Dearman calls for scaling back diesel subsidies

London, UK: Prime Minister Theresa May has announced a £106 million spend for green technologies but Dearman say this must include scaling back diesel subsidies.

The PM’s announcement came at the UK’s Zero Emission Vehicle Summit held in Birmingham, The £106 million is funding boost is for research and development in green vehicles, new batteries, and low carbon technology. However, is critical that the Treasury continues to allow low-tax red diesel to be used on the road in urban areas.

Dearman argues that access to cheaper red diesel disincentivises uptake of clean technologies, such as in supermarket delivery trucks. Dearman has encouraged ministers to end red diesel for transport refrigeration, and the Department for Environment, Food and Rural Affairs recently ran a call for evidence to further consider this.

Scott Mac Meekin, chief executive, Dearman, said: “The Zero Emission Vehicle Summit is a fantastic event for government to have organised and the Prime Minister’s attendance underscores the importance of the agenda to her.

“The £106 million that was announced is a boost for the sector but unfortunately it is undermined by government continuing to subsidise cheap red diesel in urban areas for uses such as in transport refrigeration.

“We welcome the red diesel consutation that ministers have run this year, and we hope they will use it to scale back urban red diesel use.”

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