Electrification Transport

EAI believes that the increased electrification of energy demand in heating, transport, and large industry can make a significant contribution to meeting Ireland’s decarbonisation objectives in a cost-effective manner.  A recent Eurelectric/McKinsey report concludes that an increase in the direct electrification of energy use in EU economies, from the current approximate rate of 20% to a level in a range of 38-60%, could contribute to an overall decarbonisation in the range of 80-95%[1].

Transport

A consensus is developing around the proposition that the significant electrification of transport is key to decarbonising that sector. The National Development Plan includes the commitments that no new non-zero emission cars will be sold in Ireland beyond 2030, and that no NCT Cert will be issued for non-zero emission cars after 2045. It is also planned to transition the bus fleet to low emissions, including electric buses, with no diesel-only buses purchased from 1 July 2019. Ireland aims to have at least 500,000 electric vehicles on the road by 2030.

The EAI/PWC roadmap for the achievement of a cost-effective 92% emission reduction on 1990 levels by 2050, outlines a path to achieve a 94% reduction in emissions from the transport sector.  The Eurelectric/McKinsey roadmap outlines a path to increase the direct electrification of the transport sector, from approx. 1% of energy consumption today, to an average between 29% and 63% by 2050.

A revised version of the Energy Performance of Buildings Directive is expected to be in place in the next year. The new Directive is expected to require that all new and extensively renovated residential buildings with more than ten parking spaces be equipped with the appropriate infrastructure that would enable charging points to be installed in each space.

In order to support the rollout of electric vehicles, EAI believes that building regulations should require new dwellings to be EV ready in line with the anticipated EU legislation.  EAI believes that the best time to address EV requirements is when a building is being built new or is being substantially refurbished. EAI is of the view that the cost of making a dwelling EV ready at the outset should be very low and should be extremely efficient compared to carrying out the work at a later date.

EAI/PWC Private Transport Policy Recommendations

Phase 1: From now to 2025
  1. Produce EV infrastructure investment plan
  2. Introduce further EV/plug-in hybrid tax breaks
  3. Increase VRT on ICE cars (including diesel)
  4. Allow EV partial use of bus lanes and provide free city centre parking
Phase 2: 2025 - 2030
  1. Introduce ICE congestion charging
  2. Create emission free zones in towns/cities
Phase 3: post 2030
  1. Introduce ICE sale ban
  2. Bring in ICE city/urban use ban
EAI/PWC Public Transport Policy Recommendations
  1. Pre-2025: Replace diesel buses with CNG vehicles
  2. Post-2025: Prioritise EV bus fleet
  3. Exchequer/EIB to support bus fleet replacement
  4. Mandate electrification of taxi fleet
  5. Availability of low carbon transport to be a fundamental consideration in the planning process
EAI/PWC Commercial Transport Policy Recommendations
  1. Incentivise transition to CNG
  2. Implement phased increase in diesel and petrol HGV VRT
  3. Introduce supports for biofuel production

 

[1] ‘Decarbonisation Pathways ~ European Economy’ (McKinsey/Eurelectric 2018)