Written answers

Wednesday, 31 March 2021

Department of Transport, Tourism and Sport

Electric Vehicles

Photo of Emer HigginsEmer Higgins (Dublin Mid West, Fine Gael)
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251. To ask the Minister for Transport, Tourism and Sport the assistance that is available to taxi drivers wishing to replace their vehicle with electric models. [16313/21]

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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According to the most recent information from the EPA and SEAI, passenger cars account for approximately half of all land transport emissions in Ireland. In addition to supporting, where feasible, switching trips to sustainable mobility options, a transition to low and zero emission cars is one of the changes necessary if Ireland is to substantially reduce its transport emissions.

Government has put in place several key policies and provided generous incentives to encourage the transition from conventional, fossil fuel vehicles towards lower-emitting fuels and technologies including electric vehicles (EVs). EVs are a prominent mitigation measure in the Climate Action Plan and Ireland has set an ambitious target of 936,000 EVs on our roads by 2030. This target is very challenging but indicative of the scale of the transformation that is needed across all sectors if Ireland is to reduce national emissions and reach its legally binding emission ceilings in future years.

The transition of the taxi and hackney fleet (technically called Small Public Service Vehicles - SPSVs) towards zero/low-emission vehicles has an important role to play in effecting a substantial reduction in transport CO2 and of air pollutant emissions, particularly in Irish towns and cities due to the high mileage travelled by these vehicles, the stop/start and idling nature of their work, as well as the predominance of fossil fuels within the sector. Increasing the uptake of electric vehicles in the SPSV sector also has a strong leadership and demonstration effect on the public, introducing more people to low/zero emission mobility options. As such, I was delighted to announce the continuation and extension of the Electric Small Public Service Vehicle (eSPSV) Grant Scheme in 2021. The Scheme which is administered by the NTA provides enhanced supports, up to €20,000, for eligible taxi and hackney drivers switching to EVs.

In addition, at Budget time, I announced a 2021 allocation of €15 million which will support up to 750 taxi and hackney drivers in scrapping their older vehicles and replacing them with zero-emission capable electric alternatives. The scrappage scheme is open for taxis and hackneys reaching their maximum permissible age limit in 2020/21. Up to €20,000 is available for eligible drivers switching to a new all-electric vehicle and up to €32,500 for those moving to a wheelchair accessible full electric vehicle.

As a further measure to support the SPSV sector's transition to low emissions, dedicated charging infrastructure for EV taxis is currently being developed across the country. Last year, my Department funded installation of SPSV-dedicated EV charging infrastructure at Dublin and Cork airports, as well as at Heuston, Kent and Colbert train stations. My Department will support further installations for SPSV charging at key transport hubs in 2021.

Other supports to incentivise the take-up of EVs more generally include:

- Vehicle Registration Tax (VRT) relief of up to €5,000 for battery electric vehicles and low rates of VRT for plug-in hybrid electric vehicles;

- Up to €5,000 in grant support for the private purchase of a new electric car (M1), and up to €3,800 for the purchase of a new electric van (N1) by a company or where a motor dealership is purchasing a demonstration vehicle;

- Benefit-in-kind tax relief for battery electric vehicles;

- Grant support towards the full cost of installation of a home charger up to a maximum of €600;

- Lowest rate of motor tax (€120 per annum) for battery electric vehicles and generally low rates of motor tax for plug-in hybrid electric vehicles; and

- A discount on tolls of 50% for battery electric vehicles and 25% for plug-in hybrid electric vehicles (up to a maximum amount of €500 per year with greater reductions off-peak on the M50).

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