I propose to take Questions Nos. 726, 740 and 741 together.
The EU Renewable Energy Directive places a legal obligation on all Member states that by 2020 10% of energy in the transport sector must come from renewable energy sources. Ireland intends to meet the requirement through a combination of the biofuel obligation scheme and an ambition that 10% of all vehicles will be powered by electricity by 2020. Though very challenging, I believe that this target can be achieved although it will be critically dependent on the success of car manufacturers in bringing to market a range of competitively priced electrical vehicles as well as delivery of the necessary underpinning infrastructure. It is estimated that replacement of 10% of cars, vans and buses in Ireland with currently available models of hybrid and battery electric vehicles could reduce national CO2 emissions by 0.35 million tonnes annually.
The objective of the EV Grant Scheme is to incentivise and support, through grants of up to €5,000, the early deployment of electric and other low emission vehicles in Ireland in order to provide an early critical mass of such vehicles and to encourage the growth of a stable and robust market for these vehicles.
In 2011, 42 grants were paid by Sustainable Energy Authority of Ireland (SEAI) under the scheme. An allocation of 1.5 million euro has been provided for 2012 and SEAI expects that the number of applications will increase as car manufacturers increase the range of electric vehicles available to the market. Any decision in relation to the continuation of the scheme into 2013 will be a matter for consideration in the context of Budget 2013.
Under the scheme, vehicles which meet the following criteria are eligible for support:
Vehicle Type: Passenger vehicle must meet the M1 classification as defined under the European Whole Type Approval Process
Safety: Vehicle must meet European New Car Assessment Programme (Euro NCAP) rating of at least 3 stars
Speed: Must achieve 100kph on a level surface
Tailpipe CO2 Emissions: < 75g/km
Vehicle Warranty (including battery): 3 years or 100,000km
There are no plans to alter these criteria.