The Transport Dispatch is our take on what will be important for the global shift to a clean transport future.
Our transport experts regularly share their insights and analysis from the frontline of the EV transition, and you’ll hear from partners and members of our influential EV100 network.
Edition #6 | August 2025
What do the Uk Government's new EV grants really mean for consumers and companies?
In a Transport Dispatch special, Luke Herbert, our Executive Director of International Communications and External Affairs, and Dominic Phinn, Head of Transport, discuss new EV funding announced by the UK Government.
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1) The coming weeks are critical for leading European companies to shape the EU’s planned corporate fleet mandate
Europe is at a pivotal moment in the clean transport transition. In Brussels last month, Climate Group attended a High-Level meeting chaired by the EU Transport Commissioner, Apostolos Tzitzikostas, on the Commission’s proposal of a corporate fleet mandate.
The proposal has game-changing potential.
Members of EV100, our influential network of electric fleet pioneers, have committed to ambitious targets – electrifying light-duty vehicles by 2030, medium-duty by 2035, and heavy-duty by 2040. But to meet these goals, businesses need a clear, stable regulatory framework.
A well-designed EU corporate fleet mandate would ensure all large companies play their part by setting binding targets for fleet decarbonisation. It would provide investment certainty, create a level playing field, and give suppliers and infrastructure providers the confidence to scale – accelerating the overall transition.
To succeed, the shift must be inclusive and comprehensive. That means applying targets equally, supporting small and medium-sized enterprises (SMEs) through mechanisms like the Social Climate Fund, the Commission’s programme to ensure a socially fair transition, and ensuring a sufficient and affordable supply of zero-emission vehicles.
Equally essential will be the full and consistent implementation of the Alternative Fuel Infrastructure Regulation (AFIR), which sets minimum requirements for recharging and refueling stations for electric and hydrogen vehicles, as well as streamlined grid connections and the deployment of Vehicle-to-Grid technologies.
Europe has the opportunity to lead the world in zero-emission transport, but only if it backs ambition with bold and coordinated policy action.
We will continue working with EV100 members in shaping the upcoming legislative proposal on zero emission corporate fleet and make sure that the voice of leading companies is heard. Add your voice to the debate?
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2) In India, proposed fuel efficiency norms for commercial vehicles could provide impetus for EV innovation and manufacturing
Good news comes from India, where the Ministry of Power has released a draft proposal to launch the second phase of its fuel efficiency norms for commercial vehicles. The regulations aim to significantly reduce the fuel consumption of light-duty trucks (by 22%) and intermediate- and heavy-duty trucks (by 30%) over the period 2017-2032.
The proposal includes a system of ‘super-credits’ for manufacturers achieving higher fuel efficiency or using alternative fuels, and penalties for non-compliance.
Light-duty trucks can earn credits if battery-electric, fuel cell, plug-in hybrids, range extenders, or strong hybrids. But in the intermediate and heavy-duty categories, only battery-electric vehicles and hydrogen fuel cell vehicles can qualify. This strong support for electric trucks and buses has great potential to boost EV innovation and manufacturing.
For EV100 members operating in India, the norms will likely mean access to more cost-competitive EVs. The policies are not only meant to reduce emissions but to also increase pressure on automakers to develop and scale more affordable electric models.
Climate Group is engaging with members, shippers, EV manufacturers and tuck operators to build support for the proposal. Help shape India’s clean transport future – take part in the EV consultation, open until 28 August.
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3) In the US, sudden policy changes risk slowing EV adoption – as markets around the world are catching up
What does the recent passing of the One Big Beautiful Bill Act (OBBBA) mean for the EV transition in the US?
The bill, which marks a major policy shift in the United States, scales back key incentives that have underpinned the country’s transition. Consumer tax credits for new and used EVs, as well as fleet and commercial vehicle support, are set to expire by 30 September 2025. Funding for public EV charging infrastructure will also wind down next year.
These sudden policy changes risk slowing EV adoption in the US, the world’s second-largest car market after China, at a critical moment for global climate progress.
Some industrial incentives remain: The Section 45X manufacturing tax credit, which supports domestic production of EV batteries and clean energy components, will continue under tighter restrictions. This could sustain some momentum in US battery supply chain development.
But the broader rollback of EV and clean energy support is already causing uncertainty for investors and manufacturers. As other major economies ramp up EV ambition, the US risks falling behind in the global race to electrify transport.