The phrase Ultra-Low Emission Vehicle (ULEV) is one we often use here at Tusker. But what exactly is a ULEV? We take a look at the different types, predict which will be most popular in the future and explore the advantages for your business.
Five types of ULEV explained:
Classed as vehicles that emit 75g/km CO2 or less, there’s a range of technology underpinning low emission vehicles:
Those are the five types of ULEV available on the market today. But what does this mean for the makeup of your fleet?
The UK government’s commitment to a net zero economy by 2050 has placed a significant focus on transport. Which is hardly surprising given that vehicles produce 33% of the UK’s carbon emissions. With company fleets representing 51.8% of new car registrations in 2018, the government is incentivising the take-up of ULEVs via a new tax regime.
From April 2020, cars that emit zero emissions will attract a 0% Benefit-in-Kind (BIK)- down from 16% – helping employees and employers save significant sums on their car benefit. And, as the table below shows, there are also healthy reductions in BIK rates for cars that emit less than 50g/km CO2 and can travel good distances using electricity only.
CO2 g/km | Electric only mileage range | April 2019-2020 BIK rate % | April 2020-2021 BIK Rate | April 2021-2022 BIK Rate | April 2022-2023 BIK rate % |
0 | 16 | 0 | 1 | 2 | |
1-50 | Over 130 miles | 16 | 2 | 2 | 2 |
1-50 | 70-129 | 16 | 5 | 5 | 5 |
1-50 | 40-69 | 16 | 8 | 8 | 8 |
1-50 | 30-39 | 16 | 12 | 12 | 12 |
1-50 | Under 30 | 16 | 14 | 14 | 14 |
51-54 | 19 | 15 | 15 | 15 | |
55-59 | 19 | 16 | 16 | 16 | |
60-64 | 19 | 17 | 17 | 17 | |
65-69 | 19 | 18 | 18 | 18 | |
70-74 | 19 | 19 | 19 | 19 |
Table last updated: 27.12.2019
As you can see, offering EVs to employees at a lower cost than petrol or diesel equivalents will deliver major financial benefits to your organisation and your staff. While helping to reduce everyone’s carbon footprint. According to Deloitte, an employee could experience total cost of ownership savings of 95% of more over a four-year period by opting for an EV over a comparable diesel car.
If cost control and carbon cutting are your end goals, pure electric vehicles offer the best choice. Advanced battery technology means BEVs can typically travel over 250 miles on a single charge. Plenty of energy to cover the average daily distance covered by UK drivers of 10 miles.
EV users tend to complete the vast majority of charging – around 90% – at home or work. And with huge developments in the UK’s rapid charging network, longer journeys are also highly practicable. Drivers report pulling up, plugging in, stretching their legs, grabbing a coffee and eating a sandwich before returning to their car and a battery charged to cover many more miles.
Depending on how open your drivers are to change, they might not be ready to make these slight adjustments to their driving habits. For these people, there are other ULEV options as outlined above.
We understand that this brave new world of innovative car technology isn’t that easy to navigate. Which is why we make it easy for your employees to choose a car based on emissions and energy source. By providing enough information up front, your employees will be informed to make the right decision for them and your organisation.