According to new research from commercial vehicle finance company, Asset Alliance, China and Norway are due to be the first countries to phase out internal combustion engines with key transition deadlines as early as 2025. China has a goal of 25% of all vehicles and Norway 100% passenger and light duty vehicles to be electric by 2025.
Road transport in the UK is responsible for 92% of the country’s domestic transport greenhouse gas emissions. With the UK’s aim to phase out petrol-driven cars by 2035, Asset Alliance have taken a deep-dive into a world without fossil-fuelled vehicles and how businesses can prepare for the inevitable transition.
Governments around the globe have set targets for phasing out internal combustion engine (ICE) vehicles within the next 30 years, in favour of electric or hybrid models. Some are targeting passenger vehicles, others are focusing on commercial vehicles, and others have set multiple goals.
China and Norway are due to be the first countries to phase out internal combustion engines with key transition deadlines as early as 2025, whilst the United Kingdom has a deadline of no petrol, diesel, hybrid or plugin hybrid vehicles by 2035.
Countries ranked by their transition deadlines:
|China||2025||25% electric vehicles|
|South Korea||2030||33% electric vehicles (cars)|
|Iceland||2030||No gasoline or diesel vehicles (cars)|
|India||2030||30% electric vehicles (cars)|
|Ireland||2030||No fossil fuel vehicles (cars)|
|Israel||2030||No gasoline or diesel vehicles (cars)|
|Japan||2030||23-33% electric vehicles (passenger)|
|Netherlands||2030||100% electric vehicles (cars)|
|Slovenia||2030||100% vehicles with CO2 emissions up to 50 g/km (cars, light-duty commercial)|
|Sweden||2030||No gasoline or diesel vehicles (cars)|
|Scotland||2032||No gasoline or diesel vehicles (cars, vans)|
|United Kingdom||2035||No petrol, diesel, hybrid, or plugin hybrid vehicles (cars, vans)|
|Canada||2040||100% electric vehicles|
|France||2040||No vehicles using fossil fuels (cars, light-duty commercial)|
|Portugal||2040||No vehicles with internal combustion engines (cars)|
|Singapore||2040||No internal combustion engine vehicles|
|Sri Lanka||2040||100% electric or hybrid vehicles|
|Spain||2040||100% electric vehicles (cars)|
|Costa Rica||2050||100% electric vehicles (light-duty)|
|Germany||2050||100% electric vehicles (passenger)|
Top Potential Alternatives to Diesel
In light of this, more motor industry operators are turning to the alternative fuels market. 20% of operators say they are looking to acquire alternatively fuelled HGVs in the next three years. However, cost is still a significant factor and potential deterrent for operators looking to switch over to alternative fuels. The majority (52%) say that a financial incentive from the government would encourage them to operate alternative-fuelled vehicles. 51% Say they need better access to refuelling infrastructure to make the switch more convenient, and 41% want lower upfront costs to help keep expenses down.
How Can Businesses Prepare for the Transition?
“A total switch to electric vehicles might seem like a long way off, but approaching deadlines are driving fleet operators to step up their strategies. For a smooth transition, businesses should be planning ahead as far as possible. While Euro6 engines are certainly the most cost-effective, low carbon option over the short to medium term, we would always encourage operators to discuss their medium to longer-term transition to zero-carbon alternatives.” – Willie Paterson, CEO Asset Alliance Group.
For more information and how the Asset Alliance Group can support the switch, follow this link: The Race to Zero-Emission Vehicles & Trucks – Asset Alliance Group