Asked by: Kenny MacAskill (Alba Party - East Lothian)
Question to the Department for Transport:
To ask the Secretary of State for Transport, whether his Department has had recent discussions with HM Treasury on potential fiscal steps to support the road haulage industry with increases in its costs.
Answered by Guy Opperman - Parliamentary Under-Secretary (Department for Transport)
The Department for Transport works with industry stakeholders and across government to address matters impacting the viability of our vital road freight sector. This includes the ministerially chaired Freight Council which brings together senior logistics sector representatives and government officials to consider strategic issues facing the multimodal freight sector, in addition to overseeing delivery of the long-term Future of Freight Plan.
Issues relating to fiscal policy, and its impact on the wider economy, remain a matter for the Chancellor of the Exchequer. Like all taxes, the government keeps HGV Vehicle Excise Duty and the HGV Levy under review.
Asked by: Viscount Waverley (Crossbench - Excepted Hereditary)
Question to the Department for Transport:
To ask His Majesty's Government what assessment they have made of the role hydrogen could play in reducing carbon emissions associated with the logistics sector.
Answered by Baroness Vere of Norbiton - Parliamentary Secretary (HM Treasury)
Hydrogen has an important potential role to play in decarbonising heavier applications such as HGVs. There are specific use cases where hydrogen can offer advantages over batteries, for example where vehicles need longer ranges and more rapid refuelling (longer distance HGVs) or greater energy density. The Zero Emission Road Freight Demonstrator programme will showcase zero emission HGV technologies, including hydrogen fuel cells, at scale, on UK roads. The programme will build a strong evidence base to enable strategic, long-term, national infrastructure decisions to be made.
The Renewable Transport Fuel Obligation (RTFO) supports the supply of renewable hydrogen used in transport by placing obligations on suppliers to ensure a percentage of the fuel supplied in the UK is from renewable sources where it can provide valuable carbon savings. The Government has expanded this support to include not just road vehicles, but also trains and shipping. Fuels supplied under the RTFO scheme deliver a third of domestic transport carbon savings under current carbon budgets.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what assessment he has made with Cabinet colleagues of the potential role of hydrogen in reducing carbon emissions relating to the logistics sector.
Answered by Jesse Norman
Hydrogen has an important potential role to play in decarbonising heavier applications such as HGVs. There are specific use cases where hydrogen can offer advantages over batteries, for example where vehicles need longer ranges and more rapid refuelling (longer distance HGVs) or greater energy density. The Zero Emission Road Freight Demonstrator programme will showcase zero emission HGV technologies, including hydrogen fuel cells, at scale, on UK roads. The programme will build a strong evidence base to enable strategic, long-term, national infrastructure decisions to be made.
The Renewable Transport Fuel Obligation (RTFO) supports the supply of renewable hydrogen used in transport by placing obligations on suppliers to ensure a percentage of the fuel supplied in the UK is from renewable sources where it can provide valuable carbon savings. The Government has expanded this support to include not just road vehicles, but also trains and shipping. Fuels supplied under the RTFO scheme deliver a third of domestic transport carbon savings under current carbon budgets.
Asked by: Viscount Waverley (Crossbench - Excepted Hereditary)
Question to the Department for Transport:
To ask His Majesty's Government what plans, if any, they have for a successor to the Freight Innovation Fund for 2024 onwards.
Answered by Baroness Vere of Norbiton - Parliamentary Secretary (HM Treasury)
The Government has facilitated and will continue to facilitate the trial of innovation in logistics, including innovative logistics vehicles.
The Zero Emission Road Freight Demonstrator (ZERFD) programme will demonstrate hundreds of zero emission HGVs across multiple technologies, alongside their associated refuelling and recharging infrastructure, on UK roads over the coming years. It will identify how each technology can best be used to decarbonise the heaviest HGVs.
The Government conducted an extensive trial of longer semi-trailer HGVs. This trial demonstrated that these vehicles, which are often built in the UK, can be used safely and provide significant benefits in improving efficiency and reducing greenhouse gas emissions. The Road Vehicles (Authorisation of Special Types) (General) (Amendment) Order 2023 has been laid to enter into force on 31st May 2023 to enable these vehicles to be used outside the trial, their use having been proven in the trial.
On a smaller scale the Government has recently awarded nine SMEs Freight Innovation Fund grants to trial innovative freight solutions to support decarbonisation. The successful SMEs have partnered with larger businesses to run trials at scale and include drone delivery of mail in the Orkneys and e-cargo bikes in London. The £7m Freight Innovation Fund will run for three years, concluding in 2025. The Government will evaluate the effectiveness of the fund before taking any decisions on any successor programme.
Trials of innovative logistics vehicles have continued in the UK irrespective of any delay to legislation.
Asked by: Viscount Waverley (Crossbench - Excepted Hereditary)
Question to the Department for Transport:
To ask His Majesty's Government what assessment they have made of the impact on the ability to trial innovative logistics vehicles in the UK resulting from delaying the introduction of the Transport Bill mentioned in the Queen’s Speech on 10 May 2022.
Answered by Baroness Vere of Norbiton - Parliamentary Secretary (HM Treasury)
The Government has facilitated and will continue to facilitate the trial of innovation in logistics, including innovative logistics vehicles.
The Zero Emission Road Freight Demonstrator (ZERFD) programme will demonstrate hundreds of zero emission HGVs across multiple technologies, alongside their associated refuelling and recharging infrastructure, on UK roads over the coming years. It will identify how each technology can best be used to decarbonise the heaviest HGVs.
The Government conducted an extensive trial of longer semi-trailer HGVs. This trial demonstrated that these vehicles, which are often built in the UK, can be used safely and provide significant benefits in improving efficiency and reducing greenhouse gas emissions. The Road Vehicles (Authorisation of Special Types) (General) (Amendment) Order 2023 has been laid to enter into force on 31st May 2023 to enable these vehicles to be used outside the trial, their use having been proven in the trial.
On a smaller scale the Government has recently awarded nine SMEs Freight Innovation Fund grants to trial innovative freight solutions to support decarbonisation. The successful SMEs have partnered with larger businesses to run trials at scale and include drone delivery of mail in the Orkneys and e-cargo bikes in London. The £7m Freight Innovation Fund will run for three years, concluding in 2025. The Government will evaluate the effectiveness of the fund before taking any decisions on any successor programme.
Trials of innovative logistics vehicles have continued in the UK irrespective of any delay to legislation.
Asked by: Viscount Waverley (Crossbench - Excepted Hereditary)
Question to the Department for Transport:
To ask His Majesty's Government what assessment they have made of the impact on the ability to trial innovative logistics vehicles in the UK of the UK’s current planning and regulatory systems.
Answered by Baroness Vere of Norbiton - Parliamentary Secretary (HM Treasury)
The Government has facilitated and will continue to facilitate the trial of innovation in logistics, including innovative logistics vehicles.
The Zero Emission Road Freight Demonstrator (ZERFD) programme will demonstrate hundreds of zero emission HGVs across multiple technologies, alongside their associated refuelling and recharging infrastructure, on UK roads over the coming years. It will identify how each technology can best be used to decarbonise the heaviest HGVs.
The Government conducted an extensive trial of longer semi-trailer HGVs. This trial demonstrated that these vehicles, which are often built in the UK, can be used safely and provide significant benefits in improving efficiency and reducing greenhouse gas emissions. The Road Vehicles (Authorisation of Special Types) (General) (Amendment) Order 2023 has been laid to enter into force on 31st May 2023 to enable these vehicles to be used outside the trial, their use having been proven in the trial.
On a smaller scale the Government has recently awarded nine SMEs Freight Innovation Fund grants to trial innovative freight solutions to support decarbonisation. The successful SMEs have partnered with larger businesses to run trials at scale and include drone delivery of mail in the Orkneys and e-cargo bikes in London. The £7m Freight Innovation Fund will run for three years, concluding in 2025. The Government will evaluate the effectiveness of the fund before taking any decisions on any successor programme.
Trials of innovative logistics vehicles have continued in the UK irrespective of any delay to legislation.
Asked by: Viscount Waverley (Crossbench - Excepted Hereditary)
Question to the Department for Transport:
To ask His Majesty's Government what assessment they have made of the impact of the quality of roads maintenance on (1) the logistics network’s efficiency, (2) the logistics network’s emissions, (3) the efficiency and productivity of UK businesses, and (4) the UK’s trade capacity.
Answered by Baroness Vere of Norbiton - Parliamentary Secretary (HM Treasury)
On the Strategic Road Network, the needs of freight and logistics and its customers is considered by National Highways as it prioritises, plans, communicates, and delivers maintenance and renewals on the network. This includes establishing the optimal time to undertake work to minimize the disruption to road users of work on the network and provide corridor-level resilience.
Asked by: Viscount Waverley (Crossbench - Excepted Hereditary)
Question to the Department for Transport:
To ask His Majesty's Government what forecast they have made of the logistics infrastructure investment required over the next 30 years to support (1) UK business growth, (2) freight transport capacity growth, (3) freight transport decarbonisation, and (4) communities.
Answered by Baroness Vere of Norbiton - Parliamentary Secretary (HM Treasury)
The Government has not made an economy wide needs assessment for logistics infrastructure, such as warehouse and freight interchanges. The current and forecast needs of the road and rail freight sectors inform the prioritisation and delivery of the Roads Investment Strategy (RIS) and the Rail Network Enhancements Programme (RNEP).
Asked by: Tracey Crouch (Conservative - Chatham and Aylesford)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he has made any assessment of the potential merits of issuing a 15p per litre rebate on fuel duty for (a) road freight, (b) coach and (c) logistics operators.
Answered by James Cartlidge - Minister of State (Ministry of Defence)
At Spring Statement 2022, in response to high fuel prices, the Government introduced a temporary 12-month cut to duty on petrol and diesel of 5p per litre.
This represents a tax cut worth around £2.4 billion in 2022-23, benefiting anyone who consumes fuel across the UK – including the road haulage, logistics and coach sectors. As a result, the average haulier will save £1500 in 2022-23 on average.
All taxes remain under review and the Chancellor will confirm policy in the Budget, as was the case in previous years.
Asked by: Priti Patel (Conservative - Witham)
Question to the Department for Transport:
To ask the Secretary of State for Transport, whether he has made an assessment of the potential impact of the proposed expansion of the Ultra-Low Emission Zone in London on (a) freight and logistics businesses based outside of London, (b) businesses based outside of London and (c) commuters based outside of London who drive into London.
Answered by Richard Holden - Minister without Portfolio (Cabinet Office)
Transport in London is devolved to the Mayor of London and this includes decisions on road schemes which charge users including the Ultra-Low EmissionZone(ULEZ).
It is for the Mayor to determine the impact on all people and firms that do business in the capital, wherever they are based. This includes the impact on freight and logistics businesses, other businesses, and commuters who need to drive into Greater London as part of his impact assessment on the expansion
ULEZ expansion was not the Government’s decision and the Mayor had no legal obligation to consult local or central Government.
As a scheme that applies in London, this is the Mayor’s decision, and he is accountable for the impact of it.
The Government have been clear that grant funding, via the longer-term funding settlement, cannot be used to cover the estimated £250 million cost of implementation.
The Mayor and TfL must cover the cost of his scheme through alternative sources available to them if they wish to proceed with imposing the ULEZ charge.