WOULD A GOVERNMENT GRANT HELP?
Just think how much fuel the UK would save if every business owner decided to drive an electric van.
Recently the UK government introduced a 20% grant towards the purchase of a new electric van. Its main aim, to increase the uptake of electric vans and plug-in hybrid vehicles. The long term effects will result in the reduction of carbon and pollution emissions by road vehicles. Furthermore, increased manufacturing will reduce future pricing in the ultra-low emission vans.
The electric van has come a long way
Since East Germany launched its electric van in 1953. Consequently, today shows like the Brussels Motor Show in Belgium reveal a brand new electric van by Renault.
While unveiled at Brussels Motor Show in Belgium. The Master ZE is the largest vehicle in Renault’s EV line-up. It has a quoted range of 124 miles on its all-new battery pack. This will become a key part of the powertrain for all Renault electric vehicles from now on.
With traditional large van bodywork, the Master ZE will be available in three lengths and two heights. It has a power output of 57Kw (equivalent to 76bhp) and can be fully charged from a 7Kw charger in around six hours. Hence sales will commence across Europe in late 2017.
Electric vans - with a maximum mass of up to 3.5 tonnes, in vehicle category N1 continue to qualify for a grant of up to 20% off the cost of the van, up to a maximum of £8,000. The grant is available until March 2018 or until 5000 vans have been ordered, whichever comes first. The grant is currently eligible for both plug-in hybrid vans and fully electric vans.
Therefore to be eligible for the plug-in van grant, vans must have tailpipe emissions of 75g CO₂/km or less. Plus achieve a zero-emission range of 10 miles for plug-in hybrid vans and 60 miles for fully electric vans.
The ‘cost’ is the full purchase price you pay for the basic vehicle - including number plates, vehicle excise duty, and VAT. As a result, it doesn’t include delivery charges, the first registration fee or any optional extras.
[ctt_author author="3572" name="Wendy Kipling" template="2" link="nBVac" via="yes" nofollow="yes"]Eligible vehicles must meet the criteria for the plug-in van grant[/ctt_author]
Furthermore not all vehicles are ultra-low emission. Eligible vehicles must meet the criteria for the plug-in van grant, including CO₂ emissions and zero emission range.
|Category||CO2 emissions||Zero emission range||Grant||Maximum grant|
|Vans||Under 75g/km||At least 10 miles||20% of cost||£8,000|
So what does this mean
- Category - grant not eligible for second-hand vehicles, or category 2 or 3 vehicles with a recommended retail price of £60,000 and over.
- Emissions - ‘zero emission range’ is the distance the vehicle can travel without producing any CO2 emissions.
- Grant - ‘cost’ is the full purchase price you pay for the basic vehicle - including number plates, vehicle excise duty, and VAT. It doesn’t include delivery charges, the first registration fee or any optional extras.
Eligible Vans - Currently 2017 (watch out for updates)
- BD Otomotiv eTraffic
- BD Otomotiv e-Ducato
- Citroen Berlingo
- Daimler Mercedes-Benz Vito E-Cell
- Mitsubishi Outlander GX3h 4Work
- Nissan e-NV200 (cargo van)
- Peugeot e-Partner
- Renault Kangoo ZE
- Smith Electric Smith Edison
In conclusion, the dealership will complete the paperwork and deduct the grant on completion. There are no application forms just a short questionnaire.
It’s been estimated that a small electric van will typically cost £100 less in fuel for every thousand miles driven compared to a diesel equivalent, also makes business sense.
Looking for funding to grow your business. You may also want to check out my recent blog on EFG
First of all, do you think electric vans are the future for British business owners? With upfront purchase grant combined with lower running costs and tax benefits, can you really say NO?
You can leave your comment below: