Mr. Paul Jackman:

On the truck side of that question, this year sales of EV trucks in Europe are up 50% on the same quarter last year, so there is a lift, but it is based on 1% of truck sales last year. It is a poor figure in real terms. The Chairman referred to the barriers. From an environmental measure of carbon footprint, we have scope 1, 2 and 3 emissions. The production facility is scope 1, the auxiliary activity is scope 2 and scope 3 refers to third-party contractors. If a haulier goes to a company with the proposal to electrify their fleet, they need a rate increase for reasons of reduced productivity due to the weight and increased capital cost. The factory, the customer, has no incentive and no gain from reducing scope 3 emissions. It is not on their carbon balance sheet.

Second, we have seen how cars have progressed. The older EV cars depreciated at a faster rate. I know it is less now. An electric truck bought two years ago has extraordinary depreciation on it. The manufacturers are incentivised to register new vehicles. It is in their interest to accelerate through technology to make redundant the earlier generation, to bring in a new generation to get new registrations. We see the improvements. The energy density has gone from 100 kW to provide 1 tonne weight, to 150 kW. That is from a truck. There are huge improvements all the time. I have approached manufacturers on this. I have asked them if they will guarantee that when the battery, motor and software improve, I will be able to upgrade my old vehicle to maintain its relevance. The answer is no, I would have to buy the new vehicle. The way it is engineered for the manufacturers is working against the consumer and the purchaser.

This is an EU thing. The two barriers are the scope 3 emissions having no relevance to the customer, and the incentive for the manufacturer to accelerate the depreciation of the first generation by holding back technology to improve the second and third generation, making the earlier vehicles almost obsolete. So, the depreciation the hauliers are expected to absorb is off the charts in comparison to the diesel trucks.