EU governments are stimulating private-sector investment to get sustainable mobility moving
THE ROAD TO CONVENIENT AND AFFORDABLE ZERO-EMISSION MOBILITY
For e-mobility to grow, everyone must have the possibility to recharge their EV easily, no matter where they live and work or where they are going
This year is widely regarded as a tipping point for the electric vehicle (EV) market in Europe . According to some predictions, there will be 33 million EVs on the road by 2030 based on the current European policy scenario, and as many as 44 million EVs in the case of a climate-neutral policy . Demand for charging solutions will grow exponentially to support all these extra EVs.
Therefore, it is essential to ensure that the charging infrastructure is aligned with the flourishing e-mobility market. European policymakers are currently shaping national policy frameworks to support the development of the alternative fuel market and the associated infrastructure. Financial support is expected to be complemented by a push from governments and corporates on climate and air-quality agendas, such as governmental bans on the sale of vehicles with internal combustion engines (ICEs) and corporate initiatives such as the EV100 Climate Group, in which LeasePlan is involved. In this blog, we dive deeper into how government incentives and local measures aimed at boosting the EV charging infrastructure are stimulating the successful implementation of zero-emission mobility.
A MEANINGFUL AND SUSTAINABLE EU-WIDE INCENTIVE SCHEME IS CRUCIAL
Governments across the EU are ramping up investments in charging and refuelling infrastructure
Today, there are more than 195,000 public EV charging points in the EU. That represents a rise of over 300% since 2014, but the industry started with an extremely low baseline of course. And the reality is that the current figure still falls a long way short of how many charging points are actually needed. Last year, LeasePlan publicly called for one million public charging stations by 2025, and at least 2.8 million will be needed by 2030 according to conservative estimates by the European Commission. This will require a roughly 20-fold increase within the next decade .
This represents an enormous growth opportunity, especially if we consider the current geographical distribution of Europe’s EV charging points. 76% of them are located in just four countries: the Netherlands (26%), Germany (19%), France (17%) and the United Kingdom (13%).
Perhaps unsurprisingly, these nations – along with Sweden and Norway – are currently leading the way in terms of incentives for EVs and EV charging. However, this state of play is expected to even out as governments in other countries – including in central and southern Europe – are now pouring increased funding into the sector. These measures can be seen as both post-Covid-19 stimulus packages and decarbonisation incentives aimed at improving the private sector’s confidence to invest. Some recently announced examples of major e-mobility incentive programmes planned for the coming year and beyond include:
- One million public charge points subsidised by the European Commission by 2025iv
- 100,000 public charge points installed in France by the end of 2021
- €500 million of funding made available in Germany for private charge points, with all German petrol stations mandated to have charge pointsv
Could you be eligible for charge point incentives?
Now that incentive programmes are gathering momentum, this is an ideal time for private individuals, self-employed professionals, start-ups as well as companies to seize the opportunity and embark on – or take the next step in – their journey towards zero-emission mobility and a more sustainable future. Thanks to an array of tax credits, rebates and grants on offer from governments, it can be more affordable than you think to install private EV charging solutions at your home or the workplace, or to include charging solutions in your vehicle lease.
The national incentives and benefits for EVs and EV chargers vary greatly throughout Europe, so it is always advisable to check which incentives apply in your particular situation. Some incentives are available as discounts on the installation of the charge point; they might be coordinated by the installation company, or may need to be requested online (via the relevant governmental body) after installation and payment. Ideally, you should make sure you understand the conditions and requirements upfront.
In a perfect storm of market demands and environmental necessity, companies and policymakers alike are now being driven towards the same goal: to prepare for the approaching tide of EVs. Investment in EU-wide charging infrastructure is urgently needed to support the rapid market penetration of electrification, and incentives may be available to help you play your part.
At LeasePlan, our EV specialists can advise you on the best transition strategy in every market. They will also support you throughout the whole process, including with vehicle choices, charging solutions and implementation services.
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iDue to a European target set at 95 g CO2/km for the year of 2021