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ELECTRIC VEHICLES: €THE LINK BETWEEN GOVERNMENT INCENTIVES AND SALES EXAMINED

Driving the e-NV200 on the streets of Barcelona

FIRST DRIVE

NISSAN’S ZERO-EMISSION CITY VAN

DRIVING FLEET SUSTAINABILITY ACROSS THE CONTINENT

www.greenfleeteurope.com ISSUE 2.3

GREEN TRANSPORT INFRASTRUCTURE NEWS Bienvenue • Willkommen • Benvenuti Welkom • Velkommen • Tervetuloa Üdvözlet • Witam Ci • Bem-vindo Bienvenidos • Välkommen Dear Readers

Governments around the world are pushing for a higher uptake of electric vehicles to help them deliver on climate change targets, and as such many have put in place incentives to drive up EV sales. But how are such incentives influencing buyer behaviour?

The International Council on Clean Transportation (ICCT) released a white paper examining the link between government incentives and the sales of electric vehicles, and shows that tax exemptions and direct subsidies are playing a key role in boosting electric vehicle markets. Norway and the Netherlands were cited as particularly good examples where a link can be seen. Norway’s fiscal incentive of about 11,500 EUR per battery electric vehicle (BEV) is associated with a 6 per cent market share for BEVs in 2013, and a 90 per cent market share increase from 2012 to 2013. Similarly, the fiscal incentive in the Netherlands of about 38,000 EUR for plug-in hybrid vehicles (PHEV) in 2013 is

associated with a five per cent market share for PHEV in 2013, and a 1,900 per cent market share increase from 2012 to 2013.

At the same time, the results show that a number of other factors influence the market for electric vehicles, and that further investigations are needed. We look at the full report on page 11.

Keeping on the theme of electric vehicles, I had the pleasure of attending the launch of Nissan’s e-NV200, an electric panel van, in Barcelona, where the van will be made for the international market. This is Nissan’s second electric vehicle after the Leaf, and much is expected of it. Read the full review on page 18.

Angela Pisanu, editor

CO

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ENT

3 Volume 2.3 | GREENFLEET EUROPE MAGAZINE

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Contents GreenFleet Europe 2.3

GreenFleet Europe magazine www.greenfleeteurope.com

07

06 News Emissions data for EU vans published; Tesla releases patent library; scientists make hydrogen breakthrough; liquid air to power refrigerated truck units 11 Electric vehicles The ICCT has released a white paper examining the impact that different country’s electric vehicle incentives has on the take-up of plug-in vehicles 14 Green transport The VTT Technical Research Centre of Finland shares its low-emission, car-sharing and public transport vision

16 Charging infrastructure The CHAdeMO charging standard was an early market leader for plug-in electric vehicles, but with stiff competition on European roads, its future is uncertain. GreenFleet Europe investigates 18 First drive: Nissan e-NV200 Following on from the success of the Leaf, Nissan has released an electric version of its NV200 small van, and has already seen some significant business orders. Angela Pisanu takes it for a drive on the streets of Barcelona

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DRIVING FLEET SUSTAINABILITY ACROSS THE CONTINENT | www.greenfleeteurope.com6

ALTERNATIVE FUELS

Liquid air to power refrigerated truck unitsA new report published by the Liquid Air Energy Network with the Centre for Low Carbon Futures and the University of Birmingham has found that using liquid air to power refrigerated truck units could reduce PM and NOx emissions by an equivalent amount to taking 367,000 lorries off UK roads. David Strahan, editor of the Liquid Air on the Highway report said: “Nine months of work gathering data from technology developers, industrial gas experts, transport consultancies and fleet operators has presented an incredibly strong case for the financial and environmental potential of liquid air. “These findings couldn’t come a moment too soon. A Supreme Court decision in May of last year ruled Britain in breach of the EU Air Quality Directive. Any technology which promises such

significant environmental and financial benefits deserves serious consideration.”

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CAR-SHARING

Grenoble to put EVs on its streets The French city of Grenoble is to roll out an EV car-sharing scheme to the public this autumn. 70 ultra-compact electric vehicles will be made available in an attempt to promote connections between public and private electrified personal transport, with 30 charging points located close to public transport stops.

The scheme, which is accepting pre-registration from Grenoble commuters ahead of going live in October, is scheduled to run for a three-year trial period. Users will be able to pick up the small EVs and drive them to another location. Those responsible say that the initiative is intended to give commuters flexibility around beginning and ending their journeys, as well as reducing traffic and improving air quality.

Grenoble was chosen for its history of promoting green transport.

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ALTERNATIVE FUELS

Toyota to launch fuel cell car in Europe

Toyota has said it plans to launch a hydrogen-powered fuel cell vehicle (FCV) by summer 2015, following a Japanese launch in April which will see the car priced at around €50,000. The company says that the FCV will initially be launched in regions where hydrogen refuelling infrastructure is already in place.

The car was unveiled in Tokyo in June. The company says that with two high-pressure hydrogen tanks, the vehicle will have a range of 700 kilometres, and that it aims to reduce operating costs to being them in line with its hybrid vehicles. Toyota has not yet revealed the type of battery the new hydrogen FCV will use.

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Detroit Electric, a manufacturer of fully-electric sportscars, has announced plans to begin work on the world’s fastest electric vehicle later this year. The SP:01 will be produced in England ahead of rolling out models in Europe and Asia. The company says that the vehicle’s high-power electric motor will have a top speed of 249km/h and will go from 0-96.6km/h in 3.7 seconds.

World’s fastest EV

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ALTERNATIVE FUELS

Fuel from waste coffeeResearchers at the University of Bath in England are investigating the use of waste coffee grounds as a sustainable biofuel source. The scientists found that all types of coffee can be used for this purpose – both caffeinated and decaffeinated – and that it may be possible to produce as much as two litres of fuel from around 10 kilos of coffee waste.

While the fuel is unlikely to have wide-scale commercial viability, it could be used to power shorter car journeys. Dr Chris Chuck of the university’s Department of Chemical Engineering said: “Around eight million tonnes

of coffee are produced globally each year and ground waste coffee contains up to 20 per cent oil per unit weight. “This oil also has similar properties to current feedstocks used to make biofuels. But, while those are cultivated specifically to produce fuel, spent coffee grounds are waste.

“Using these, there’s a real potential to produce a truly sustainable second-generation biofuel.”

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EMISSIONS

Emissions data for EU vans publishedData released by the European Environment Agency (EEA) indicates that vans in the EU are becoming more efficient. The organisation’s findings show that the 1.2 million new vans registered in 2013 had average emissions of 173.3g of CO2 per kilometre travelled, four per cent lower than the previous year and already below the 175g target for 2017.

The data shows that emission levels differ widely across Europe, with Malta Portugal and France having the greenest new vans and Slovakia, Germany and the Czech Republic having the highest emissions.

The accuracy of this data is still uncertain, as data on vans is more complex than for passenger cars and the database is relatively new. The EEA intends to publish a more conclusive report on van emissions in 2015.

The lobbying group Transport and Environment (T&E) has been critical of the EEA report, claiming that the 175g target for 2017 was not ambitious enough and that while emissions per van may be

decreasing the growing number of vans on the road means that their contribution to overall emissions has increased.

T&E senior policy officer William Todts said: “The new EEA figures confirm what we’ve said since 2010: the vans target is a joke. This regulation is not delivering lower fuel costs for businesses, it’s not driving the supply of ultraclean urban delivery vehicles and does little or nothing to offset emissions from increasing traffic.”

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ELECTRIC VEHICLES

Tesla releases patent libraryThe electric car manufacturer Tesla has made its patent library open source in an attempt to encourage growth in the EV market. Ceo Elon Musk said: “Tesla Motors was created to accelerate the advent of sustainable transport. If we clear a path to the creation of compelling electric vehicles, but then lay intellectual property landmines behind us to inhibit others, we are acting in a manner contrary to that goal.

“Tesla will not initiate patent lawsuits against anyone who, in good faith, wants to use our technology.

“Given that annual new vehicle production is approaching 100 million per year and the global fleet is approximately two billion cars, it is impossible for Tesla to build electric cars fast enough to address the carbon crisis.

“By the same token, it means the market is enormous. Our true competition is not the small trickle of non-Tesla electric cars being produced,

but rather the enormous flood of gasoline cars pouring out of the world’s factories every day.”

ENERGY

Germany efficiency targetGermany has pushed for the EU to bring its target for energy efficiency lower as the country claims this can make EU nations less dependent on Russian gas supplies. An article in the Financial Times says that Germany and Denmark have made calls for a binding efficiency target as a step towards redeveloping Europe’s energy infrastructure.

According to the FT article, the countries are calling to make targets for 2030 30-35 per cent lower than predictions for 2030 that were made in 2007. The European Commission (EC) estimates that this would reduce gas imports by a third by 2030. Currently, around 40 per cent of gas consumed in Europe is bought from the Russian state-owned organisation Gazprom. Six states, including Finland and Bulgaria, import all of their gas supplies from Russia.

Ministers from Germany, Greece, Ireland, Belgium, Denmark, Portugal and Luxembourg said in a joint letter to EC president José Manuel Barroso: “A target is essential to highlight the importance of energy efficiency, and a strong political commitment is crucial. The current situation in Ukraine emphasises he importance of reducing imported oil and natural gas.”

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PUBLIC TRANSPORT

Fast-charging electric buses in SwitzerlandResearchers at the École polytechnique fédérale de Lausanne in Switzerland are testing technology which may be able to charge electric buses within as little time as 15 seconds. The scientists have recently completed a pilot with an electric bus system called Tosa.

The buses recharge once they reach a terminus station. A robotic arm extends into a charging unit above the bus stop to give a swift charge. As overhead cables are not needed, this new system could make it unnecessary to make major changes to infrastructure in order to support electric transport.

The buses are expected to be made available to the public in Geneva in 2017.

Electric buses could soon recharge in 15 seconds

The German car manufacturer Audi is believed to be in the process of developing high performance electric vehicles, a move it has so far resisted.

The Volkswagen-owned company is already in the process of

launching its first plug-in hybrid vehicle, the A3 e-tron.

Unnamed sources recently told Reuters that following on from this launch the Audi intends to develop high performance EVs that could compete with Tesla’s cars.

Audi working on new EV blueprints

READ MORE

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Elon Musk: “Tesla will not initiate patent lawsuits against anyone who, in good faith, wants to use our technology”

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NEW

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ALTERNATIVE FUELS

Scientists make hydrogen breakthroughThe UK’s Science and Technology Facilities Council (STFC) has announced a discovery that could help make hydrogen fuel easier to roll out to the public. STFC scientists claim they have successfully used ammonia as a hydrogen-containing energy source to meet the challenge of storing hydrogen safely and efficiently in a cost effective way.

When ammonia is ‘cracked’, or separated into its components, it comprises one part nitrogen to three parts hydrogen. In the past it has taken expensive precious metals to get the best results when cracking ammonia to get hydrogen, but the STFC scientists were able to achieve it by using two simultaneous chemical processes instead of a metal catalyst, so making the process much cheaper.

STFC scientist professor Bill David said: “Our approach is as effective as the best current catalysts but the active material, sodium amide, costs pennies to produce. We can produce hydrogen from ammonia ‘on demand’ effectively and affordably.

“Few people think of ammonia as a fuel but we believe that it is the natural alternative to fossil fuels. For cars, we don’t even need to go to the complications of a fuel-cell vehicle.”

“A small amount of hydrogen mixed with ammonia is sufficient to provide combustion in a conventional car engine. While our process is not yet

optimised, we estimate that an ammonia decomposition reactor no bigger than a 2-litre bottle will provide enough hydrogen to run a mid-range family car.”

David Willetts, the UK Minister for Universities and Science, said: “This is exactly the sort of innovation we need UK researchers and engineers to develop to secure our role as a global leader in this field, putting Britain at the forefront of solving modern day transportation problems.

“This breakthrough could also hugely contribute to our efforts to reduce our greenhouse gases by 80 per cent by 2050.”

EMISSIONS

EEA: ‘EU emissions falling’The European Environment Agency (EEA) has said that EU policies are delivering on targets of lower greenhouse gas emissions, claiming that the Kyoto target for 2008-2012 has been exceeded and that goals for 2020 are also expected to be ‘over-achieved’.

The organisation recently submitted greenhouse gas emission data for 2012 to the United Nations, showing that emissions for that year were 19.2 below those detected in 1990. The EEA says: “The EU has not only achieved its commitments, it has actually succeeded in reducing its emissions much further. Moreover, this steady downward trend is expected to continue in the second commitment period 2013-2020.

The EEA is also hopeful that reducing emissions can be compatible with economic growth. The period 2008-2012 saw economic contraction of 1.4 per cent in the EU, but a much greater reduction of carbon emissions, which fell by 9.2 per cent.

The organisation says: “According to

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our analyses, economic recession can explain only between 30 and 50 per cent of the GHG reductions in this period.”

EEA executive director Hans Bruyninckx says: “The implementation at national level of the 2009 climate and energy package is expected to significantly reduce emissions further. Potential savings from industrial emissions covered by the EU Emissions Trading System as well as emissions from other sectors covered by the Effort Sharing Decision are immense.

“Looking at the progress we have achieved since 1990, a long-term policy vision at EU level and a series of measures around energy efficiency, climate mitigation and renewables certainly seems to work. Looking forward, it is clear that our future gains will depend on how well we implement the policies and the measures at hand and in mind.”

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tinyurl.com/na8s3se

ALTERNATIVE FUELS

Finland to pioneer wood-based dieselThe Finnish biofore company UPM has announced that it is building a biorefinery in Lappeenranta that will produce a type of renewable diesel called BioVerno. The plant, which is set to begin operating this summer, will be the world’s first commercial wood-based biorefinery, and is expected create 100,000 tonnes of diesel annually, so meeting a quarter of Finland’s renewable energy target for 2020. The fuel will be usable in diesel powered cars, buses and trucks without the need for any modifications.

UPM’s Sari Mannonen said: “During the last few years we have made progress with R&D work and important investments for developing sustainable wood-based biofuels. We are commissioning the Lappeenranta biorefinery this summer.”

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ALTERNATIVE FUELS

ILUC legislationThe EU Energy Council has agreed to set a minimum threshold of seven per cent for existing biofuels, accepting the case made by several member states that attempts to reduce this objective would be harmful to agriculture and the EU economy. The ruling was in response to the Greek presidency’s compromise text on the Proposal to amend the Renewable Energy Directive and the Directive regarding the quality of petrol and diesel fuels. The proposal concerns Indirect Land Use Change (ILUC), where biofuel production from agricultural crops results in production being displaced on to previously uncultivated land.

The European Biodiesel Board (EBB) welcomed the decision, but expressed “strong concern” at attempts in the Proposal to “reward electricity use”: “EU authorities are forgetting that electricity is not an energy source – as biodiesel – but only an energy carrier: since most of electricity is produced from fossil sources, electricity promotion in transport will have no direct impact on promoting renewable energy sources.”

Certain countries had hoped that the threshold would be reduced. UK Energy Secretary Edward Davey said: “The UK has consistently argued for a five per cent cap on the contribution from food-based biofuels and the introduction of ILUC factors and considers it regrettable that the cap on food crops in the Council proposal is as high as seven per cent.”

37 COUNTRIES1 GLOBAL COMMITMENT

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The International Council on Clean Transportation (ICCT) has released a white paper examining the impact that different country’s electric vehicle incentive programmes has on the take-up of electric vehicles. GreenFleet Europe looks at the report

ELECTRIC

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Global

sales of

electric vehicles

has more than

doubled in each of

the past two years,

from 45,000 in

2011 to 200,000

in 2013

Motivated by air pollution and carbon reduction targets, governments around the world are promoting and incentivising consumers and business fleets to move to alternatively-fueled vehicles, with a major push towards electric-powered vehicles. These incentives take the forms of direct subsidies, fiscal incentives and regulatory policy. Vehicle manufacturers are responding by putting more and more electric vehicle models onto the market, with new types emerging, such as plug-in hybrids like the Toyota Prius plug-in, and range-extender plug-in-hybrids, such as the Opel Ampera and Chevrolet Volt. The global sales of electric vehicles have about doubled in each of the past two years, from about 45,000 vehicles sold in 2011 to more than 200,000 in 2013. However, in the context of overall automobile sales, the consumer uptake of electric vehicles has been generally limited to less than one per cent in nearly every major auto market. So in what countries have government incentives driven an uptake in the sales of electric cars? In May 2014, the International Council on Clean Transportation (ICCT) released a white paper looking into the link between government policy and electric

vehicle sales for the years 2012 and 2013.The report evaluates the response to fiscal incentives in 2013 to drive the purchase of plug-in electric vehicles in major vehicle markets around the world. It does so by focusing on two vehicles, the Renault Zoe battery-electric vehicle (BEV), which accounted for about 13 per cent of all EV sales in Europe in 2013, and the Volvo V60 plug-in hybrid electric vehicle (PHEV), which accounted for about 11 per cent of all EV sales in Europe in 2013.

Different marketsMarket shares of electric vehicles vary significantly across the world. Norway has the highest share of electric automobile sales (BEV and PHEV combined), with about six per cent of all passenger cars sold in 2013. The Netherlands has the second-highest market share, with about 5.6 per cent. The structures of the two markets are entirely different, though. While in Norway nearly

all EVs sold are BEVs, in the Netherlands PHEVs clearly account for the majority of the market. The dynamics of the two markets are likewise significantly different: the market share of EVs in Norway doubled from 2012

to 2013, while in the Netherlands it quintupled between 2012 and

2013. The number of BEVs sold in the Netherlands

remained about constant in this time frame, while the PHEV sales numbers exploded.The third-largest market share for electric vehicles is in California,

with about four per cent of passenger car

sales in 2013. About half of those were BEVs, while

the other half were PHEVs. The EV passenger car market share for

the US as a whole was about 1.3 per cent in 2013, a 70 per cent increase over 2012, while in California the number of EVs increased by about 85 per cent between 2012 and 2013. France had a market share of about 0.8 per cent in 2013, almost twice as much as in E

The link between policy and sales

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Volume 2.3 | GREENFLEET EUROPE MAGAZINE 11

2012, with virtually all EV sales being BEVs. Japan showed only a slight increase to about 0.6 per cent in 2013. Sweden had a share of about 0.5 per cent, again nearly twice the share of 2012, with 60 per cent of vehicles being PHEVs. Germany and United Kingdom (UK) had comparably small market shares in 2013 (about 0.2 per cent), but at the same time they (especially Germany) showed a strong increase from 2012 levels (about 105 per cent increase), while Denmark and China had low market shares and at the same time relatively low growth rates of their EV markets.

Comparing country incentivesThere are numerous policy incentives intended to increase sales of EVs, but the ICCT report’s focus was on direct subsidies, fiscal incentives, and fuel cost savings. Direct subsidies are defined in the report as a one-time bonus upon purchase of an EV. Fiscal incentives are defined as a reduced purchase and/or annual tax for EVs. Fuel cost savings are an incentive due to electricity prices being lower than fuel prices as a result of lower taxation and/or lower energy costs, as well as higher efficiency of EVs. In France, within the context of the French Bonus/Malus vehicle taxation system, vehicles emitting less than 20g/km of CO2 receive a

one-time bonus of 7,000 EUR (the amount of the incentive cannot exceed 30 per cent of the vehicle purchase price including value-added tax, or VAT, and battery cost). For vehicles between 21 and 50g/km, such as the Volvo V60 PHEV, the bonus is 5,000 EUR. In the UK, since 2011, customers who purchase a new electric car (a BEV or PHEV emitting less than 75g/km CO2 or a fuel cell vehicle) receive a one-time bonus of 25 per cent of the car, up to a maximum of 5,000 GBP (about 5,800 EUR). In Sweden, since 2012, cars with a CO2 emission of 50g/km and less receive a one-time “super green car premium” of 40,000 SEK (about 4,500 EUR). The programme runs through 2014 and will be paid to a maximum of 5,000 cars. In the US and California, a federal subsidy programme for EVs allows for a one-time bonus, depending on the battery capacity of the vehicle, of up to a maximum of 7,500 USD in form of tax credit. For the Renault Zoe BEV, the bonus would be 7,500 USD (about 5,400 EUR); for the Volvo V60 PHEV, it would be 5,400 USD (about 3,900 EUR). In California, there is another subsidy programme at the state level, granting BEV purchasers another 2,500 USD (about 1,800 EUR) and PHEV 1,500 USD (about 1,100 EUR)

in the form of a one-time bonus payment.In Japan, a government programme has allowed for a one-time bonus for EVs and other qualified fuel-efficient vehicles since 2009. The programme was extended to 2013 with adjustment, and provides a bonus based on the price difference between the EV and a comparable gasoline car. In China, since 2010, a national programme provides a one-time bonus for EVs and fuel cell vehicles. The programme was recently extended from 2013 to 2015, with some revisions. The bonus is between 35,000 and 60,000 RMB (about 4,200–7,200 EUR) for BEVs, depending on the battery range of the vehicle, and 35,000 RMB (about 4,200 EUR) for PHEVs with battery range no less than 50km.

Tax incentivesAll markets studied in the report apply VAT when a vehicle is purchased. The range of tax is between five per cent (Japan) and 25 per cent (Denmark, Norway, Sweden) and usually applies to the base price of vehicle, excluding any purchase/registration tax. Norway is the only market examined which excludes BEVs from VAT. The saving is about 4,500 Euros for the Renault Zoe. The VAT exemption does not apply to PHEVs. In all other markets, EV buyers end up paying more VAT than their conventional counterparts, because EVs usually have a higher base price and are therefore subject to a higher VAT. Some markets examined for the report charge a purchase or registration tax in addition to the VAT, and provide a tax break to EVs. For example, in the Netherlands, registration tax depends on the level of CO2 emission of a vehicle, with higher rates for diesel than for gasoline vehicles. Vehicles with less than 95g/km (gasoline) or 88g/km (diesel) are exempt from the registration tax.

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Norway’s fiscal incentive of about €11,500 per BEV (equivalent to about 55 per cent of vehicle base price) is associated with a six per cent market share for BEV in 2013, and a 90 per cent market share increase from 2012 to 2013

The Renault Zoe battery-electric vehicle (BEV) accounted for 13 per cent of all EV sales in Europe in 2013


Some markets charge an annual vehicle ownership tax, and in so doing, provide a tax break for EVs. In Germany, for example, annual circulation tax is calculated based on CO2 emissions and engine capacity. BEVs and PHEVs are exempt from circulation tax for a period of 10 years from the date of their first registration. However, the savings are relatively small: 20 EUR per year in the case of the Renault Zoe and about 170 EUR per year for the Volvo V60 PHEV. In the Netherlands, the effect is larger. The annual circulation tax is generally based on vehicle weight. However, until end of 2013 all cars emitting less than 111g/km (gasoline) or 96g/km (diesel) of CO2 were exempt from the tax. The annual saving in the case of the Renault Zoe is estimated to be around 380 EUR, in the case of the V60 about 1,900 EUR. The thresholds for tax exemption have been adjusted from January 2014 on, so that only cars with no more than 50g/km of CO2 are still exempt from annual circulation tax.

Company car taxCompany cars are very popular in many European countries. For example, in Germany in 2012, only 38 per cent of new passenger cars were registered by private owners, while 62 per cent were registered as company cars (KBA, 2013). This also includes short-term registrations from car dealers, but still the market share of company cars is quite significant. This is especially true for EVs: in 2012, only 399 new BEVs were registered by private owners, compared with 2,617 new BEVs registered as company cars. The basic idea behind the company car system is as follows: instead of paying a higher salary to its employee, the company offers to provide him/her a car and to pay all related charges, usually including fuel costs. The company can claim the costs for the vehicle and associated charges as business expenditures and is subject to a lower profit tax. The employee, on the other hand, has access to a vehicle that he/she can also use for private trips. In return, the employee has to pay a special company car tax to account for the monetary benefit of having free access to a vehicle. The Netherlands is a good example of the effect that such a system can have on the costs of driving an EV. In the Netherlands, generally 25 per cent of the vehicle’s price will be considered part of the driver’s income and is subject to income tax. In 2013, passenger cars with a CO2 level of no more than 50g/km were excluded from company tax. Cars emitting 51-95g/km (gasoline) or 51-88g/km (diesel) were only subject to a 14 per cent taxable income benefit. The estimated benefits in the case of the Renault Zoe are about 1,100 EUR per year, and in the case of the Volvo V60 PHEV about 4,300 EUR per year, for a time period of five years. From 2014 on, vehicles with 50g/km CO2 and less will no longer be fully exempt from company car taxation.

The value of incentivesNorway levies high taxes on vehicles with internal combustion engines. BEVs are largely exempt from these taxes, and also

benefit from lower electricity costs. As a result, the total cost of ownership (TCO) of the Renault Clio is significantly higher than the actual vehicle base price, while the TCO of the Zoe is only slightly above its base price. The total incentive provided for the BEV is about 11,500 EUR, the highest of all incentives among the markets analysed (for private cars). For PHEVs, the situation is different, as they are not excluded from all taxes. There is still some incentive, but it averages out to close to zero; because of the high tax based on vehicle features (much higher engine power for the V60 PHEV) and high VAT based on vehicle price, the TCO of the V60 diesel-hybrid is higher than that of the V60 diesel. This is a sharp contrast to the incentives on the BEV side. In the Netherlands, both BEVs and PHEVs are excluded from registration and ownership taxes. However, these taxes are largely based on the CO2 emissions of a vehicle. As a result, the tax level for the Renault Clio is not too high anyway, and the tax break offered is not enough to compensate the higher vehicle price and higher VAT of this BEV. The situation is different for the Volvo V60, which has significantly higher CO2 emissions, so the tax break for its PHEV version is much more significant. This effect is even larger for a company car than it is for a private car, as the tax is based on the CO2 emission of the vehicle as well. In total, the incentives provided for the BEV amount to about 1,800 EUR for a private car and 6,100 EUR for a company car, and for the PHEV around 20,900 EUR (private) and 38,300 EUR (company). In France, a one-time bonus helps to reduce TCO for BEVs and, to a lesser extent, for PHEVs. As a result, the TCO for the Renault Zoe BEV is only a little higher than for the Clio. For the V60 PHEV, TCO is lower than for the diesel version if it is a company car. A private owner has to pay slightly higher TCO than if driving the diesel version. In total, France provides incentives of around 8,100 EUR (private) or 8,500 EUR (company) for the BEV, and about 9,100 (private) or 11,800 EUR (company) for the PHEV.

Incentives driving take-upThere are clear differences in the taxation benefits provided for electric vehicles and sales of electric vehicles across the major

vehicle markets. For example, Norway’s fiscal incentive of about 11,500 EUR per BEV (equivalent to about 55 per cent of vehicle base price) is associated with a six per cent market share for BEV in 2013, and a 90 per cent market share increase from 2012 to 2013. Similarly, the fiscal incentive in the Netherlands of about 38,000 EUR for PHEV (equivalent to about 75 per cent of vehicle base price) in 2013 is associated with a five per cent market share for PHEV in 2013, and a 1,900 per cent market share increase from 2012 to 2013. These two examples indicate how national fiscal policy can offer a powerful mechanism to reduce the effective total cost of ownership and entice consumers to purchase electric vehicles. That said, while fiscal incentives matter, they are clearly not the only factor that influences today’s electric vehicle market growth, the report finds. For example, despite a relatively high level of fiscal incentives, the current market share of EV in the United Kingdom (UK) was found to be low in comparison with other markets. The report concludes that many confounding factors mean that a clear direct relationship remains elusive between national fiscal incentives and electric vehicles’ early market growth. This indicates both the limitation of fiscal policy and also the limited understanding of all the underlying factors and other policies that could help drive and sustain the electric vehicle marketplace. As a result, the report says that a more comprehensive study is needed of the full portfolio of policy actions taken to accelerate the early electric vehicle market – and their impact on the effective total cost of ownership. Such a study would investigate the importance of vehicle manufacturer policy (emission standards, electric vehicle requirements), infrastructure (residential equipment, public charging), electric utility actions (time of use charging), and other local policy (reduced rates for toll roads, preferential parking), along with the consumer fiscal policy evaluated here. A more comprehensive and rigorous assessment would help inform the development of a longer-term policy path that is less dependent upon large initial-year taxation incentives. L

ELECTRIC

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FURTHER INFORMATION

www.theicct.org

The Volvo V60 plug-in hybrid electric vehicle (PHEV), accounted for 11 per cent of all EV sales in Europe in 2013


The Finnish technical research organisation VTT’s TransSmart is a vision of a model country for sustainable transport. It throws the spotlight on efficiency – in vehicles, systems, and services. Transport will be a fusion of sustainable energy sources, advanced technology, safety, high service levels, mobility

alternatives and new ways of operating. “Fine-tuning vehicles or developing renewable fuels will simply not be enough in the long run. The entire system

needs revamping. You won’t make the world a better place by

filling Helsinki with electric cars, for example. They take up just as much room as conventional cars running on petrol

Roads in Finland in 2020 will hum to the sound of low-emission vehicles running on renewable energy, electricity, hydrogen and sustainable biofuels. The share of public transport and car pooling in densely populated urban areas will increase, and mobility services will become a viable alternative to buying a private car. The VTT Technical Research Centre of Finland shares its vision

Rethinking mobility in Finland

Electrification

of bus traffic

has already begun,

and by 2020 the

estimate is for more

than 100 electric

buses in the Helsinki

metropolitan

area

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Rethinking mobility in Finland

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or diesel. The ways to achieve change will be through increasing the share of public transport, and rethinking mobility and logistics services to include the views of the people who need the services,” explains VTT’s research professor and TransSmart programme manager Nils-Olof Nylund. Senior scientist Raine Hautala says: “Smart transport solutions create more efficient travel and logistics chains, as well as an overview of the status of the transport system in real-time. The idea is that the travellers will be able to select several service options and to easily combine them into suitable travel chains: private car, on foot, bicycle, bus, taxi, demand responsive transport, carpooling, car and transport joint use, tram, metro, train or aeroplane.

“This would lead to a reduced need for car ownership or for the construction of parking spaces and streets. The crux of the idea is to achieve an increase in the fluency, ease of use and accessibility of travel chains. Service accessibility also covers safe and trouble-free payment.”

Alternative fuelsAn increasing number of new cars in 2020 will run on renewable energy. The growing share of new car sales taken up by electric cars will have reached 10-15 per cent. Rechargeable hybrids will be a particular favourite. Electrification of bus traffic has already begun, and by 2020 the estimate is for more than 100 electric buses in the Helsinki metropolitan area. In addition, new plants producing sustainable biofuels have already come stream line in Finland. A downward turn is now discernible in transport energy consumption. The national target for 20 per cent biofuels in 2020 is met.

Business opportunitiesDRIVE C2X is among the leading smart transport research projects, testing and developing new smart transport services based on data transfer between vehicles. The project, coordinated by Daimler, involves the participation of European research institutes alongside a number of European car manufacturers. The most significant input in the project is supplied by VTT. The Smart Transport Corridor between Helsinki and St. Petersburg will also create new services: for passengers, private motorists and public transport. Development of the VEDIA Multi-Service concept, led by VTT and Vediafi Ltd, will enhance the fluency of traffic across the border between Finland and Russia, while improving transport safety and the travel experience. First to be introduced will be real-time road weather and driving conditions information service, an automatic system issuing bulletins and warnings on traffic disruption, a real-time traffic and congestion information service and a public transport information service. One example of an ITS service offered by public authorities improving traffic safety is the eCall in-vehicle emergency call service, based on the European emergency number 112. VTT has been developing the eCall system in active collaboration with the European Commission, member states, the industry, authorities, and other research institutes. The service will be introduced in EU Member States no later than 2017, when it will become compulsory for all new car and van models.

In the event of a road accident, in-vehicle sensors detect the accident, the eCall system opens an emergency call from the vehicle to the nearest emergency response centre (ERC) and sends the minimum set of data including the vehicle’s exact geographic location. After transmitting the minimum set of data, the in-vehicle system opens a voice connection between the vehicle and the emergency response centre.

Working together towards a goalThe international market for intelligent transport devices has annual growth estimated at about 20 per cent. New smart transport services also give rise to new business opportunities for Finnish enterprises. A current example is the ‘Finnish Road Weather Excellence’ project (Vaisala, Arctic Machine, Foreca, Teconer, VTT), which has demonstrated the sizeable extra market potential of high-level Finnish competence in road weather and winter maintenance. Realising this potential requires our competence to embrace the packaging of devices and technical systems in a way that provides more comprehensive solutions for products and services. Key account manager Karri Rantasila points out that “smart transport is generating a lot of interest, but we need to wait a little before we see the scale on which profitable business begins to materialise for Finland. Companies will need to be capable of developing internationally competitive products and services.” Cooperation among all the key actors in road transport is essential if objectives are to be reached. To this end, the TransSmart spearhead programme, launched and coordinated by VTT, brings all the main players to the same table. The programme aims at a smooth, cost-efficient and environmentally friendly transport system. Participants include the Ministry of Transport and Communications, the Ministry of Employment and the Economy, the Ministry of Finance, the Ministry of the Environment, the administrative branch of the Ministry of Transport and Communications, as well as Tekes, the municipal sector, research institutes and numerous companies. L

www.vtt.fi

FURTHER INFORMATION


CHAdeMO (meaning ‘charge for moving’) – a method of quick charging for electric vehicles – delivers up to 62.5 kilowatts of high-voltage direct current to cars. There are over 3,500 CHAdeMO chargers worldwide, but while many in the car industry see the Japanese charging standard as a welcome addition to charging infrastructures, this is not a view shared by all, and there are

concerns that the European Union is trying to phase it out. Of the best selling electric vehicles in Europe, many are not compatible with the CHAdeMO standard. While some older EVs like the Nissan LEAF and the Mitsubishi i-Miev rely on CHAdeMO charging, the same is not true of Renault’s Twizy

and Kangoo models, the most popular in the EU. The CHAdeMO

standard once dominated

the market but has been outstripped,

The CHAdeMO charging standard was an early market leader for plug-in electric vehicles, but with stiff competition on European roads, its future is uncertain. GreenFleet Europe investigates

CHAdeMO – at risk of becoming obsolete?

Of all the

best-selling

electric vehicles in

Europe, many are not

compatible with

the CHAdeMO

standard

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CHAdeMO – at risk of becoming obsolete?

INFRA

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some claim, by the European CCS combo plug (designed to handle as much as 170kW) and Tesla’s chargers (capable of delivering 120kW), which offer better compatibility with the highest market share EVs in Europe.

Plus and minus pointsThe advantages of CHAdeMo lie mainly in its proven safety record – its manufacturers have spent several years ironing out any bugs that have arisen. It also has a unique locking mechanism preventing drivers from mishandling it. But the negatives outweigh the positives to some. They complain that the CHAdeMO plug is bulky, and its latch doesn’t lend itself to practical use. Competitors like the SAE CCS combo plug are lighter and easier to use, as well as allowing higher currents. And, as mentioned above, the industry just doesn’t seem to be putting its weight behind the older system as it once did, making it seem like a throwback.

European exclusionLast year, the European Parliament issued draft legislation which would have phased out CHAdeMO chargers by 2019. It had previously been decided by the European Commission that the IEC 62196-2 Type 2

would be the target AC charging standard for 1 and 3-phase current. The proposed legislation allowed for a “transition period” when both systems could be used, as the Japanese system is still in use by many electric vehicles. The European Parliament said at the time: “As the Combo technology is not fully ready at the moment and as there are more than 650 CHAdeMO chargers already installed in Europe, with more than 1,000 to be deployed by the end of 2013, it is important to set a time-limited transitional period where both systems can be deployed, with the final objective to find a single standard as indicated in the Commission proposal.“ In the end, the bill did not pass. The CHAdeMO Association issued a statement earlier this year saying: “CHAdeMO Association welcomes the decision by Europe to enforce the dual-standard approach to DC fast charging. By early recognition of ‘multistandard recharging’ and protecting the interest of the first-mover EV drivers as well as Member States, EU has aligned the legislation with the present state of the market and left the door open for future evolutions. “The recital of this directive clearly advocates that existing EVs shall continue to be able to charge, and that the existing infrastructure remain in operation without

retrofitting or any arbitrary ‘transitional period.’ CHAdeMO appreciates this as a clear recognition of the over 1,000 CHAdeMO chargers currently in operation in Europe, servicing 36,000 users every day.”

GermanyAccording to recent claims from industry figures, Germany will not include CHAdeMO quick charging stations in its nationwide charging infrastructure. The country is in the process of rolling out a charging network spanning the country which caters for Type 2 AC and Combined Charging Standard (CCS) DC quick charging, but the European CHAdeMO association says CHAdeMO charging is to be excluded despite an EU agreement made earlier this year to include this type of charge in multi-standard charging stations. This could mean that owners of vehicles such as the Nissan LEAF and Mitsubishi i-Miev will not be able to access rapid charging while driving in Germany. Critics say that the move is an attempt to favour German vehicle manufacturers, as the CCS standard was developed in the country. The organisation behind Germany’s charging network is currently seeking public opinion on the issue of whether or not CHAdeMO should be included.

Into the futureFollowing last year’s attempt at changing the legislation and current threats from the architects of the German charging network, CHAdeMO could be in danger in Europe. However, some progress has been made – Slovakia recently installed fifteen chargers on its roads, and other countries, especially in northern Europe, continue to depend on the Japanese charger plugs. The Japanese charging standard could yet resist its competitors in the coming years. L

www.chademo.com

FURTHER INFORMATION

About CHAdeMOCHAdeMO is the trade name of a quick charging method for battery electric vehicles delivering up to 62.5kW of high-voltage direct current via a special electrical connector. It is proposed as a global industry standard by an association of the same name.

CHAdeMO is an abbreviation of “CHArge de MOve”, equivalent to “charge for moving”. The name is a pun for O cha demo ikaga desuka in Japanese, translating to English as “How about some tea?”, referring to the time it would take to charge a car.

CHAdeMO can charge low-range electric cars in less than half an hour.

The number of CHAdeMO DC Quick chargers installed up to today is 3740: (Japan 1,978; Europe 1117; USA 633; Others 12).

The Combined Charging System (CCS) offer better compatibility with the highest market share EVs in Europe

The Renault Kangoo is one of the most popular EVs in the EUyet doesn’t rely on the CHAdeMO charging system


The Nissan e-NV200 shares several key components with the Leaf including its electric motor, front suspension and parts of its interior. But some 30 per cent of its components are completely new, such as a re-engineered chassis, interior revision, a new battery pack and a higher capacity regenerative braking system. The vehicle is available as a small panel van or a Combi version with a back row of seats, which works well as a taxi.

The Nissan e-NV200 could work well for businesses and taxi firms operating in cities and towns. It has a claimed

range of 106 miles, which should be adequate for city based firms, and the battery can

be recharged in 8 hours using a domestic 16-amp single-phase

3.3kW charger. If the optional 6.6kW/32-amp charger is

fitted, it takes four hours. Alternatively, a

dedicated CHAdeMO DC 50kW quick charger can recharge the battery to 80 per cent capacity in 30 minutes. This

would be a good option for certain businesses to

install as they could charge the van while it is being loaded

or unloaded.The panel van version offers the same

load practicality as a conventional small van.

Following on from the success of the Leaf, Nissan has released an electric version of its NV200 small van, and has already seen some significant business orders. Angela Pisanu takes it for a drive on the streets of Barcelona – the city where it is being made

Nissan’s zero-emission van

The Nissan

e-NV200

shares several key

components with

the Leaf, but 30 per

cent of its parts are

completely

new

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Gross payload of the e-NV200 is 703kg


It has a cargo area which is identical to NV200 at 4.2 cubic metres. It has sliding side doors on both sides and wide opening rear doors, with a top hinged single rear door also an option.

What’s more, the silent motor and lack of tailpipe fumes means deliveries can be made in the dead of night and even inside shopping or business centres without being a disturbance.

Low running costsRunning costs stack up well for the e-NV200. Without engine oil, belts, gearbox or clutch there are fewer parts to be checked or replaced, which makes planned maintenance costs 40 per cent lower. Fuel costs are also significantly lower, with the vehicle costing 2 pence per mile, Nissan claims.

The e-NV200 also reduces some unplanned elements of running a fleet as it has no engine oil to warm up, gears to crunch or clutch to

Nissan’s zero-emission van

GROSS PAYLOAD: 703kg

LOAD VOLUME: 4.2m3

ENGINE: 80kW AC electric motor

ELECTRICITY CONSUMPTION: 165 Wh/km

CO2: 0g/km

RANGE: 106 miles

PRICE (ex-VAT): £16,562.20 (inc VAT, after government grant)

Nissan e-NV200

FIRST DRIV

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slip. As it’s electric, the vehicle is exempt from BIK tax until the end of the 2014/15 financial year and are also VED and London Congestion Charge exempt.

Smooth operatorThe e-NV200 is a pleasure to drive. It’s silent and vibration free, with instant torque from the moment you pull off. It’s incredibly simple to drive as well, with no gears to change – just ‘D’ for drive and ‘R’ for reverse. The reverse camera is a particularly helpful tool as visibility in vans can sometimes be a problem.

Fleet trials and ordersBefore the launch of the e-NV200, Nissan gave pre-production models to a handful of customers to trial, including British Gas. This has resulted in the firm ordering 100 vehicles. What’s more, the city of Barcelona – where the e-NV200s will be made for the global market – will be the first in the world to use the e-NV200 as part of its taxi fleet.

PriceWith the government incentive, the e-NV200 van costs £16,562.20. Take the battery lease option and you’ll pay £13,393 plus £61 per month instead. For the Combi five-seater you’ll pay £22,859 after the grant or with the battery lease option, £17,855 plus £61 per month. L

e-NV200 has bespokeelectric powertrain displays

Prices for the e-NV200 start at £13,393 plus £61 per month battery leasing costs

An e-NV200 ‘Combi’ passenger

version is also available

Recharging can take as little as four hours using an optional 32-amp charger



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Volume 2.3 | GREENFLEET EUROPE MAGAZINE

Ralf Zimmermann and his co-pilot Heiner Sietas from the German team LEMnet beat competitors from six different countries by a nose in their Citroen Saxo electrique in category C2 (below 250 km range). They were the fastest of the six participants in their category, completing the 4,200 km run in 67 hours and 10 minutes. This was an impressive display of performance for a 13 year old vehicle demonstrating the capability of previous generations of EV technology to compete with modern vehicles.

Access to charging infrastructure and the car’s kilowatt input are crucial“It’s all about knowing how to access power. And using a car with high kilowatt charging input!” This was the conclusion drawn by the experienced electric car rally pilots and e-mobility pioneers who claimed these two factors gave them their decisive lead. From the first day they gained one day victory after another, continuously increasing their lead in the overall ranking In this vehicle category with its range of less than 250 km – including series production models such as the Nissan Leaf and Renault ZOE – it was necessary to reduce charging times, which was facilitated by functioning easy access to the infrastructure mains-side and also by higher kilowatt charging input.

Head start thanks to efficient driving of TeslaThe Dutch team Mulder driving a Tesla Model S won in category OC (open category). The team consisting of three generations, with pilot Klaas, his two sons and their 78 year old mother/grandmother scored with its strategy of highly efficient driving combined with as few charging stops as possible. The team gained a decisive lead without charging on the 502 km leg between Amsterdam and Hamburg. This lead remained unchallenged even when other Tesla teams then started to adopt this strategy. The Mulder family’s overall rally time was 56 hours and 11 minutes. Good news for EV driversWerner Hillebrand-Hansen, the organiser of the tour, explains: “Good news for all EV drivers: Once a comprehensive working system becomes established, acceptance for e-mobility will increase even faster. The system should ensure that cars and infrastructure correlate providing effective charging and standardised access to charging points. The provision of standardisation – via a charging card for example – which is not only a national but also a European task, is imperative in order to further e-mobility in an energy transition context.” The Netherlands have an exemplary system,

whereby the main power suppliers offer easy access with a standardised charging card.

667 participants in “1000 EVs in motion!” eventThe “1000 EVs in motion!” event was also assessed positively by Werner Hillebrand-Hansen. A total of 667 participants registered. The fact that their target of 1,000 participants could not quite be reached in this first rally is seen as an incentive. Looking forward and considering the rising popularity of the tour Mr Hillebrand-Hansen said he was convinced that the number will even exceed the target next time. What counts is that people all over Europe welcomed us with open arms. This European election at least has already been won.

Promoting e-mobility in europeAll of the rally participants returned safely to Munich on 26 May 2014 with an additional 4.200 km on their odometers. Only one vehicle broke down in Berlin and was not able to continue due to software problems. eTourEurope represents a movement to profile transnational e-mobility. The aims for 2015 are to overcome distances and promote “more e-mobility” in Europe. L

www.etoureurope.eu/

AD

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Result and appraisal of the eTourEurope: Electromobility has well and truly arrived

Electromobility has arrived in Europe

FURTHER INFORMATION

21

AD

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GreenFleet Europe 2.3