Automated and Electric Vehicles Bill

Debate between John Hayes and Cheryl Gillan

2nd reading: House of Commons & Ways and Means resolution: House of Commons
Monday 23rd October 2017 Commons Chamber

[Mr Hayes]

We explored that a bit with the industry in the witness sessions on the previous Bill. As Members know, we introduced the Bill and we gave it a Second Reading and a Committee stage—a very good one, actually—as part of which we took evidence from the insurance industry. The Bill that we are considering is very similar to the previous one, which, as a result of the general election, did not proceed.

My guess is that initially, as the marketplace develops and new products emerge, prices will be much as they are now; but that as the record becomes established and insurers’ calculations about the likelihood of claims are affected by the greater safety provided by autonomous vehicles, prices may well fall. That is, in the end, a matter for insurers. It is not something that the Government can stipulate, dictate or even, with any certainty, predict. Following on from the intervention by the hon. Member for Eltham (Clive Efford), it seems to me that if the safety of autonomous vehicles means fewer accidents, insurers will find that out. As they do so, the ability to insure a vehicle will grow and the price of doing so will fall. That is, as I say, a matter for the future and not for now.

[Mrs Cheryl Gillan (Chesham and Amersham) (Con)]

It is very apposite that we are discussing this Bill on the day that the T charge—the toxicity charge—has come in for London, which will take the cost of coming into London to over £20 for people driving cars of a certain age. However, it also brings to mind the fact that there are already incentives on the statute book to encourage people to buy electric cars. As the Minister is in such an expansive mood, will he tell us what representations he has made to the Treasury about offering even greater incentives so that we can ensure the take-up of electric vehicles is even more rapid?

[Mr Hayes]

In the end, these are of course matters for the Mayor, and the Mayor must come to his own judgment. My own view is that it should be called the K charge, for the Khan charge, or perhaps the M charge, for the Mayor’s charge, so that people know exactly why it is being levied. Frankly, I have some doubts about the effect it may have on less well-off drivers and families. I take the view that we need to strike a balance between, on the one hand, being ambitious in respect of clean air—we have set out our plans, which I was involved in drawing up—and, on the other hand, disadvantaging many people who own older diesel or perhaps petrol vehicles, who will be affected by the charge. It is not progressive, after all, to say that everyone, regardless of their circumstances and regardless of who they are, what they are doing and where they are working, should pay the charge. I have some doubts about it, but in the end it is a matter for the Mayor, and he will be answerable for his own K charge.

Let me move on to the substance of what we are trying to do. In practice, we have long since moved beyond the question of whether road transport will be electrified. It is now irrefragable that that will occur. The question now is when—not whether—and at what pace. For many manufacturers in the UK, the answer to that question is, frankly, now. For Nissan, it means the second generation of its best-selling Leaf, capable of about 200 emission-free miles between charges, which is being built in Sunderland. For BMW, it means the introduction of an all-electric version of the Mini to be built in Oxford from 2019. For Jaguar Land Rover, it means the introduction of the world’s first electric premium sport utility vehicle, the I-Pace, coming next year, with every single Jaguar Land Rover vehicle being electrified from 2020. Just those examples alone show that British-made electric vehicles are increasingly competitive around the world, but if we are to keep that leading edge into the next decade, we need the UK’s charging infrastructure to keep improving.

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[Mr Hayes]

That is a very good point. I mentioned interoperability a few seconds ago. There is a tendency with new technology for a series of parallel systems to develop. We know that from the development, following the invention of the microchip, of the information technology industry, of which I was a part. It is very important indeed to have greater interoperability and standardisation over time, and certainly for charge points to have a similar look and feel. At the moment, we are not quite in that place, but we can be and I think we need to be. [Interruption.] I can see the shadow Secretary of State for Transport smiling. He thinks that I am going to talk about the Hayes hook-ups. I read his mind—we must know each other too well. I will come to that point shortly.

[Mrs Gillan]

While my right hon. Friend is looking at the infrastructure for charging electric vehicles, which is obviously one of the most important matters, will he bear in mind the rural areas of our country, because their access to the grid will be limited and that will be exacerbated by a rapid roll-out of electric cars? Will he consider encouraging solar car ports and canopies to help to address those rural grid issues while he is looking at charging points for motorway service stations, coffee shops, retail outlets and so on? I think that that is a significant issue because the rural community is always being left behind and it could be ahead of the curve if he incentivises solar car ports and canopies.

[Mr Hayes]

My right hon. Friend makes a bold case on behalf of rural places. Given that I represent Holbeach Marsh, Gedney Drove End, Sutton St James, Tydd St Mary and many other glorious places that can only be described as essentially rural—in fact I represent one of the most rural constituencies in the country—she would hardly expect me to neglect the interests of those who live there. We will do our utmost to ensure that they are not disadvantaged by any of the changes that are part of the Bill or any of the things tangential to it.

As I said, the Bill contains several new powers to seed more charge points across our kingdom. I have talked about common technical standards, but we must go further. There are already charging points at virtually all motorway service areas. Just last week, Shell chose the UK as the first market in which to roll out its forecourt rapid chargers, the first 10 of which will be operational by the end of the year. We may not have to use the powers in the Bill if industry progress continues at this pace.