Automated and Electric Vehicles Bill Debate
Full Debate: Read Full DebateLord Borwick
Main Page: Lord Borwick (Conservative - Excepted Hereditary)Department Debates - View all Lord Borwick's debates with the Department for Transport
(6 years, 3 months ago)
Lords ChamberMy Lords, I was on the Science and Technology Committee and we discussed automated vehicles. After our session, I met some industrialists—people making and selling cars—in the context of automated vehicles. One of the things it was suggested that the Secretary of State might consider—it would come under Clause 1, referred to earlier—is that people purchasing vehicles, particularly those that are partially or wholly automatic, should understand the properties of the vehicle. There were some examples this year or last year when someone had a blackout and the vehicle took over control and moved them. So it seems that already some of these level 3 properties are not well understood by the people buying the cars. For some people, as I understand it, once you have paid by credit card or hire purchase the car arrives at your front door and off you drive. Even Tesla makes you have 95 minutes of training before you buy and use one of its cars. This is an area covered by subsection (1)(b) that the Secretary of State should be considering very strongly.
My Lords, I should first make an unusual declaration of interest: namely, an investment that does not exist at this moment but which will almost certainly be made in the next few days. I will have an equity interest in the Penso group of companies and become its chairman. Penso is a manufacturer of very high-tech carbon fibre parts for the automotive, aerospace and rail industries, and produces the Vito London taxi for Mercedes in Coventry. The investment is likely to complete in the next few days, making the interest declarable as its product is very relevant to the lightweight future of electric cars. I should explain that none of my amendments seeks to confer exclusive benefits on the company and that I am moving them because I believe them all to be in the public interest.
Unfortunately, the grouping of the amendments in today’s debate is slightly unusual and many groups contain amendments that do not naturally fall together. Some of my later amendments overlap with, and propose different ways of achieving the same ends as, the amendments of the noble Baroness, Lady Randerson. I apologise if the Minister has to repeat the same points in different sections.
Although I support the noble Baroness’s Amendment 1, we may yet hear from the Bill team that Amendment 2 is just not the way in which they wish to go with this definition. I must say that I believe that that is a mistake, because, although the Society of Automotive Engineers standards may change and the Government normally like to be in complete control of the definition, the choice here is between a vague definition that could be interpreted in different ways by different lawyers and an international standard developed by the SAE and adopted worldwide. Chinese vehicle producers will adopt the SAE regulations, as will producers all over the world. There seems therefore to be a great deal of merit in sticking to the worldwide standard rather than inventing our own because we believe that our choice of English will be so elegant that we can achieve it.
There are other ways of achieving the definition from those used in the Bill, and I will come to them in my later amendments. However, were the Government to change their mind and support the noble Baroness’s Amendment 2, I would immediately support it as well.
My Lords, I support the first amendment of the noble Baroness, Lady Randerson. It is important that we keep the scope of the Bill as wide as possible. The noble Lord, Lord Borwick, mentioned manufacturing in China. I suspect that by the time many of these cars and technologies have come on to the market, a very large proportion of the equipment will come from China anyway. There has to be some world standard—I am not sure which; we will come to that later—otherwise we will be in dead trouble. I also share the noble Lord’s concern about Amendment 2.
I was interested in the comments from the noble Lord, Lord Lucas, about turning railways into roads. We heard this before, about 30 years ago.
My Lords, I too have some difficulty with this because I drive, I must confess, a Skoda. I am told that a brand new Skoda is built to my specifications when I order it, not before. It is not produced on a line but only when I order it and, therefore, each adaptation is my instruction to the manufacturer. Whether or not that is an adaptation I do not know, but we have to bear it in mind when considering this amendment.
My Lords, while I respect the opinions of the noble Baroness, Lady Randerson, the way that the automotive industry works is through a large number of companies of various sizes, some of which believe they have the only solution that makes a positive change to the industry. They may approach a big car company and try to persuade it that their creation of a level 4 vehicle software is better than that produced by Ford or General Motors. I do not think they will succeed, but they will want to try it out—and that process will involve adapting an existing vehicle. That would be much harder than it is at the present stage if the amendment suggested by the noble Baroness were accepted.
It is a reality of life that the world is filled with brilliant engineers who have their own suggestions. Some of them are nutters and some of them are geniuses, and it is only by trying out their suggestions that you can work out which one is which.
The noble Lord will remember that, when we were considering this issue in the Science and Technology Committee, it was suggested that one of the first uses of a fully automated vehicle would be in agriculture, with it going up and down a field. A story was told of a van suddenly appearing at the back of a field and the farmer going up to two men and asking, “What are you doing here?”. They said, “We are from Germany, and we are here because the big end on your combine harvester is about to go”.
The point is well made. It is an immensely complicated industry and, effectively, prohibiting adaptions would send it backwards.
On the issue of maintenance of these vehicles, there is a host of health and safety regulations which should cover many of the points raised. It is indeed extraordinarily dangerous to start dealing with high-voltage DC cables on the inside if you are not trained to do so. However, because of my interest in electrical vehicles in the past, I have gone through the training, the basic lesson of which is to stay as far away from it as you possibly can. It is extraordinarily dangerous, and I entirely support the training of people as proposed by the noble Lord, Lord Tunnicliffe.
My Lords, if we imagine a future with a lot of autonomous vehicles around, one of the things that such a vehicle needs to do is predict how other autonomous vehicles will react in particular circumstances—that is, if faced with a sudden unexpected obstacle, the priority will be to veer to the left, say. That knowledge can come only on the basis of a shared understanding of the software that each of them has and of the capabilities in terms of awareness of the local picture and the wider picture that are built into the vehicle. To allow those things to be tampered with by back-street garages and amateur electricians seems to me to go against the whole advantage of moving towards autonomy. Therefore I very much support what the noble Lord, Lord Tunnicliffe, is aiming at. I think we need really clear control of the quality of maintenance.
I can see what the noble Baroness, Lady Randerson, is aiming at in removing “or adapted”; we do not allow people to adapt Boeing 747s in a random sort of way. They might do it to trial things and have a bit of their own airspace to wander around in while they are doing it, but we should be really cautious in allowing widespread adaptation. Every adaptation introduces another complication that every other autonomous vehicle would have to be aware of. Adaptation should be confined to test areas and test tracks, and what appears on the public scene should be a well-understood, well-documented vehicle—and not too many different kinds, please.
My Lords, we have here a portmanteau group of about three different subjects which have in common that they are all proposed by me, but that is about it. I will start with Amendments 4, 5, 6 and 7. These address the alternative to using the SAE definitions that the noble Baroness, Lady Randerson, and I think are probably the right solution to the problem.
The first amendment deals with the phrase,
“in at least some circumstances or situations”.
As has been mentioned, the Science and Technology Committee did a very good study on autonomous vehicles, let down, in my mind, only by the fact that we were not allowed to entitle it “Goodbye, Mr Toad”. This was supported by a large number of people because the phrase encapsulates one of the greatest advantages of autonomous vehicles: bypassing bad driving. In the future automated vehicles will drive better than human beings.
The phrase,
“in at least some circumstances or situations”,
will certainly open discussions as to whether some downright unusual vehicles such as agricultural autonomous vehicles will fall under that description. I fear that in the Secretary of State’s opinion, they will not, and somebody will undertake a judicial review as to whether the Secretary of State was right. The net result will be wealthier lawyers rather than a clear definition.
Similarly, the meaning of the word “safely” is very unclear. One man’s “safely” is another man’s “dangerously”. Putting such ambiguous words into legislation opens up the possibility of somebody’s saying, “That autonomous vehicle was involved in an accident; it therefore cannot have been driving safely. If it was not driving safely, it should not have been on the list, and is therefore not covered by the insurance that it was thought to be covered by”. I hesitate to say that putting in the word “safely” is dangerous, but it opens the possibility of a bunch of litigation which is unnecessary because the clause works without it.
I know that the word “safely” is part of the Government’s attempt to differentiate between what we would call level 3 and levels 4 and 5. It comes from the Government’s determination not to use those terms. If the Government were to change their mind on that, the need for subjective words such as “safely” would disappear.
Amendments 31, 32 and 34 deal with the meanings in Clause 7 of “being controlled” and “driving itself”. The Bill states that,
“a vehicle is ‘driving itself’ if it is operating in a mode in which it is not being controlled, and does not need to be monitored, by an individual”.
There is a lot of uncertainty as to what phrases such as “be monitored” mean. Amendment 34 tries to identify that more clearly. On Amendment 32, there is again some uncertainty as to what “an individual” means. Does it mean an individual who is licensed to drive that vehicle? Does it mean an individual who is capable of driving, with a driving licence, or one who is not drunk or fast asleep? There is a lot of uncertainty in these words. The Minister may say that the wording will be sorted out in the detailed regulations, but it could be changed to deal with such problems at the start.
On Amendment 35, “roads” has not been defined in the Bill and could easily be defined to tie up with the Road Traffic Act 1988 so that a creative lawyer does not come up with an alternative definition for their own benefit. I hope that all the amendments are helpful in clarifying the meaning of these phrases. I beg to move.
My Lords, I went through the process of devising amendments with a lean approach to the wording. Once again, the amendments take a more comprehensive approach to the same issue I raised regarding the definitions. I understand the point made earlier by the noble Lord, Lord Borwick, about there being some overlap in the grouping of amendments. That is because this is a highly technical Bill and the aim of the amendments is not always obvious. In this case, the aim is clearly the same as the one I was approaching, and it underlines the point I made when speaking to my first group of amendments: that definitions will be central.
Many years ago, I was a justice of the peace. I sat through many motoring cases at a basic level in the magistrates’ court where clever lawyers spent ages examining the definitions of simple words. There were many cases where people avoided apparently obvious judicial process because of a definition. The Government need to look again at the definitions used in the Bill.
My Lords, I thank my noble friend the Minister for her comments. Clearly, a lot of conversations should take place between now and Report, and they should include a wide variety of Peers who have expressed an interest in the Bill. I look forward to those discussions. In the meantime, I beg leave to withdraw the amendment.
My Lords, I have been surprised by the Bill and the discussions on it because it is fairly unusual to find circumstances where there is the kind of debate that will happen on the next set of amendments about “must” and “may” regarding what the Government can do. Normally the Government suggest that the wording should be that they “may” do something while Back-Benchers push for it to be that they “must” do something. Here we have entirely the reverse of that problem. Similarly, when my noble friend Lord Lucas proposes that the Government should have the right to regulate on safety standards—I have a similar amendment coming much later—normally it is a matter of the Government wanting to have the powers to regulate and the Back-Benchers suggesting that they should not. Here again we have the reverse of that standard, but this is a new industry and perhaps we have new ways of legislating for it.
The points that my noble friend Lord Lucas and the noble Baroness, Lady Worthington, make are entirely right: we need standards. However, I think so many things are happening with this that the power to make regulations should be wider than just in respect of standards. That is why I have tabled Amendment 30, which will be dealt with towards the end of our debate today. I support my noble friend’s amendment as far as it goes. I think my amendment is slightly better than his but we can deal with that problem later.
My Lords, I fully appreciate that we will see fast-moving technological developments in this area in future. With that in mind, I understand the intent behind noble Lords’ amendments on safety criteria and standards. It is going to be critical to ensure that automated vehicles are safe for effective deployment on UK roads. As the noble and gallant Lord, Lord Craig, rightly points out, their safety will also need to be maintained throughout the vehicle’s lifespan, as is the case for conventional vehicles today.
There is a long-established process in place for setting vehicle standards, which we have touched on before. The UNECE’s World Forum for Harmonization of Vehicle Regulations is tasked with creating a uniform system of regulations for vehicle design in order to deliver high levels of vehicle safety and environmental protection and facilitate international trade. These UN regulations, of which there are over 140 in number, contain the provisions for vehicles, their systems, their parts, their equipment related to safety and environmental aspects. So they provide the legal framework, allowing member countries such as the UK to establish harmonised international-level UNECE regulatory instruments concerning motor vehicles and motor vehicle equipment. They include performance-oriented test requirements as well as the administrative procedures. The latter address the type approval of vehicle systems, parts and equipment, the conformity of production and the mutual recognition of the type approvals granted by member countries.
The standards by which automated vehicles will be approved safe for sale and use are still being discussed internationally at this UNECE working group, where the UK plays a leading role. We expect them to follow the way in which conventional vehicles have been judged safe to use. I will certainly look carefully at the words of the noble Lord, Lord Tunnicliffe, to help inform our approach in those negotiations. We work with bodies such as the International Organization of Motor Vehicle Manufacturers, which participates in these discussions in a consultative capacity. We think that this is likely to form the basis of the type approval process which automated vehicles, like conventional vehicles today, must pass to be sold for safe use on UK roads.
Based on international standards and our evolving domestic regulatory programme, we expect it to be very clear which vehicles, including their software, can safely operate. The vehicles approved as safe by type approval will then go on to the list, so that our domestic insurance framework is clear which vehicles need which insurance products. The Clause 1 list of automated vehicles will not be the mechanism by which automated vehicles are regulated in relation to safety and security. That will be governed by future laws and technical standards, which we expect to be developed with the appropriate level of scrutiny and consultation, just as current road traffic laws and vehicle standards are developed.
On the important point raised by the noble Lord, Lord Tunnicliffe, about consultation, these changes to domestic legislation, including road traffic laws and vehicle requirements, will generally undergo public consultation and have impact assessments carried out. They are subject to parliamentary scrutiny when amending legislation is laid in the House. Throughout the development of our policy in this area, we have consulted closely with industry. Given the understandable interest in this new area, we fully expect there to be full consultation when we see the regulations appear for automated vehicles. So I agree with the intention of the noble Lord, Lord Tunnicliffe, to consult on the standards that will be set for automated vehicles. That is something that we plan to do, but I am again afraid that I cannot agree that this Bill, which relates to insurance provision only, is the right place for it.
I fully expect that future regulations for automated vehicles will cover many of the points in Amendment 10, including environmental issues, but we think that legislating in any way further, in the absence of the more detailed knowledge of the ultimate international design standards, risks us regulating ineffectively, potentially creating barriers to the use of this technology in the UK and therefore impeding innovation.
As the new technologies reach the point of market readiness, we will be able to set and define the standards, both internationally at a UNECE level and, depending on the outcome of the international discussions, domestically as part of our ongoing regulatory programme. As I have said, we fully expect this to be subject to full consultation.
My Lords, as I mentioned a moment ago, in tabling these amendments, I felt that the legislation imposes an unnecessary and potentially damaging duty on the Secretary of State that he or she “must” produce a list. Governments hate being told that they must do something. It is normally a case of taxpayers “must” do something, but rarely Governments.
It seems ironic that Back-Benchers are offering amendments to say the Government “may” do something, but the Government themselves are insisting that they must. What if, through some administrative or IT failure, the Secretary of State did not produce a new list every time there was a single addition? I am assured by the Bill team that the mechanics of this list are such that there will be automatic updates with subsequent publication, and that the DVLA will act on behalf of the Secretary of State to ensure that it is not the imposition I suggest it might be. However, I still believe it important to note that, if lists are produced, they should include the vehicle registration. This is why I propose a detailed new clause in Amendment 12.
My Lords, I am sorry to disappoint my noble friend on further regulatory powers in the Bill. As I said, I would be interested to hear views from noble Lords from across the House on further regulatory powers later but, at this stage, we are just not ready to make further regulation. That is why we have not asked for the powers.
The purpose of the list in Clause 1 is to allow manufacturers, owners of vehicles and insurers to know if the extension of the compulsory motor insurance in this legislation applies to their vehicle. The aim is to provide certainty to the automotive and insurance industries, as well as clarity to the public. As I have said, the list itself is not a mechanism to approve which vehicles are safe to use. This will be determined by future regulation, most likely based on international standards. The list in Clause 1 is simply to inform the insurance industry which vehicles require automated vehicle insurance.
My noble friend Lord Borwick’s Amendment 9, which replaces “must” with “may”, would imply that preparing, updating or publishing this list might be at the Secretary of State’s discretion. We believe it is right that the Bill imposes a duty on the Secretary of State, who “must” ensure that the list, comprising any vehicle that may lawfully be used when driving itself on roads or other public places in Great Britain, is published and kept up to date. If the list is not updated, people may obtain the wrong type of insurance, leading to difficulties for victims in securing compensation quickly and easily. As I said, this aims to provide certainty.
In order for the Bill to deliver the insurance framework that it is intended to—this is after consultation with the insurance industry—it is important to maintain the list as a duty on the Secretary of State. Perhaps this is something we can discuss further before Report.
Amendment 12 concerns the duty of a manufacturer to notify the Secretary of State. I understand my noble friend’s intention but, at this stage, it is not appropriate to legislate in this regard. There are already existing processes in place when registering a vehicle or notifying changes regarding a status of the vehicle, and we are working with the DVLA on how to replicate these processes for automated vehicles. We have yet to complete that work, so we do not feel it is the right time to legislate in this regard. I hope that, given this explanation, my noble friend is able to withdraw his amendment.
My Lords, we have reached halfway through the list before us today. This is a discussion about the difference between accidents and damage. I feel that, sometimes, the legislation as drafted moves fluently between the words “accident” and “damage”. I fear that that is open to misinterpretation, as an opportunity, by lawyers in the future.
It is critical that “caused” be defined in this Bill. A lack of a test of cause of an accident or damage to a person or vehicle will lead to years on end of appeals in cases. The Bill therefore has the opportunity to provide for a measure against a reasonable standard. The focus should be on what or who caused the damage, rather than the accident causing the damage. By doing this, the Bill could be a world leader in clarifying such a test, as has never been done before. We must accept that the public are nervous about this new technology, and the Bill should clarify what happens before, during and after an accident. It will clearly demonstrate that we have the citizen at the forefront of our minds.
The problem of leaving “caused” undefined is that, in so many processes, the Ministry of Justice is trying to reduce the amount of litigation. As has been mentioned by the noble Baroness, Lady Randerson, the magistrates’ courts are filled with motoring cases of liability for damage caused by somebody’s unreasonable behaviour. If we are careful with the drafting, we could help reduce that litigation in future. Therefore, I beg to move these amendments.
My Lords, I wish to speak to my Amendment 17. I am grateful for the support of the noble Lord, Lord Borwick, on this. The key issue is what sort of standards we can expect from automated vehicles. We are told, as has already been said, to expect far higher standards and few accidents. The estimate is an 80% reduction in the number of road traffic accidents once automated vehicles are fully established. After all, we know as humans that even very good drivers sometimes have a bad day, and we are not all very good drivers, but automated vehicles should always be on the ball. However, undoubtedly there will still be accidents, especially during the lengthy transition period, when some cars have drivers and others do not. There are even worrying tales of some pedestrians, in areas where automated vehicles are being trialled, playing chicken by testing how close you can get to the cars by stepping out in front of them, to see how quickly they will stop.
Legal advice we have received indicates that under the Bill as drafted, the insurer would be liable when an accident happens, even if damage is not caused or the damage caused is not the fault of the automated vehicle. My Amendment 17 would lower the standard by which the automated vehicle is judged to that of a reasonable driver. This, of course, removes the double standard the Bill would create—that an automatic vehicle is always safer than a manually driven car. It would therefore lower the burden on insurers.
I am not entirely sure about the term “reasonable” driver; I wondered whether “competent” might be a better word, but I was assured that “reasonable” is an accepted legal term and would be understood. I have tabled this simply as a probing amendment because we need clarity from the Government. After all, millions of insurance policies will rely on this Bill and the structure it creates. The Government have written the Bill expressly to prepare the insurance market for AVs, so it is vital that we have clarity on how the Government view the system they plan to create.
The amendments proposed by the noble Lord, Lord Borwick, in this group, replace “accident” with “damage”. This is an issue of technical legal terms, on which I would welcome clarification as well. I am very pleased to see that he has tabled his amendments.
I should perhaps earlier have declared my interest as chairman of the advisory board for the Gateway autonomous vehicle in Greenwich project, which has done a lot of work on the subject that the noble Baroness, Lady Randerson, mentioned—the habit of pedestrians testing autonomous vehicles. They found that in time, that habit reduces, not because the relevant pedestrians are squashed by the autonomous vehicle but because they get bored with the test. They might try it once, as a teenager, but they do not bother to try it again: it is a boring process. Boring a teenager is not something we should use as the basis of a safety standard, but it is a powerful factor in this matter. I very much support the amendments in the names of the noble Baroness, Lady Randerson, and myself.
My Lords, my noble friend’s Amendments 13, 14, 15, 16, 18 and 24 seek to clarify the definitions of “damage” and “accident”, terms which are already in common use in road traffic legislation and case law. It may help if I set out how we have intended the provisions in this Bill to work. They are intended to mirror the existing conventional vehicle compulsory third-party insurance framework, found in the Road Traffic Act 1988, for automated vehicles. However, the Bill’s read-across with the Road Traffic Act has to be adjusted at times to allow for the lack of a driver when an automated vehicle operates in automated mode, which means that the Bill makes use of the word “accident” as a way of introducing the word “damage”, which in turn is defined in the Bill in a way that mirrors the meaning of “damage” in the Road Traffic Act 1988. Again, as I said, the aim of the Bill is to provide consistency with conventional vehicles in the 1988 Act.
“Damage” is defined within Clause 2 as,
“death or personal injury, and any damage to property other than … the automated vehicle … goods carried for hire or reward in or on that vehicle or in or on any trailer (whether or not coupled) drawn by it, or … property in the custody, or under the control, of … the insured person … or … the person in charge of the automated vehicle at the time of the accident”.
As I highlighted earlier, the policy intent of the Bill is that it mirror existing processes as closely as possible without making complex legislative changes to the existing framework. I appreciate the challenge from my noble friend in testing the Bill’s wording, but we believe that the task of mirroring the existing processes in the 1988 Act is best done by the wording as it currently stands.
My Lords, Amendment 19 addresses the problem at the back-end of subsection (2), where it says,
“allowing the vehicle to begin driving itself when it was not appropriate to do so”.
The problem may be that it might have been right for the vehicle to start off on a nice sunny day in London, and it then drives to Scotland, where it is snowing, and it is no longer appropriate. However, it was appropriate at the start of the journey, and it would certainly be right for the driver to allow the vehicle to begin driving itself at that time—but not right for him to allow it to continue to drive. That would be a simple change in the wording, which I have put in Amendment 19.
In Amendment 20, I address the question of what “not appropriate” means, when we could use the phrase “avoidable and unreasonable”, which I think is much more in keeping with legal custom than the word “appropriate”, because it can be argued as to what it means. Those are my two amendments in this group, and I leave to the noble Lord, Lord Tunnicliffe, Amendment 21. I beg to move.
My Lords, I will speak to my Amendment 21 in this group. The Bill as currently drafted means that the insurer or owner of an automated vehicle is not liable where the event was caused by a person allowing the vehicle to drive itself where it was not appropriate to do so. However, it does not define when it is or is not appropriate to do so. This amendment requires the Government to provide regulatory guidance for when it is and is not appropriate for a person to allow an automated vehicle to drive itself.
It would clearly not be appropriate in some circumstances for vehicles to drive themselves: for example, early automated vehicles might be deemed safe to use only on motorways and not on some urban roads. Another example would be that a software issue might arise so that using the automated function at that point would be inappropriate. Clause 3(2) is not clear enough in its intentions. Does it even apply to fully automated vehicles or bimodal vehicles? We need more clarity on this.
One of the primary purposes of Part 1 is to provide a framework to give insurers, manufacturers and potential users greater clarity, providing confidence and encouraging progress on automated vehicles. However, it is still not clear from the Bill what the Government have in mind about when their use would be appropriate. We are asking for regulations to be brought forward to better define those circumstances, because we cannot afford to have confusion here. People must be clear about where their obligations lie. If we are to see the growth in the industry we all wish for, we do not want to leave this issue hanging over it.
I understand that the Law Commission work on the issue that we are debating now is a three-year programme. I am not sighted on the level crossing review, but either I shall write to the noble Lord or, perhaps later on, during one of our debates, we can update the exact timescale of the Law Commission review of the existing legal framework for automated vehicles. Obviously, automated control is not in operation.
I thank my noble friend the Minister for his comments. I think it would be useful between this stage and Report to talk more about the nature of “continue”. There will still be a duty, either on the vehicle to monitor itself, or on the passenger to monitor it; that person will be aware of conditions changing, and there will undoubtedly be differences as a result of a snowstorm occurring. I think the drafting could use some improvement—I am not sure mine is exactly the right phrasing—but I look forward to discussing it with my noble friend. In the meantime, I beg leave to withdraw the amendment.