Written answers

Thursday, 16 November 2017

Department of Transport, Tourism and Sport

Electric Vehicles

Photo of Kevin O'KeeffeKevin O'Keeffe (Cork East, Fianna Fail)
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209. To ask the Minister for Transport, Tourism and Sport if his attention has been drawn to the anomaly in circumstances in which electric vehicles similar in size to petrol or diesel vehicles are more expensive to insure; and if he will make a statement on the matter. [48572/17]

Photo of Shane RossShane Ross (Dublin Rathdown, Independent)
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The provision and price of insurance cover is a commercial matter for insurance companies.  It is not a matter in which I, as Minister, have a role.

On the wider matter of EV costs, the Deputy may be aware that many of the operational costs associated with an electric vehicle are lower than those for conventional vehicles; for example, lower motor tax, lower maintenance costs with less frequent servicing required and EVs have an estimated annual fuel saving of up to 80% compared to conventionally fuelled cars. In addition, a grant of up to €5,000 is available from the Sustainable Energy Authority of Ireland towards the purchase of a new electric vehicle, as well as Vehicle Registration Tax relief up to a maximum €5,000. At present, public charging facilities are also provided free of charge to the user.

The Government is very supportive of the transition of the car fleet to zero emissions technology, especially EVs.  The Deputy may be aware that my Department and the Department of Communications, Climate Action and the Environment, have jointly convened an interdepartmental Low Emission Vehicles (LEV) Task Force to consider a full suite of potential measures to expedite the deployment of low carbon technologies under a commitment outlined in the "Programme for a Partnership Government". 

Initial recommendations from the Task Force were submitted for consideration in advance of the budgetary process and I was delighted to announce a package of measures in Budget 2018 to promote a low-carbon electric vehicle future. The measures include: continuing the VRT reduction for EVs and SEAI purchase grants; introducing a new grant to support home charger installations; a new toll incentive regime; a new grant to stimulate EV take-up in the Taxi /Hackney/Limousine (SPSV) sector; a Public Awareness Programme including driver experience opportunities; EV fleet trials in the public and commercial sectors; a new public procurement framework to allow public bodies to purchase EVs with reduced administrative burden; and a new Benefit in Kind (BIK) 0% rate to encourage the use of electric vehicles in industry.

Minister Naughten and I have committed to working together to ensure that all new passenger cars sold in Ireland from 2030 onwards will be zero emission vehicles; demonstrating Ireland’s commitment to decarbonise the transport sector and our economy as a whole.

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