Dáil Éireann Debate, Wednesday - 5 October 2022
87. Deputy Darren O'Rourke asked the Minister for Transport the way in which he will support the transition to cleaner engines for heavy goods vehicles; if he will introduce a targeted scrappage scheme; if he will support the move to Euro VI engines; if so, the way that he will support same; and if he will make a statement on the matter. [48765/22]
Amharc ar fhreagraThere are currently several Government supports in place to help decarbonise heavy-duty vehicles and to assist in the reduction of carbon emissions.
My Department launched the Alternatively-Fuelled Heavy-Duty Vehicle Purchase Grant Scheme in March 2021, which partly funds the purchase of new alternatively fuelled large vans, trucks, buses and coaches.
Grant levels under the Scheme are calculated as a percentage of the difference in price between a conventionally-fuelled diesel HDV and its alternatively-fuelled equivalent. Maximum grant levels for eligible vehicles depend on the size of the company or enterprise applying for the grant, and on the fuel-type of the vehicle that the applicant wishes to buy. Funding of €3m was allocated to the Scheme this year and I am pleased to say that the scheme will once again be funded in 2023.
There are positive signs from truck manufacturers regarding the expected future availability of new Battery Electric truck models on the market. The EU’s Alternative Fuels Infrastructure Regulation (AFIR) is currently being finalised, and when completed this Regulation will outline mandatory targets for the construction of alternative fuelling stations, including electric charging points and hydrogen fuel stations, in all Member States. The recently established Zero Emissions Vehicles Ireland Office has responsibility for overall strategy for EV charging infrastructure in Ireland and will consider supports and funding, including for heavy goods vehicles in due course.
Ireland also has the Low Emission Vehicle Toll Incentive which offers toll discounts for alternatively-fuelled vehicles, up to an annual cap of €1,000.
With regard to a scrappage scheme for older trucks, the European Green Deal includes a specific commitment for the removal of subsidies for fossil fuels at the national level. Financial support for the uptake of EURO VI and the upcoming EURO VII diesel trucks is not consistent with that commitment and it is not likely to be possible to progress such a Scheme in line with EU State Aid rules.
However, the Government is committed to increasing the use of biofuels as a means to support emissions reductions for diesel vehicles. Under the Biofuels Obligation Scheme a percentage of the motor fuel in Ireland is obligated to be produced from renewable sources. On 21 January 2022, this percentage was increased from 12.359% to 14.942% by volume. It is intended to raise this percentage to 20% biodiesel by 2030, a move which will help to significantly reduce emissions from the haulage sector.
My Department is currently finalising research on the sustainability and availability of renewable transport fuels, including Hydrogenated Vegetable Oil, which can be used as a direct substitute for diesel in existing vehicle engines and which has been successfully trialled by a number of companies in recent times.
In addition, my Department is also commissioning a biofuels taxation study that will consider the possible interactions between the proposed revisions to the EU Energy Taxation Directive, which sets out the taxation rates for energy products across Europe, and national transport decarbonisation trajectories. The scope of the study is currently being finalised, and its results will inform renewable transport fuels policy development.
Finally, the Programme for Government includes a commitment to publish a ten-year strategy for the haulage sector. This strategy will focus on generating efficiencies, improving standards, and continuing supports to the sector to move to a low-carbon future. The strategy will be published before the end of the year.
