,000 public charge points, including 850 rapid charge points—the largest network in Europe.

I note the comparisons with Norway. Norway’s record is very impressive, and we work with the Norwegians and other leading markets. Our £40 million city scheme will introduce some of the measures that have been mentioned, such as bus lane access, free parking and rapid charging hubs. It is also worth noting that Norway has very high levels of vehicle taxation, which I am not generally in favour of. Many colleagues have spoken about that today.

There are 60,000 domestic charge points, which offer the cheapest and easiest way to charge up. Latest statistics suggest the average distance to the nearest charge point is just over 4 miles in Great Britain. I want to increase that density and reduce the distance even further.

One of the most important measures in support of electric vehicles is the plug-in car grant scheme, which provides a direct discount to consumers on the cost of an eligible plug-in car or van.

[Barry Gardiner]

On that point, will the Minister give way?

[Andrew Jones]

No, I am running short of time.

The grant currently stands at £8,000 for vans, £4,500 for pure electric vehicles and £2,500 for plug-in hybrids. We are spending at least £400 million on the scheme in the current spending review period, and with further incentives through the tax system, there are clear financial benefits to assist consumers with the up-front costs of electric vehicles.

The initial provision of charging and hydrogen refuelling infrastructure for electric vehicles, which many Members have spoken about today, is also something with which the Government must assist. Continued growth is possible only if the public have confidence in the infrastructure network. As my hon. Friend the Member for Wells (James Heappey) and the hon. Member for Strangford (Jim Shannon) asked, what comes first, the car or the charge point? It is neither—we have to do both. That is the Government policy: doing both in parallel, to address the consumer concern. Drivers expect reliable, affordable, available and easy-to-use infrastructure.

The good network that we have in place has already been supported with more than £30 million of investment in public charge points since 2011. The electric vehicle homecharge scheme offers drivers £500 towards the cost of a private home charge point. There are public charge points in Parliament and two charge points in Downing Street. The ministerial fleet was mentioned. There are four UK-built Nissan Leafs in that fleet and many more across the public sector, and an initiative is in place to increase that number.

Highways England has a £15 million budget to ensure that there is a charge point every 20 miles across 95% of the strategic road network, which should be a rapid charge point if possible. As vehicles’ ranges increase and infrastructure provision grows, it will be increasingly easy to travel the length and breadth of the UK in an electric vehicle.

Hydrogen vehicles have been mentioned. It was interesting to see the Riversimple vehicle, brought to Parliament in partnership with my hon. Friend the Member for Brecon and Radnorshire (Chris Davies). I had previously met representatives of the business at the London motor show. We are technology-neutral and I see hydrogen fuel cell electric vehicles playing an important role in decarbonising road transport. Because we are technology neutral, I prefer to talk about ultra-low emission or zero-emission vehicles rather than electric vehicles. The Government are providing £5 million to help develop 12 hydrogen refuelling stations to support the roll-out of fuel cell vehicles. All 12 stations are being commissioned this year and will provide a significant step in the refuelling network.

Working with eight leading car manufacturers, our “Go Ultra Low” communications campaign has started to address the attractiveness of these vehicles. Nobody has mentioned that they are quite fun to drive. The driver puts their foot down and there is power; there is no delay. That is a key part of the attractiveness message.

Our agenda is about tackling the infrastructure, providing incentives to purchase and communicating the benefits. Colleagues have raised many questions, including about duty. Mercifully, that is a question for the Treasury, but I will highlight Members’ concerns. These issues are being discussed at cross-departmental groups, particularly with the Department of Energy and Climate Change, because it is clearly understood that we only really see the benefits of moving to electric vehicles if we have sustainable power generation.

There are benefits that can be brought by different parts of local and national Government, including the “Go Ultra Low” city schemes—I am visiting Milton Keynes tomorrow. It is not a question of local government or national Government. It is a question of partnership, and using all our available levers to deliver these fantastic products.

I hope I am as enthusiastic about this agenda as colleagues have been throughout this debate, which has been great to see. This is an important part of our transport mix. We can see what the future looks like: it is connected and autonomous vehicles powered by electric motors. We can see the benefits to the public in air quality, cost and congestion. I want those benefits to come to people in this country as quickly as possible, which is why we have an attractive and powerful set of initiatives to deliver that.

Question put and agreed to.

Resolved,

That this House has considered electric and hybrid electric cars.