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A new Plug-In Van grant has also been included which offers people the chance to purchase eligible vans with a 20 per cent discount up to the value of £8000.
Vans that qualify for the grant must have CO2 emissions of less than 75g/km and be capable of driving a minimum of sixty miles between charges (or 10 miles in electric mode for hybrid vans). They must also be able to reach a speed of 50mph and have ‘European Vehicle Type Approval’.
The existing Plug-In Car Grant was put in place in 2011 in an attempt by the government to increase the sales of electric and ultra-low emission cars, which are designed to not only to save the environment but also to save on fuel.
Norman Baker, Parliamentary Under Secretary of State for Transport, said: “Business minister Mark Prisk and I have reviewed the existing Plug-In Car Grant, which provides a discount of 25%, up to £5,000 off the price of eligible ultra-low emission cars.
“We examined the need for and value of the grant, as well as its scope. We have concluded that there remains a strong case for the grant. We have therefore decided to continue with the Plug-In Car Grant at the current level, with provision out to 2015.”
The incentive scheme has been running since January 2011, but so far there have been very few grant applications made throughout the UK. A recent survey conducted on behalf of EV infrastructure provider Elektromotive, found that some of the reasons behind people’s reluctance to invest in an electric vehicle was the amount of charging stations currently available. Elektromotive believe that if more charging stations were installed across Britain, it would prevent people from feeling anxious at the thought of falling short of power in between charges.
Calvey Taylor-Haw, Managing Director of Elektromotive said: “It’s clear that much more needs to be done to create the charging infrastructures that are essential to underpin mainstream acceptance of EVs.”
Elektromotive has developed more than 600 Elektrobay charging stations which are specifically tailored to passenger cars, public service vehicles and commercial vehicles. Elektrobays are usually located next to parking bays and are compatible with all fully-electric and plug-in electric hybrid vehicles.
Paul Everitt, SMMT chief executive, said: “The Plug-In Car Grant and the new Plug-In Van Grant send a strong signal to the global automotive industry about the UK’s determination to be a leading market for ultra-low carbon vehicles.
“We will reap significant industrial and environmental benefits from establishing an early and flourishing ultra-low carbon vehicle market, attracting high value investment in R&D, innovation and automotive manufacturing.”