Written answers

Thursday, 4 November 2021

Department of Transport, Tourism and Sport

Electric Vehicles

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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105. To ask the Minister for Transport, Tourism and Sport when he will be reopening the grant scheme for taxi drivers wishing to purchase electric vehicles; the funding that will be made available for such a scheme; if the €9 million underspend from the recently closed scheme will be carried over; the additional funds that will be made available for same; the reason a threshold for the cost of an electric vehicle of under or above €60,000 appeared to apply to some extensions on the eligibility for the scheme; and if he will make a statement on the matter. [53655/21]

Photo of Hildegarde NaughtonHildegarde Naughton (Galway West, Fine Gael)
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The aim of the Electric Small Public Service Vehicle (eSPSV) Grant Scheme 2021 is to increase the uptake of fully electric SPSVs and zero-emission capable wheelchair accessible SPSVs. It is aimed at improving air quality in urban areas, together with influencing the uptake of zero emission passenger cars by improving general perception and awareness of the benefits of electric vehicles. The SPSV industry is regarded as a champion in the normalisation of electric vehicle use. The Scheme is funded by the Department and administered by NTA acting as agents of the Department with delegated authority and as the licensing authority for SPSVs.

€15m was allocated to support taxis to switch to electric. Over €8m has now been paid out to applicants under the scheme with the remaining funds committed in the form of provisional grant offers.

Per the Terms and Conditions of the eSPSV Grant Scheme 2021 the scheme may close if funding has reached capacity. The funds have reached capacity for 2021 and therefore the scheme closed as of 30th September 2021.

The Department has funded an eSPSV scheme in previous years and as part of the Budget 2022 it was announced that there will be a scheme available in 2022. The details of this scheme are under consideration and will be announced in due course.

In addition, per the Terms and Conditions of the eSPSV Grant Scheme 2021 any Grant Offer Letter issued to an applicant is valid until the earliest of three calendar months from the date of the Grant Offer Letter, the Scheme End date or 31 December 2021. The three calendar month period has been selected to allow reasonable time for vehicle delivery and completion of the vehicle licensing process.

However, any eSPSV which has an existing grant offer and was due to be delivered in 2021 but has met unforeseen delays due to semi-conductor shortage, may avail of an extension to 31st March 2022. This applies to an eSPSV of any value. Grant applicants should contact the NTA to arrange for this extension in relation to vehicles purchased and due for delivery in 2021.

The reference of a threshold for the cost of an electric vehicle of under €60,000 relates to the EV Purchase Grant Scheme administered by the SEAI for private car purchasers and not to the eSPSV scheme.

The allocation of funding to be carried forward into the next year is at the discretion for the Minister for PER, and I am engaging with him on this matter.

Photo of Cormac DevlinCormac Devlin (Dún Laoghaire, Fianna Fail)
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106. To ask the Minister for Transport, Tourism and Sport his plans to expedite the electrification of Ireland’s private car fleet; and if he will make a statement on the matter. [53653/21]

Photo of Hildegarde NaughtonHildegarde Naughton (Galway West, Fine Gael)
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Providing a sustainable, low-carbon transport system is a key priority of my Department. The Programme for Government commits to 7% average annual emissions reduction to 2030; and this is further reinforced through the implementation strategy set out in Climate Action Plan being published this week. Ultimately, the goal is for a zero-emission mobility system by 2050. Electrification will be key to achieving this objective in the transport sector.

Ireland has set an ambitious target of 936,000 EVs on our roads by 2030 that reflects the scale of the transformation needed to achieve its climate targets in the coming years. Under the National Development Plan €1bn has been allocated to specific carbon reduction measures, including vehicle electrification.

On foot of the Electric Vehicle Policy Pathway Report published in September, the Government will continue to provide a generous suite of EV supports until end 2022. In support of this, €100m has been allocated in 2022 to ensure the continued transition to electric vehicles. This is an almost doubling of the provision made available in 2021 and underpins the Government’s commitment to making electric vehicles accessible to all. This funding will continue to incentivise the switch to electric vehicles as well as enabling the expansion of a fast and rapid electric vehicle charging network to stay ahead of demand.

The full report of the EVPP Working Group is now available online.

Considerable progress has been made, as a result of the work of the Low Emission Vehicle Taskforce, to ensure that conditions and policies are in place to support citizens in making greener vehicle choices. As the Deputy will be aware, a comprehensive suite of measures is available to EV drivers, including purchase grants for private car owners and taxi drivers, VRT relief, reduced tolls, home charger grants, favourable motor and BIK tax rates, as well as a comprehensive charging network. These measures have collectively contributed to increased take up of EVs in Ireland in recent years, albeit from a low base, to over 45,000 now.

In the meantime, in order to support the transition to EVs, the EVPP Group recommended that:

- The generous suite of EV supports already in place in Ireland should be retained until at least end-2022. Additional measures to further incentivise EVs and/or disincentivise fossil fuelled vehicles will also be necessary. Cost-effective, targeted policy supports should continue to be developed and strengthened over the coming years; and

- An Office for Low EmissionVehiclesshould be established, as a matter of priority, to co-ordinate the implementation of existing and future EV measures and infrastructure. The new Officeshould also take charge of developing and launching an extensive communication and engagement campaign, whole of Government in coverage, to drive the availability and understanding of key information regarding EVs, tailored to household, business and public sector consumers.

In support of EV adoption, a National EV Charging Infrastructure Strategy is in development which will seek to prioritise the delivery of fast and rapid charge point infrastructure over the next 5 years. Having an effective and reliable recharging network is essential to enabling drivers to choose electric. Charging at home is the most convenient and cheapest way to recharge. Targeting the installation of smart home chargers is a priority as we look to moving towards more energy efficient and sustainable ways to charge.

There is also a need for a seamless public charging network that will provide for situations or instances where home charging is not possible such as on-street and residential charging, destination charging, and workplace charging.

Overall, both for me and my Department, the expedition of electric vehicles take up is a key priority. To this end, electric vehicle policy and expenditure is kept under continuous review to endeavour to make low emission vehicles a realistic option for individuals purchasing a vehicle.

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