The UK Department for Transport announced last week plans to extend the Plug-in Car Grant to passenger vans. This grant program currently offsets the costs of qualifying plug-in cars by up to $7,700 after buyers receive permission from the government. Officials with the Department for Transport note that buyers could save up to $12,300 when purchasing plug-in vans in the near future. The future of the Plug-in Car Grant has been assured through at least 2015 with recent funding from Parliament.
The Plug-in Car Grant currently offers discounts on 10 vehicle models including the Nissan LEAF, Tata Vista and Citroen CZero. The Department for Transport notes that 1,052 qualifying vehicles were purchased in the United Kingdom though only 892 grant applications had been approved. This disparity comes from the delay between a manufacturer’s application for reimbursement and government approval. The first round of qualifying vans should be approved by the end of January after a month-long application process. The addition of vans to the Plug-in Car Grant should help families, small businesses and government agencies save significantly on their green vehicle investments.
Manufacturers of plug-in vans must meet rigorous criteria for their models to qualify for the Plug-in Car Grant. Current standards require qualifying vehicles to travel up to 70 miles per charge with a top speed of 60 miles per hour. The Department for Transport requires manufacturers to provide at least a 60,000-mile warranty as well as a five-year battery warranty to protect consumers. Qualifying vans must also meet British and international vehicle safety standards including whole-vehicle crash tests. These criteria not only save consumers from lemons but protect the government’s substantial investment in this market.
The British government has invested $614 million in advancing low-emissions vehicles throughout the country. This investment includes $460 million for incentives like the Plug-in Car Grant, $123 million on advanced vehicle research and development and $46 million for EV charger installation. The Department for Transport notes that the United Kingdom features more than 2,500 plug-in stations including 765 funded during the recent Plugged-in Places project. These stations should be joined by 4,000 charging stations purchased by businesses through the end of this year. The Plug-in Car Grant is a worthwhile program that could become unique as European, American and Asian governments begin to cut back on national budgets.
