Guidance

Plug-in van grant: extension to larger vans

Published 24 October 2016

Further information on extension of plug-in van grant to heavier vehicles

The plug-in van grant was extended to cover heavier vans and trucks in October 2016.

This extension of the grant offers support to heavier electric vans:

Heavier vans will receive a grant of 20% off the price of the vehicle.

To stimulate this new market a higher maximum grant level – up to £20,000 - will be offered for the first 200 heavier electric vans.

Once 200 N2 and N3 vehicle claims have been made, the grant level will fall in line with current grant levels for light electric vans - 20% off the price, up to a maximum of £8,000.

Eligibility

To be eligible for the scheme vans will have to meet performance criteria to ensure safety, range, and ultra-low tailpipe emissions.

Payment of grant

Consumers, both business and private, will receive the discount at the point of purchase.

Scheme guidance

The guidance setting out the precise requirements of the scheme for heavier vans will be available shortly. Manufacturers of eligible vans are encouraged to contact olev.enquiries@olev.gsi.gov.uk to find out more.

Lighter vans

Lighter electric vans (with a maximum mass of up to 3.5 tonnes, in vehicle category N1) continue to qualify for a grant of up to 20% off the cost of the van, up to a maximum of £8,000.

Review point for plug-in van grant

The plug-in van grant will be maintained at the current rate until March 2018 or until 5,000 vans have been ordered, whichever comes first.

This trigger point for a future review includes both grants for light and heavier electric vans.

As at October 2016, around 2,500 plug-in van grants have been claimed since the scheme began in 2012.

Plug-in hybrid vans

Eligibility for the plug-in van grant will not change as we extend it to cover heavier vehicles. The plug-in van grant is currently eligible for both plug-in hybrid vans and fully electric vans.

To be eligible for the plug-in van grant, vans must have tailpipe emissions of 75g CO₂/km or less, and achieve a zero-emission range of 10 miles for plug-in hybrid vans and 60 miles for fully electric vans

Customer limits for claiming higher grant level

We are restricting the number of these higher grants that each customer can claim, to a maximum of 10. The term customer here means either a private citizen, a business or other organisation.

This is to ensure that the grant can be claimed by a broad range of organisations, to demonstrate the commercial and logistical benefits in a number of situations.

We are offering an initial batch of more generous grants to demonstrate the commercial and logistical benefits of these vehicles. The restriction that only 10 grants can be claimed per customer.

By supporting an initial batch of these vehicles, we believe other businesses will follow as they see the economic and environmental benefits.

Vehicle not listed as an eligible vehicle

Not all vehicles are ultra-low emission. Eligible vehicles must meet the criteria for the plug-in van grant, including CO₂ emissions and zero emission range.

The manufacturer will need to make an application to confirm eligibility and may be in the process of doing so. Please refer to the OLEV website for more details of the plug-in van grant criteria and eligible vehicle list.