Private Parking Rules To Protect Drivers

Thursday, 14. April 2022

A new code of practice for the private parking sector has been launched following years of campaigning for a fairer system for drivers.

The RAC, which supports the move, says that the new Private Parking Code of Practice outlines minimum standards expected by private parking operators and should root out the more dubious practices that have been prevalent by some operators in the sector.

Furthermore, a new national appeals system will be introduced to make it simpler for drivers to fight charges they believe are unfair.

RAC head of roads policy Nicholas Lyes said: “The RAC has campaigned for years to end the sharp practices in the private parking sector, so we welcome the new national code that will usher in higher standards.

“Alongside this, drivers can expect a lower cap on penalty charge notices, an independent appeals system and an end to rip-off debt collection fees.”

The range of measures announced aim to reduce the maximum parking charge notice to £50 in most cases outside of London, with a 50% discount for early payment. The upper £100 limit for more serious breaches will be kept.

There will be a ban on parking debt collectors from charging additional fees when parking charge notices are not paid and a compulsory 10-minute grace period before firms can issue a late fine along with a compulsory five-minute cooling-off period in which a motorist can consider the terms and conditions, and change their mind about parking.

The code of practice also says that operators must improve standards on signage, conditions of parking and make it clearer on how to appeal a charge.

In addition, it will crackdown on parking firms using aggressive or pseudo-legal language to intimidate motorists into paying fines.

Lyes says that it will and create a much more level playing field, reducing “hassle and stress” while at the same time forcing rogue operators to clean up their acts.

He continued: “Since clamping was banned on private land, there has been a shift to ticketing instead, with the number of parking charge notices being issued rising year-on-year at alarming levels.

“While some of these are justified, others are not and sadly in many cases drivers simply pay up in fear of the consequences, particularly given that follow-up letters can use threatening and intimidating language.”

RAC research found that nearly three-quarters (73%) of drivers wanted the sector to be brought under some form of regulation.

Lyes said: “This package of measures is not about stopping parking operators doing their jobs, it’s about creating a system that is fair and transparent for all.”

The RAC called on the Government and MPs to act after being contacted by drivers who felt the actions of private parking companies were entirely unreasonable.

For instance, the RAC heard of how parking charge notices were issued for, at best, very minor breaches of car park terms and conditions, and, at worst, for reasons that were simply inexplicable.

This ranged from minor keying errors at payment machines to people receiving a charge for overstaying by seconds.

In addition to this, some operators were incentivising third parties by offering them financial incentives for issuing parking charge notices.

In 2017, Sir Greg Knight MP introduced the Parking (Code of Practice) Bill, which received Royal Assent in 2019 with cross-party backing and Government support. By Graham Hill thanks to Fleet News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks

Used Car Market Grows With Record Demand For Used Electric Vehicles

Thursday, 14. April 2022

UK used car transactions grew by 11.5% in 2021, with 7,530,956 units changing hands, according to according new figures from the Society of Motor Manufacturers and Traders (SMMT).

It means that 777,997 more cars changed hands than in 2020, a year which was even more badly affected by lockdowns and unsettled consumer and business confidence, says the automotive trade body.

Despite this growth, the 2021 performance was still 5.5% below the pre-pandemic five-year average.

SMMT’s chief executive, Mike Hawes, said: “It’s good to see the used car market return to growth, even if activity is still below where we were pre-pandemic.

“With the global shortage of semiconductors set to ease later this year, releasing the squeeze on new car supply, we expect more of the latest, cleanest and zero emission models to become available for second owners.

“The demand for personal mobility has undoubtedly increased during the pandemic, so it’s vital we have healthy new car sales to drive fleet renewal and the used car market if we are to improve air quality and address climate change.”

Quarter four rounded off a volatile year for the market, with transactions falling by 3.1% to just over 1.6 million, as semiconductor shortages impacting new car sales in the second half of the year squeezed supply of stock into the used market.

The second quarter was, in fact, the best Q2 on record and, with 2.1 million transactions, the busiest period of the year as the UK emerged from renewed lockdowns.

May was the highpoint with 769,782 cars finding new keepers in the month, while December performance fell by -10.2% as Omicron cases rose and restrictions increased.

Used electric vehicles

Annual demand for battery electric (BEV) and plug-in hybrid electric (PHEVs) vehicles hit record levels, growing by 119.2% and 75.6% to 40,228 and 56,861 transactions respectively.

Hybrid electric vehicle (HEV) transactions also rose by 50.3% to 137,639, a new high. Growth was driven by an increasing number of ultra-low and zero-emission models filtering through to second owners and, combined, these vehicles represented 3.1% of the market.

Used petrol and diesel powertrain transactions, meanwhile, increased by 10.7% and 9.8% respectively, with a combined 7,277,291 units changing hands.

It meant that even with record demand for alternatively fuelled vehicles, 96.6% of all used car sales were still either petrol or diesel models, evidence of how far the market must go to meet zero emission ambitions.

In terms of segment performance, superminis remained the most popular body type during 2021, taking a third of the market (32.7%), followed by lower medium (26.4%) and dual purpose (13.2%), with all segments seeing transactions increase.

Demand for dual purpose cars rose most significantly, up 18.3% with almost a million changing hands.

Richard Peberdy, UK head of automotive at KPMG, said: “As new car production slowed, used car demand rose, as did prices.

“That’s of course good news for those sellers that can find a replacement newer car to buy but presents an additional cost challenge for some consumers whose budgets are being squeezed on a number of fronts.

“As supply chain problems eventually ease, more new cars will be produced, more used cars will enter the market and their prices will begin to level off.”

Breaking the trend of the new car market, where grey reigns as the best-selling colour, black was most popular among used buyers in 2021 with more than 1.6 million black cars finding new owners.

Silver and blue rounded off the top three with 1.28 million and 1.25 million transactions respectively.

At the other end of spectrum, nearly 40,000 yellow used cars changed hands, 20,230 people chose a bronze car and pink trailed in last place, representing nearly 5,000 transactions.

James Fairclough, CEO of AA Cars, said: “Used car sales may have slowed during the final months of 2021, but that can’t take the shine off what was a strong, if volatile, year for the second-hand market.

“Overall second-hand sales in 2021 were up 11.5% compared to 2020, well ahead of the 1% year-on-year increase recorded in new car sales.

“Nevertheless, the lagged impact of the semiconductor shortage which held back the production of new cars for much of 2021 is now starting to be felt in the second-hand market too.

“Fewer nearly-new models are coming onto the used market, and finite supply pegged back used car sales figures in the final months of 2021 – albeit to a lesser extent than the decline seen in new car sales.

“Despite these supply issues, demand remains strong, with thousands of drivers choosing to buy second-hand rather than wait for a new car.”

Chris Evans, head of sales at Heycar, says that used cars prices remain at a record high, with little indication of this changing in the short to medium term.

“We’ve seen the average part exchange value shoot up by 55% in the past twelve months, while the value of leads we send to our dealer network is now 17% higher,” he added.

“As the final coronavirus restrictions are rolled back, it’s likely there will be greater footfall on forecourts. And it might give more buyers the confidence to finally make a purchase they may have put off as a result of the pandemic.

“Yet lack of stock does remain a challenge for both dealers and consumers.”

By Graham Hill thanks to Fleet News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks

Willmott Dixon Wins Grey Fleet Cash Allowance Claim Against HMRC

Thursday, 14. April 2022

Wilmott Dixon has successfully argued that car allowance payments made to its employees were ‘relevant motoring expenditure’ and therefore should qualify for relief from Class 1 National Insurance Contributions (NICs).

HMRC had refused to refund Willmott Dixon for NICs paid from 2004/05 to May 2014 relating to car allowance payments made by the firm.

It argued that the car allowances were earnings and not relevant motoring expenditure, but in what was a landmark ruling for fleets, a First Tier Tribunal (FTT) ruled in favour of Willmott Dixon.

Car allowances at the construction and property firm, which was represented by Innovation Professional Services, were paid to employees based on a grade which was allocated to that employee.

The more senior an employee, the higher the grade. The amount paid did not depend on the number of business miles driven by an employee.

Separate business mileage payments were intended to reimburse an employee for the fuel costs of actual business miles driven.

An employee who was entitled to a car allowance at a certain grade could choose to select a car from a lower grade choice list and be reimbursed the difference in the car allowance for those grades.

Meanwhile, some individuals who drove no business miles were awarded a grade and allowances were paid even when an employee was ill (including long-term sick) or their business miles reduced because, for example, of the pandemic.

The purpose of the car allowance was to ensure that an employee had a properly insured, maintained and reliable motor vehicle available which that employee could use for performing his or her duties as an employee, in other words for business use.

Furthermore, an employee who received the car allowance was obliged to have a fit and proper vehicle for business use. There was no obligation or direction however, on an employee as to how they should spend the car allowance.

While Willmott Dixon anticipated that an employee who had no satisfactory vehicle would spend the allowance, in part, on acquiring one, there was no contractual obligation to do so.

Similarly, once an employee was in possession of a satisfactory vehicle, then Willmott Dixon anticipated that the allowance would be paid on the financing, maintenance and costs of insurance, in other words the ongoing costs of owning a vehicle. But again, there was no contractual or other obligation to do so.

The employee was free to decide on what they spent the car allowance, and it could be spent on something wholly unrelated to the vehicle or its use for business travel.

The court heard that Willmott Dixon undertook a “rigorous analysis” of the underlying data and set the level of the allowances on the basis that an employee who did 10,000 business miles per year would be in the same financial position whether they opted for the car allowance or chose a company car.

An employee receiving a company car could choose whether to continue to take the company car or to switch into the car allowance scheme.

Car allowance payments ‘were earnings’

The FTT had to first decide whether the car allowance payments were earnings for NICs purposes or reimbursements of business expenses.

Given the amount of car allowance paid did not depend on the number of business miles driven by that particular employee, the FTT decided that the car allowance payments were earnings.

However, it decided that the car allowance payments were ‘relevant motoring expenditure’ citing the Court of Appeal decision in favour of Total People (now Cheshire Employment and Skills) almost 10 years ago on a similar matter, while also contradicting a more recent decision involving Laing O’Rourke (LOR).

Laing O’Rourke lost a £2.2 million claim for relief on grey fleet business mileage payments paid to employees at its firm. It had been seen as the first test case following the Total People ruling.

Total People’s long-running legal battle related to an NI refund claim based on the difference between the HMRC 40p per mile (ppm) approved mileage allowance payment (AMAP) rate (now 45p) and the 12ppm paid by the employer plus an additional lump sum paid to the employees for using their private cars on business.

The value of the amount claimed was approximately £146,000 or around £1,000 per employee, which was subsequently paid by HMRC.

Laing O’Rourke argued that its car allowance scheme should also qualify for relief from NICs on payments made to employees.

HMRC said relief did not apply, because the payments could not be defined as relevant motoring expenditure. Judge Tracey Bowler reached a decision last July, ruling in favour of HMRC.

In reaching a decision in the Willmott Dixon case, Judge Nigel Popplewell said: “I totally appreciate that the way in which these payments were made and the amounts of the payments were based not on actual business use but on grades, and those grades, in turn, did not reflect actual business use but seniority.

“A similar arrangement was in place in LOR and this was another reason why Judge Bowler thought that similar payments in that case to the car allowances in this, were not made in respect of use. I respectfully disagree.”

He added: “The evidence shows that in order to receive the allowances an employee was obliged to have a private vehicle available for business use.”

Laing O’Rourke has appealed its FTT decision. HMRC has not said whether it will appeal the court’s decision in the Willmott Dixon case.  By Graham Hill thanks to Fleet News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks

Egg launches subscription-based home EV charging service

Friday, 25. March 2022

Egg has launched a new subscription-based charging offer for drivers of electric vehicles (EVs), which provides a home charger for a fixed monthly fee.

The service costs £30 per month and includes installation and maintenance.

“The reality of buying an electric vehicle is that it involves a lot of research and a considerable upfront cost. EVs are an unknown entity to most drivers and the second-hand market is presently very small, though growing,” said Egg CEO Thomas Newby.

“Installing a home charge point should be the most painless part of the process. Egg’s proposition is simple – one affordable, monthly cost that keeps your car moving and offers complete peace of mind.”  

The launch comes as the government’s Electric Vehicle Homecharge Scheme (EVHS) draws to a close for many homeowners on March 31, 2022. The EVHS grant has now been dropped by the Government. It contributed up to 75% of the cost of installing a home charge point, capped at £350. 

Without EVHS, the average cost of hardware and installation for a fast home charge point is estimated to be in excess of £1,000.

Egg says its monthly subscription ensures that EV owners and drivers can continue to access home-charging without a hefty upfront cost, even after the EVHS scheme has now ended.

Paying monthly offers flexibility for customers – especially those who might be considering a house move, or company car drivers who are personally responsible for the cost of installing a home charger if opting for an EV.

Along with home chargers for electric vehicles, Egg also offers renewable energy solutions for homes and businesses, including solar panels and battery storage. By Graham Hill thanks to Fleet News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks

VAT Discrepancy Between Charging At Home Compared To Charging In Public

Friday, 25. March 2022

A major new national campaign, which is being backed by the RAC, will initially focus its efforts on reducing the VAT paid on public charging by electric vehicle (EV) drivers.

FairCharge says EV owners who are not able to charge at home pay four times more tax for their electricity from public on-street networks.

Currently, VAT on domestic electricity is charged at 5% whereas those using public charge points have to pay 20% VAT.

FairCharge and the RAC believe this is an unnecessary barrier to switching to an electric car for the 38% of people who, according to RAC research, are not able to charge an EV at home as they would have no choice but to rely on the public charging network.

RAC director of EVs, Sarah Winward-Kotecha, said: “There are many issues with public chargers such as cost, availability, reliability, speed of charging and ease of payment, which have the potential to either accelerate or slow down EV adoption depending on how they are handled.

“Our decision to support FairCharge is all about making sure that charging provision in all shapes and forms is both fit for purpose and fair.”

Scrutiny of charging tariffs

FairCharge will also campaign to ensure electricity at public charge points is priced fairly, which it says will help those needing to recharge on longer journeys and will avoid further penalising those who do not have access to home charging.

There will also be scrutiny of charging providers’ domestic and public charging tariffs.

FairCharge, which is spearheaded by automotive journalist Quentin Willson, will also campaign to ensure the UK has: the right EV-related policies for drivers, the environment and the economy; and delivers a future-proofed high-speed public charging network to enable business use of EVs and as many drivers as possible have easy access to a high-speed charger.

It also wants to make buying an EV more affordable by promoting and encouraging low-cost funding options for both new and used EVs so they can be driven by the widest socio-demographic groups possible; and for the Government to assist private charging providers in building extensive and reliable charging networks through a range of support mechanisms.

Furthermore, FairCharge is campaigning for help to educate and inform consumers in all aspects of EV ownership, dispel myths and promote new incentives to hasten the adoption of EVs by both the public and business.

Winward-Kotecha added: “We also know from our research that drivers have concerns about going electric beyond charging, so we are pleased to see that FairCharge will be working to make driving an EV accessible to all as well ensuring the UK economy and society as whole benefit from the transition to electric driving.”

Findings from research for the RAC Report on Motoring 2021 support many of the aims of the FairCharge campaign.

More than half of drivers (53%) say they do not think they would be able to make long journeys as easily as in an electric car as they could in a conventionally fuelled one – an issue that is tied in with the perceived lack of fast and reliable charging infrastructure.

Almost two-thirds (63%) of drivers said that they do not think there are enough public charging points, while seven-in-10 drivers (72%) would want to charge their cars at a public forecourt just as they would a petrol and diesel car.

Willson said: “One of FairCharge’s first missions is to stop those who use public charge points having to pay VAT at 20% in stark contrast to the 5% rate on domestic electricity for those who are fortunate enough to be able to charge at home.

“This isn’t just unfair, it’s a policy mistake that will hinder EV take-up and impact on exactly those who we want to see enjoy the benefits of an EV.”

Yesterday (Tuesday, February 1), FairCharge held a reception at the House of Commons for MPs interested in finding out more about the campaign.

In addition, Willson has started a petition on Change.org calling on the Government to do more to help make EVs affordable for everyone and put in place a national charging network so that drivers can be confident of life with an electric car.

In January, the RAC added a pure EV to its breakdown fleet by putting a Renault Zoe Van E-Tech into service.  By Graham Hill thanks to Fleet News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks

Supermarkets Action A 6p Drop In Pump Prices Immediately After The Spring Statement Announcement

Friday, 25. March 2022

UK supermarkets plan to pass chancellor Rishi Sunak’s fuel duty reduction on to consumers as fuel prices soar in Britain amid geopolitical tensions.

The chancellor announced a cut to fuel duty to combat soaring prices at petrol pumps after Russia’s invasion of Ukraine sent costs even higher.

He revealed a temporary 5p per litre reduction until March 2023, the biggest rate cut on record. The move comes into effect at 6pm on Wednesday.

Asda has said it will slash fuel prices by 6p per litre from 6pm on Wednesday following the 5p cut announced by Sunak in the Spring Statement.

It said in a statement that it will pass the 5p drop in fuel duty “straight on to its customers”. It added that it “will reduce the price at the pumps by 6p per litre which includes a 1p reduction in VAT”.

The supermarket added: “This means that motorists will see unleaded move back below 160ppl and diesel to 170ppl.”

Sainsbury’s (SBRY.L) also said it “will be passing on the price reduction to customers”, cutting the price of a litre by 6p which also includes a 1p reduction in VAT.

The grocery store added that the price reduction would come into effect at all Sainsbury’s forecourts on Wednesday evening.

CEO Simon Roberts said: “Sainsbury’s will continue to sell through stock it purchased while the higher fuel duty was in effect but is lowering the price for customers from tonight, so that they can benefit from the Chancellor’s announcement sooner.”

Meanwhile, Morrisons said it would lower prices by 5p per litre. “Following the chancellor’s announcement regarding the 5p duty reduction on fuel, prices at Morrisons petrol station pumps will reduce by 5 pence at 6pm this evening,” the company said.

The average cost of a litre of petrol at UK forecourts on Tuesday was 167.30p, while diesel was 179.72p, with the cost of filling an average 55-litre family car to hit £100, according to figures from RAC.

Despite Sunak’s cut, industry experts said the move represents just a “drop in the ocean” and doesn’t go far enough to protect drivers as prices soar to unprecedented highs at the pumps.

While the RAC welcomed Sunak’s 5p fuel duty cut it said that this was a “drop in the ocean” and that the reduction would take prices back to where they were just over a week ago.

RAC head of policy Nicholas Lyes said: “With the cut taking effect at 6pm tonight drivers will only notice the difference at the pumps once retailers have bought new fuel in at the lower rate.

“There’s also a very real risk retailers could just absorb some or all of the duty cut themselves by not lowering their prices.

“Temporarily reducing VAT would have been a more progressive way of helping drivers as the tax is applied at the point the fuel is sold.”

Energy giant BP (BP.L) told Yahoo Finance UK that “the 5p fuel duty cut (6p with VAT) will be passed on at its the sites it operates in line with the chancellor’s announcement”.

The move puts pressure on rival Shell (SHEL.L) and other grocers are also facing more calls to follow suit and reduce fuel prices at UK forecourts. Shares in BP and Shell were up 4.9% and 3.6% respectively.

Luke Bosdet fuel price spokesman for the roadside assistance firm AA, welcomed Sainsburys’ and Asda’s announcement but said other large petrol retailers must follow suit. “[We] definitely need the other supermarkets to step up also, and tonight”.

Tesco (TSCO.L), Shell did not respond to requests for comment from Yahoo Finance UK.  By Graham Hill thanks to Yahoo News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks

New Mega-Fast EV Charger Capable Of 1,000kW Charge Launched

Thursday, 17. March 2022

Voltempo has launched a 1,000kW HyperCharging charger which it says will be able to charge the next generation of EVs in as little as six minutes.

The company says the technology is 2.8 times faster than any comparable charging system and is able to charge up to 24 vehicles at the same time.

Designed and built in Britain, the company said the system has been designed around the needs of service stations and fleets, and is suitable for cars, vans, trucks and buses.

The power can come from multiple sources – for instance, combining the national grid with local green energy sources such as solar and battery energy storage.

Michael Boxwell, CEO of Voltempo, said: “Earlier this year, we announced a world first when we carried out a public demonstration in which we designed and installed a prototype battery in an EV and completely charged it in under six minutes.

“Our new HyperCharging system already gives up to 30% faster charging in current EVs through dynamic power management.

“However, the demonstration showed it will be able to charge the next generation of EVs in a similar time that it takes to refuel a conventional, petrol-driven vehicle.”

A demonstration version of HyperCharging can be seen at Voltempo’s Technology Design Centre in Birmingham.

The first installations of the technology will begin in Match with a charging hub that will be installed at the Tyseley Energy Park in Birmingham.

Voltempo said its technology will enable petrol stations to become cost-effective charging hubs.

It said HyperCharge can be installed anywhere, particularly in locations that need to charge a lot of vehicles at the same time, and the technology’s modular system enables it to be installed 70% faster than other charging systems.  By Graham Hill thanks to Fleet News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks

Soaring Energy Prices May Increase New Car Prices

Thursday, 17. March 2022

Soaring energy prices could lead to increases in the price of new cars, SMMT chief executive Mike Hawes has warned.

Vehicle manufacturers are already facing a rise in the cost of materials such as lithium and cobalt, key to electric vehicle production, with some experts expecting this alone to be enough to push vehicle prices up as the car parc increasingly electrifies.

However, Hawes said the cost of energy will become the industry’s most pressing challenge once the ongoing semiconductor supply issue is resolved.

“There is the expectation will improve as the year goes on, particularly in the second half of the year, but there will still be ripples into 2023,” said Hawes, speaking at a media event where it was announced that the number of cars produced in the UK in 2021 fell 6.7% to 859,575 units.

“If the semiconductor issue can be resolved, energy will be the most immediate and pressing challenge as we can see what’s coming down the line in terms of price increases.

“The margins on volume car manufacturers are wafer thin and energy will potentially be going up 50%, 60% or 70%.

“There were vehicle price increases last year and, like any other manufacturing sector, if you’re facing increasing input costs, it is going to pull pricing up.

“But manufacturers will always do everything they can to mitigate those costs, either through investment or reductions in other areas.”

This means EVs could face a pricing double whammy. Typically a battery accounts for around 40% of the cost of making a BEV, with the cost of producing them having fallen by almost 90% in the past 10 years.

Figures from Bloomberg New Energy Finance show the inflation-adjusted price of battery packs for cars was $1,200 per kWh in 2010. This had fallen to $132 last year.

The impact this has on the cost of producing an EV is significant. Assuming a kWh price of $132, it would have cost $6,000 to produce a 50kWh battery last year. In 2010, this would have been $60,000.

Prices of many of the elements used in EV battery production rose sharply in the second half of 2021: for example, battery-grade lithium carbonate rose to a record high of $41,060 per tonne, more than five times higher than last January, cobalt doubled to $70,208, while nickel jumped 15% to $20,045 a tonne.

“We’ve got an ever-increasing reliance upon elements such as nickel, cobalt, lithium, manganese and copper for EV batteries,” said James Nicholson, partner in advanced manufacturing and mobility at EY.

“For a while now, a lot of those commodities have had supressed prices and there’s a strong chance that as demand goes up and these metals become quite scarce, we will see some of those material prices continue to lift.

“That’s going to put a pinch point on the cost of the materials that go into battery cells and that could lift the price to the carmaker and eventually the consumer.”

James Frith, head of energy storage research at Bloomberg New Energy Finance, added: “This creates a tough environment for automakers, particularly those in Europe, which have to increase EV sales in order to meet average fleet emissions standards,” says

“These automakers may now have a choice between reducing their margins or passing costs on, at the risk of putting consumers off purchasing an EV.”  By Graham Hill thanks to Fleet News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks

Legal Protection Proposal For Autonomous Vehicle Users With Blame Passed To Carmakers.

Friday, 11. March 2022

Users of autonomous vehicles should be legally protected in event of a collision, a new report suggests.

The Law Commission of England and Wales and the Scottish Law Commission have published a joint report, making recommendations for the safe and responsible introduction of self-driving vehicles.

Under the Law Commissions’ proposals, when a car is authorised by a regulatory agency as having “self-driving features” and those features are in-use, the person in the driving seat would no longer be responsible for how the car drives. Instead, the company or body that obtained the authorisation – typically the vehicle manufacturer should face regulatory sanctions if anything goes wrong.

The report recommends introducing a new Automated Vehicles Act, to regulate vehicles that can drive themselves and suggests that a clear distinction should be made between features which just assist drivers, such as adaptive cruise control, and those that are self-driving.

Nicholas Paines QC, public law commissioner, said: “We have an unprecedented opportunity to promote public acceptance of automated vehicles with our recommendations on safety assurance and clarify legal liability. We can also make sure accessibility, especially for older and disabled people, is prioritised from the outset.”

Modern vehicles are fitted with many driver assistance systems and the report anticipates that, in future, these features will develop to a point where an automated vehicle will be able to drive itself for at least part of a journey, without a human paying attention to the road. For example, a car may be able to drive itself on a motorway, or a shuttle bus may be able to navigate a particular route.

The report follows a consultation into the legal ramifications of autonomous driving technology.

The Law Commissions recommend a new system of legal accountability once a vehicle is authorised by a regulatory agency as having self-driving features, and a self-driving feature is engaged.

The person in the driving seat would no longer be a driver but a “user-in-charge”. A user-in-charge cannot be prosecuted for offences which arise directly from the driving task. They would have immunity from a wide range of offences – from dangerous driving to exceeding the speed limit or running a red light.

However, the user-in-charge would retain other driver duties, such as carrying insurance, checking loads or ensuring that children wear seat belts.

If the vehicle drives in a way which would be criminal or unsafe if performed by a human driver, an in-use regulator would work with the carmaker to ensure that the matter does not recur. Regulatory sanctions would also be available to the regulator.

In the case of autonomous taxis or minibuses, where there is no driver, any occupants of the vehicle would simply be passengers. Instead of having a ‘user-in-charge’, a licensed operator would be responsible for overseeing the journey.

Matthew Avery, chief research strategy officer at Thatcham Research, an organisation which was part of the consultation for the Law Commissions’ report, said: “The transition to safe introduction of automation with self-driving capabilities is fraught with risk as we enter the early stages of adoption.

Today’s report is a significant step, as it provides important legal recommendations and clarity for the safe deployment of vehicles with self-driving features onto the UK’s roads.

“In the next 12 months, we’re likely to see the first iterations of self-driving features on cars on UK roads.  It’s significant that the Law Commission report highlights driver’s legal obligations and they understand that their vehicle is not yet fully self-driving.  It has self-driving features that, in the near future, will be limited to motorway use at low speeds.

“The driver will need to be available to take back control at any time, won’t be permitted to sleep or use their mobile phones, the vehicle won’t be able to change lanes and if the driver does not take back control, when requested, it will stop in lane on the motorway.  It is critical that early adopters understand these limitations and their legal obligations.”

The report has been laid before Parliament and the Scottish Parliament. It will be for the UK, Scottish and Welsh Governments to decide whether to accept the Commissions’ recommendations and introduce legislation to bring them into effect. By Graham Hill thanks to Fleet News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks

Gridserve EV Charging Price Hike Expected Again Due To ‘Spiralling Costs’

Friday, 11. March 2022

Gridserve is looking to increase its cost of charging again since it increased its cost of charging an electric vehicle (EV) on its network in January, blaming spiralling costs impacting the energy sector.

In January pricing for medium power chargers – typically 60kW – which are primarily located at motorway service areas is increasing from 30p to 39p per kWh with immediate effect.

However, it said that pricing for high power chargers – up to 350kW – located at its newly developed Electric Hubs (of which it currently has 13 in construction), is 45p per kWh.

It is also keeping pricing at 39p per kWh – even for 350kW chargers – at its Electric Forecourts thanks to onsite solar generation and battery storage which gives the company more control over energy and distribution costs.

Gridserve says that it recognises the better the economics are for using EVs versus petrol or diesel, “the quicker people will make the switch”.

It is why the company says it is investing in new solar energy and battery projects which help to protect customers against the type of price hikes and instability that is currently affecting the energy market.

Gridserve says it wants to revolutionise EV charging across the UK, following the acquisition of Ecotricity’s Electric Highway network in June 2021.

It is expecting to open more than 20 ‘electric hubs’, each featuring 6-12 x 350kW ultra high-power electric vehicle (EV) charge points with contactless payment, at motorway service stations across the UK by Q2 2022.

The majority should be installed by the end of March, with a further 50 additional electric hub sites set to follow. 

Two Electric Forecourts situated adjacent to major transport routes and motorways, including a flagship site at Gatwick Airport and Norwich, are also in construction, due to open in 2022.

Several additional Electric Forecourt sites now also have planning permission including Uckfield, Gateshead, Plymouth and Bromborough, with more than 30 additional sites also under development as part of the company’s commitment to deliver over 100 Electric Forecourts.

Gridserve’s price hike follows InstaVolt raising its prices from 40p/kWh to 45p/kWh from December 1, as a result of the increases in the wholesale price of energy.

BP Pulse also increased its prices from December saying that the charging network was “no longer able to absorb the rising costs”. By Graham Hill thanks to Fleet News

Share My Blogs With Others: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • MisterWong
  • Y!GG
  • Webnews
  • Digg
  • del.icio.us
  • StumbleUpon
  • Reddit
  • Alltagz
  • Ask
  • Bloglines
  • Facebook
  • YahooMyWeb
  • Google Bookmarks
  • LinkedIn
  • MySpace
  • TwitThis
  • Squidoo
  • MyShare
  • YahooBuzz
  • De.lirio.us
  • Wikio UK
  • Print
  • Socializer
  • blogmarks