The Low Carbon Vehicle Partnership
Achievements, Challenges, Plans
Annual Conference
15th June 2006
Graham Smith
Chairman, Low Carbon Vehicle Partnership
Low Carbon Vehicle Partnership
Accelerating a
sustainable shift
to low carbon
vehicles and fuels
in the UK
Stimulating
opportunities for
UK businesses
205 members… and growing
Energy
Industry
18%
Research
21%
Transport
Operator
9%
NGO
5%
Public
Sector
9%
Automotive
38%
Key achievements 2005/6
 Support for the development of
the Renewable Transport Fuels
Obligation
 Successful launch and
establishment of Cenex
 Roll-out of the car labelling
scheme
 Growth in membership by a third
 LowCVP Challenge
 Car buying behaviour research
The RTFO is a positive development, but weak incentives
for low carbon cars remain a serious market barrier
Vehicle Excise Duty
2006 Budget
Annual cost for petrol car, £
250
200
150
100
50
0
A B C D E F G
VED Band
UK incentives for low carbon cars are small
compared to other countries
Savings over 3 years through the
purchase of a low carbon car
€ 7,000
€ 6,000
Based upon a Toyota Prius
UK savings in VED compared to fleet average vehicle
€ 5,000
€ 4,000
€ 3,000
€ 2,000
€ 1,000
s
N
et
he
Be
lg
i
rla
nd
um
e
Fr
an
c
nd
Ire
la
o
ol
or
ad
-C
SA
U
U
SA
-F
ed
U
K
er
al
€0
Sales of the most efficient cars remain a small
proportion of the overall market & are growing slowly
Proportion of new car sales
below 120g/km (Band B)
3.5
3
% sales
2.5
6 Band A cars
were sold - the
PFV target is 10%
by 2012
2
1.5
1
Efficient-C – too expensive for PSA
to bring to market at present
0.5
0
1999 2000 2001 2002 2003 2004 2005
Just 19 low carbon buses were sold in 2005
Addressing the “attitude-action” gap remains the key
challenge to stimulate demand for low carbon cars
Increase in
environmental
knowledge
Reduced sense of
futility & fatalism
AttitudeAction Gap
Increase in
environmental
concern
Increased
receptiveness to
change
?
Change to proenvironment
behaviour
Engage
Consumers
Enhance
desirability
Expand
choice
Increase
incentives
Adapted from Walton 2004
Car label launched
by Stephen Ladyman
July 2005
Availability of low carbon models is increasing
steadily in all segments of the market
Honda Civic Hybrid
Lexus GS450H
Availability of low carbon models is increasing
steadily in all segments of the market
Saab 95 - E85
Ford Focus FFV
Availability of low carbon models is increasing
steadily in all segments of the market
Citroen C2 – Stop-Start
Peugeot 107
The range of low carbon vans is also increasing
Modec Van - electric
Mercedes Sprinter Van
– with stop-start option
LowCVP is developing cutting edge, practical
schemes for carbon certification and environmental
assurance of biofuels
LowCVP support has helped launch and
establish Cenex - Centre of Excellence for
Low Carbon and Fuel Cell Technologies
Future planned activities include to …
 Develop a framework for hydrogen
and fuel cell demonstration priorities in
the UK
 Examine options for developing
emissions trading schemes for road
transport
 To review Government support
frameworks
 Encourage and support the fleet sector
 Identify, assess and incentivise light
and heavy commercial vehicles
Low Carbon Vehicle Partnership
Accelerating a
sustainable shift
to low carbon
vehicles and fuels
in the UK
Stimulating
opportunities for
UK businesses