Electric Vehicles and Bicycles Debate

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Department: Department for Transport
Wednesday 9th May 2018

(6 years, 7 months ago)

Westminster Hall
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Steve McCabe Portrait Steve McCabe (in the Chair)
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We shall look into that. Thank you.

Andrew Selous Portrait Andrew Selous (South West Bedfordshire) (Con)
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I beg to move,

That this House has considered take-up of electric vehicles and bicycles.

I am extremely grateful to Members across the House for their support for what I believe to be a very important debate. This is the third time that I have secured a debate in this Chamber on the take-up of electric vehicles. It is such an important issue for many reasons: electric vehicles will help us to reach our carbon commitments; they are the answer to low-cost, pollution-free motoring for our constituents; and, perhaps above all, it is essential for the United Kingdom to grasp global leadership of this key industry of the future, so that a new and up-and-coming industry’s jobs and investment will be here in the United Kingdom.

In the case of conventional vehicles, the UK is passing £5 billion from sales of conventional vehicles on to foreign economies. Partly because of how supply chains work, a country such as Germany has a significant advantage.

Julian Knight Portrait Julian Knight (Solihull) (Con)
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Picking up on the point about those conventional vehicles, although I share my hon. Friend’s enthusiasm for electric vehicles and know the importance of reaching the 2040 target, we need to bear in mind the 170,000 jobs in car making in this country. In the medium term, clean diesel—which is less polluting than petrol—should be part of the strategy as we go forward.

Andrew Selous Portrait Andrew Selous
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If we get this strategy right, there will be more than enough jobs for everyone. I am absolutely with my hon. Friend in wanting enough good-quality jobs.

In 2016 a fifth of all electric vehicles sold in Europe were produced at the Nissan plant in Sunderland. Looking forward, the United Kingdom has a genuine opportunity to capture a significant part of the global market by 2030, which could be worth an estimated £95 billion to the UK economy—lots of jobs for lots of car workers by 2030.

Jim Cunningham Portrait Mr Jim Cunningham (Coventry South) (Lab)
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This is a timely debate, and I am sure that the hon. Gentleman is aware of the electric vehicles made in my constituency, such as those made by Jaguar Land Rover. On the outskirts of the Rugby constituency, we have the black cab makers, which have made some tremendous advances. The hon. Member for Solihull (Julian Knight) mentioned that we need a transitional period for diesel engines and, unless we get a proper transitional period during which to make the transfer from diesel to petrol or whatever clean fuel, there will be a lot of concern in our area about jobs.

Andrew Selous Portrait Andrew Selous
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I understand the concerns. However, if Members for constituencies that make conventional vehicles will bear with me, by the end of my remarks they will be optimistic about there being more than enough jobs for everyone.

Bringing forward the electric vehicles target to 2030 from 2040 would enable the United Kingdom to reduce our oil imports by almost 50% by 2035, saving £6.3 billion annually. Paris banned fossil-fuelled vehicles from the city centre and air pollution fell by 40%. Second-hand conventional diesel cars are losing a lot of their value, but it is possible to upgrade the batteries on electric vehicles. The key point for a lot of our constituents is that electric vehicles should be cost-competitive with petrol and diesel cars by 2022. At the moment, their running costs are already lower, but up-front cost parity is expected to come as early as 2022. That will be a huge tipping point for our economy.

Greg Knight Portrait Sir Greg Knight
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I believe we should always embrace new technology while cherishing the past. Does my hon. Friend accept that, for people like me who have a journey of more than 220 miles to undertake, for the moment at least, an electric vehicle is not an option?

Andrew Selous Portrait Andrew Selous
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With some of the new chargers, an electric vehicle range of 300 miles is entirely possible. At the moment, I agree with my right hon. Friend, but if we play this right it will not be long before he will be able to motor up to East Yorkshire in comfort in an electric vehicle.

Nissan claims that by 2030, widespread adoption of a vehicle-to-grid service could save consumers up to £2.4 billion in reduced electricity costs. I am impressed by some of what the Government have done so far, but the 2040 target is too far out. We need to be bolder. The target for Scotland is 2032; for China, it is 2030; for Germany, it is 2030; for India, it is 2030; for Austria, it is 2030; for the Netherlands, it is 2025; and for Norway, it is 2025. I want the United Kingdom to be a world leader. The Government need to signal their intent to be at the front of the pack and not a best of the rest person coming up the rear.

Julian Knight Portrait Julian Knight
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Bringing forward the 2040 target will destroy the new car market, because no one will spend £50,000 on a Land Rover if they think it will be worth peanuts in five or eight years’ time. That is simple economics. I caution my hon. Friend that it is great to have the ambition, but setting an arbitrary date before 2040 would be a grave mistake.

Andrew Selous Portrait Andrew Selous
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I have to very respectfully disagree with my hon. Friend. I bow to no one in my defence of high-quality British jobs. I absolutely accept the anxiety, but we can sustain those conventional jobs. Very soon, there will be so much pent-up demand for electric vehicles that the car workers in his constituency, and that of the hon. Member for Coventry South (Mr Cunningham), will not be able to keep up with the demand for these new energy vehicles—as they are called in China—from our constituents when we reach that 2022 tipping point. It is the obvious thing for our constituents to do.

The transport sector is now the largest source of carbon dioxide in the country. Emissions in the transport sector went up in 2017. If we bring forward the 2040 date, that would address a large part of the gap to which the Committee on Climate Change has drawn our attention.

We need to make huge progress in the fleet sector, and we can do that now. There are about 25,000 central Government fleet vehicles in the UK. The Government say a quarter of those should be electric by 2022—that is a much less ambitious target than India and China have announced for their fleets. Let us go for a 100% Government electric vehicle fleet by 2022, including those run by local councils. We have a long way to go; only two of the Ministry of Justice’s 1,482 vehicles are electric. Let me praise Dundee City Council, which has 83 electric vehicles—the most of any UK local authority. It has also brought in a charging hub for the public and taxis, with four 50 kW and three 32 kW chargers. Well done, Dundee.

There is the serious issue of company car tax. There is a lunatic progression: at the moment, the rate of company car tax for zero-emission vehicles is 9%, which is due to rise to 16% before going down to 2%. Let us get it down to 2%; let us signal our intention, not make it worse for the area that we are trying to encourage.

We should be ambitious on sales targets. Let us go for 15% by 2022, 45% by 2025 and 85% by 2030 and get on with electric charging infrastructure.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
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My hon. Friend is making a very good point. We have the objective for 2040—I agree that it is not very ambitious compared with other targets that we could have set—but we do not have any adequate milestones to get us there. My hon. Friend has laid that out, and that is exactly what the Government need to do.

Andrew Selous Portrait Andrew Selous
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I have great confidence in the Minister. I think he gets it, and I am genuinely trying to be helpful to make sure that Britain is a world leader in this important industry of the future.

I said that this is the third debate on electric vehicles, but we are making history today, because I am informed that this is the first House of Commons debate on electric bicycles. Hon. Members who have read their Order Paper carefully will have seen that the debate is also about the take-up of electric bicycles. Most people probably do not know anything about them. Six weeks ago, I knew nothing about them, until I was asked to chair a meeting of the all-party parliamentary cycling group—I am delighted to see my co-chair, the hon. Member for Brentford and Isleworth (Ruth Cadbury) in the debate. I found out about them and I was lent an electric bike for 10 days or so by the Green Commute Initiative, for which I was very grateful.

In my constituency, I live on a hill. I cycle with a conventional bike in London, but at the grand old age of 56, I found that extra boost helped me to get to and from my constituency office on a daily basis, and on one day twice. With my electric bike, I took more exercise that week than I have probably taken all year. That is the thing about electric bikes: they open up cycling to older people, and people who are anxious about ability or fitness, people wanting to arrive somewhere sweat- free when there are no workplace shower facilities. They can deal with carrying luggage and shopping; even commercial cargo is easy on an e-bike.

Tracy Brabin Portrait Tracy Brabin (Batley and Spen) (Lab/Co-op)
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I am deeply excited about electric bikes. Being a cyclist from Muswell Hill, which has a perpendicular hill, I would benefit from an electric bike. In my constituency, there is very little uptake of cycling compared with in the wider Yorkshire and the Humber region. The electric bike will encourage people with disabilities, people who want to go further and not get changed and people for whom it may not be in their culture to ride a bicycle. It is a fantastic and exciting step forward. I celebrate the electric bicycle.

Andrew Selous Portrait Andrew Selous
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I agree with every word that the hon. Lady said. Journeys by e-bike are longer, with an average of 5.9 miles compared with 3.9 miles. Importantly, 18% of disabled cyclists own a bike with electric assistance. It is fantastic to get more disabled people cycling, too.

Let us think of all the deliveries from internet shopping; 51% of all urban motorised trips related to carrying goods have the potential to transfer to cargo bikes. I think that Sainsbury’s has six e-bikes, which I believe the Minister may have seen recently. There is a huge opportunity, although I learnt yesterday that the legislation on cargo e-bikes is confusing. We can do more.

How is the United Kingdom doing with e-bikes compared with everyone else? In 2017, we had 63,000 sales, but Spain sold 66,000, Switzerland sold 87,000, Austria sold 120,000, Italy sold 155,000, Belgium sold 245,000, France sold 255,000, the Netherlands sold 294,000 and Germany sold a whopping 720,000 in 2017. That is more than 11 times the number in the United Kingdom, so we have a little catching up to do.

What can my good friend the Minister do to help? I checked the Office for Low Emission Vehicles’ definition of “vehicle”, and I think it could include a bicycle. Let us be a little less siloed. Electric bikes have huge potential to change the way we travel for the better. They reduce congestion and pollution, and get people fitter. Let us see them in that sense and give them the recognition they deserve. Let us also recognise that the cycle to work scheme, although it is excellent, does not reach older cyclists, people who are not in work or other people who would benefit hugely from electric bikes. As with all cycling, we need to ensure that our roads are in good condition—dangerous potholes are a big disincentive to cycling whether someone uses an electric bike or an ordinary bike.

Germany offers a subsidy of up to €2,500 for the purchase of an e-bike. In France, a modest €200 subsidy for a 12-month period led to a 31% increase in sales. There is huge potential in this area, and I say to the Minister: let us be at the forefront of the electric bike industry as well as the electric vehicle industry.

None Portrait Several hon. Members rose—
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Andrew Selous Portrait Andrew Selous
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I will give you one of those minutes.

Jesse Norman Portrait Jesse Norman
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I do not have to, but I have been ceded one of those minutes. I am very grateful to my hon. Friend. That will allow me to cover at least a tiny fraction of the many points that enthusiastic colleagues have raised.

I congratulate my hon. Friend on convening this third debate. I doubly congratulate him on adding the vital topic of e-bikes to his original subject. That he has managed to add e-bikes to the subject for the third debate is proof that Parliament can evolve in its thinking. As I said, I congratulate him.

We have had mention of Dutch tulip fields and men in Lycra and a lot of references to sweat. That is a little unsettling, but I will try to make progress either way. I have been very impressed by the lobbying energy, if nothing else, of the e-bike industry in relation to so many of my colleagues, who have the feel of latter-day converts to a new religion. As a man who has been riding a bike for 45 years and riding an e-bike for some years, I am delighted that colleagues have come to the table and I congratulate them. Of course, I invite them to submit any of these new-found revelations and the evidence for them to the cycling and walking safety review, which addresses precisely these issues, including air quality and health effects, in a very holistic way.

The Government want to position the UK as the best place on the planet to develop, manufacture and use zero-emission vehicles. I think that that is perfectly clear from what we have said. It will clean up our air—

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Andrew Selous Portrait Andrew Selous
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It just remains for me to thank hon. Members from across the House—from four different parties—for coming to contribute to the debate. I hope that the Minister has seen the enthusiasm. We are generally willing the Government to make a success of both electric vehicle and electric bike take-up. We will carry on scrutinising this issue in the months and years to come and we look forward to further success and progress.

Question put and agreed to.

Resolved,

That this House has considered take-up of electric vehicles and bicycles.