The government has exempted zero emission trucks from the reintroduced HGV levy.
The HGV levy was reintroduced yesterday (1 August) after a three-year break with the Covid-19 pandemic.
The government hadn’t initially announced an exception for electric and hydrogen trucks until pilot projects were completed. The move comes after green groups urged the government to change the levy so that businesses are more encouraged to switch to net zero emission trucks.
Subscribe to Sustainability Beat for free
Sign up here to get the latest sustainability news sent straight to your inbox every day
In an update, the Department for Transport announced vehicles that “are zero emission at the tailpipe” are exempt from the HGV levy. Exemption doesn’t cover hybrid vehicles, however.
Transport & Environment director Richard Hebditch described the exemption as a “positive move.”
“Battery electric trucks are the future of freight and this will help kickstart the transition by incentivising hauliers who want to reap the benefits of greener trucks,” he said.
“The government could go further however. With a distance-based charge, we could see more-polluting trucks pay for their emissions, and by extension, make this exemption all the more attractive for freight companies to choose zero emission trucks, thereby accelerating the transition further.”
Transport Action Network director Chris Todd also added the road freight sector “urgently needs to transition to cleaner vehicle types, and we need to increase the proportion of our freight transported by rail.”
“Battery electric trucks are one solution and while costs are falling, more needs to be done to make them cost competitive with diesel trucks. Distance based charging is one solution that can help that,” he added.
