Fleet News

Green grant cuts prompt Government assurance over commitment to alternative fuels

THE Government has acted to bolster confidence in alternative fuels among fleets, amid fears its support for 'green' vehicles could be under threat. A statement reassures fleets that it still supports 'green' moves by fleets and has highlighted Government tax cuts for cleaner fuels.

The bid to reassure the industry follows an announcement earlier this year in a consultation document that subsidies administered by TransportAction PowerShift could be cut.

Currently fleets can apply for grants of up to 75% towards conversion costs to cut emissions. But the proposals suggest new grant levels of 20%, 30% and 50% for the three bands.

The Department for Transport, Local Government and the Regions is analysing responses to a consultation document on how the Powershift scheme could best deliver significant environmental benefits.

But a DTLR spokesman said: 'Support for alternative fuels remains strong, as demonstrated by the reduction in duty on gas fuels announced in the Budget.'

  • Government 'green' scheme Motorvate has also launched case studies on fleets using alternative fuels. For more details, go to the Motorvate website.

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