Car makers could face £730m in fines for missing UK’s zero-emission targets
Car manufacturers could face up to £730m in fines if they don’t increase their sales of electric cars by 2024, according to new analysis from green consultancy New AutoMotive.
The UK’s Zero Emissions Vehicle Mandate (ZEV) forces car manufacturers to make 22 per cent of their total UK car sales electric in 2024, and 100 per cent in 2035.
Under the scheme, car makers are fined if they miss their targets.
New AutoMotive’s research found that the 32 manufacturers who are currently eligible for inclusion in the ZEV Mandate would fall short of meeting 2024 targets, based on current sales, and face a collective charge of up to £730m.
Both Ford and Toyota look set to take a hit from the mandate without a significant boost in performance, while Tesla soared ahead of competition and will likely benefit from the policy.
Ben Nelmes, Chief Executive Officer at New AutoMotive, said: “The future of the UK’s car market is unequivocally electric, and we expect electric cars to fuel the market’s growth in the coming years.”
“The UK government’s plans for a ZEV Mandate will be critical to securing this future growth.”
Ciara Cook, research and policy officer at New AutoMotive, said “the government needs to ensure that the multiple flexibilities in the scheme does not mean that manufacturers can simply continue with business as usual and not properly funnel their supply chain away from diesels, and towards electric.”
Ford declined to comment, while Toyota did not respond to a request for comment.
Source: https://www.cityam.com/car-makers-could-face-730m-in-fines-for-missing-uks-zero-emission-targets/
