Seven vans qualify for Government plug-in grant
February 21, 2012 
2 Comments
The Government has named the first vans that will qualify for a discount of up to £8,000 as part of its new ‘Plug-In Van Grant’ incentive.
Pitched in similar form to the plug-in grant for electric cars, the incentive aims to stimulate the market for ultra-low carbon commercial vehicles as it establishes itself in the UK.
Vans qualifying for the grant must emit less than 75g/km of CO2, be capable of travelling at least 60 miles between charges (10 miles in electric mode for hybrid vans), reaching speeds of more than 50mph and meeting European safety standards.
Each van meeting this criteria is eligible for a 20 per cent price reduction, up to an £8,000 ceiling, with VAT businesses able to reclaim the full list price VAT on top of the reduction.
Four of the vans are on sale now – these are the Ford Transit Connect Electric sold by Azure Dynamics, the Mercedes-Benz Vito E-CELL, the various versions of the Renault’s Kangoo Z.E. and Smith Electric’s Smith Edison, including its SE2 and SE3 variants.
Faam’s Ecomile and Jolly 2000, both launching in March, and Mia-electric’s Mia U, arriving in May, will also qualify for the grant.
Chief Executive of the Society of Motor Manufacturers, Paul Everitt, is welcoming the announcement of the first seven eligible vans as excellent news for van drivers, operators, businesses and the industry.
“The savings on the initial purchase price, coupled with the tax advantages and very low running costs make a plug-in van an attractive proposition – particularly for those running local and back-to-base services,” Everitt says.
“Home to a high level of low carbon R&D and manufacturing activity, the UK is well placed to take full advantage of the ultra-low carbon vehicle sector – incentives that support the development of a flourishing market will add to our competitive advantage,” he adds.
Words by: Andrew Charman
Are electric vehicles really an option for business use?
Andrew Yeoman, Managing Director for Trimble UK said in his recent blog.
News that the Government announced it will offer an £8,000 grant to those who want to buy an electric van has propelled electric vehicles into the limelight once again.
The grant has been set up to encourage businesses and consumers to swap their Ford Transits for more environmentally friendly vehicles. Not only do users benefit from the contribution to the purchase price but they also save on tax and won’t have to spend a fortune on running costs, making it a ‘win-win’ situation for everyone – or does it?
Are electric vans or indeed any electric vehicle really of any use in the business world? Would the average ‘white van man’ for example use one of these vans to get to a job, carry around tools and equipment and make deliveries? Probably not.
While electric vans are wonderful in terms of green credentials, in reality they can be expensive and impractical for those doing a large number of miles or carrying significant weight.
Take for example a typical plumber. They travel an average of 400 miles per week, carrying an average of 5kgs of equipment. An electric van would be totally unviable for them due to the current vehicle range and battery life.
Typically an electric vehicle has to be charged every 50-75 miles but with a lack of charging points across the country, it would be impossible for the plumber to reliably get from job to job.
And of course, let’s not forget that electronic vehicles cost between
£10-15,000 more than a ‘normal’ petrol/diesel van, so even with the government grant, they are still expensive.
So what’s the answer? It’s clear electric vans aren’t yet suitable for
the business world but macro hybrid vehicles are. They don’t cost the earth but with their combined electric and internal combustion engine they will help save the earth. They can be filled up at any service station or charged where a point is available saving an average of 20% on annual fuel costs. They are now a viable option for businesses and could be the first step in paving the way for electric vehicles to offer the same value in the future.
I would like to apply for one van,long wheel base.Thanks