The technical consultation on the policy design of a zero emission vehicle mandate ran from 7 April to 10 June 2022, according to the government response published later1. It sought views on how provisions in a ZEV mandate could function and on how CO2 emissions from new non-ZEVs should be regulated1. The government response to the consultation was updated on 30 March 20231.
The consultation received 76 responses in total, three from private individuals and the remainder from organisations including vehicle manufacturers, trade associations, chargepoint and infrastructure operators, energy providers and distributors, pro-electric vehicle organisations, fleet operators, engine and drivetrain manufacturers, non-governmental organisations, transport operators, insurance companies and delivery companies1. During the consultation, Department for Transport and Department for Business, Energy and Industrial Strategy officials held six stakeholder workshops for vehicle manufacturers, energy and charge point operators and environmental non-governmental organisations, alongside bilateral meetings capturing the views of over 90 per cent of the new car market and 97 per cent of the new van market1.
The government confirmed that from 1 January 2024, ZEV targets will require an increasing percentage of a manufacturer's annual new car and van sales in the UK to be zero emission until reaching 100 per cent in 20351. This sits alongside the commitment to end the sale of all new petrol and diesel cars and vans by 2030, and for all new cars and vans to be zero emission at the tailpipe by 20351. The mandate will be implemented as a trading scheme under the Climate Change Act 20081.
On the design features, the government said the car uptake trajectory set out in the technical consultation was confirmed, while the final proposed trajectory for new vans is higher than that proposed in the technical consultation and the Net Zero Strategy and Transport Decarbonisation Plan1. Banking of ZEV allowances will be allowed, subject to limits and restrictions, and borrowing will be allowed between 2024 and 2026, subject to caps and with interest payable on the deficit1. Manufacturers selling less than 2,500 cars or vans per annum, described as small volume manufacturers, will not be required to meet any ZEV targets from 2024 to 20291. Each manufacturer's specific, non-weighted average CO2 emissions from 2021 will be used as the baseline for regulating the non-ZEV portion of the fleet1.
"The technical consultation ran from 7 April to 10 June 2022"
Why it matters for households
The mandate sets the framework that determines which new cars and vans can be sold in the UK and on what timetable, which shapes the choice and availability of vehicles for households over the coming decade. The confirmed trajectory means an increasing share of new car sales must be zero emission from 2024, reaching 100 per cent in 20351. For vans, the final proposed trajectory is higher than first consulted on1. The government has already spent £2 billion to support the transition to zero emission vehicles1. The consultation outcome does not set out household costs, charging costs or grant levels, and these have not been reported in the response.
What happens next
A third and final consultation on the design of a ZEV mandate was published alongside the written response1. The government said it looks forward to engaging with stakeholders on the final proposals1. The response was updated on 30 March 20231.