Multi-million fund for low carbon vans

Cleaner, greener van fleets could be a reality on our roads, thanks to a new Department for Transport fund outlined by Transport Minister Jim Fitzpatrick today.

The programme, which will be worth an initial £20million, will procure lower carbon vehicle models for use in public sector fleets - thereby using the public sector's purchasing power to kickstart the market for lower carbon vans.

Should initial trials be successful, an additional £30million has been earmarked to be used to develop the programme further.

Jim Fitzpatrick said: "Bringing cleaner, greener vehicles onto the market as soon as possible is a priority for the Government, but we want to direct our efforts where they will have the biggest impact in reducing emissions and tackling climate change.

"Vans account for around 15% of carbon emissions from road transport, but currently there are no mass market low carbon models on offer to the UK van buyer - although the technology to create them exists. By using the public sector's considerable purchasing power, we aim to give investors and manufacturers confidence in the existence of a market for lower carbon vans, to encourage them to bring them to market more quickly than they would do otherwise. This could have a big impact in cutting carbon emissions on our roads."

The DfT will shortly issue a competitive tender to appoint a partner organisation with specialist technical and commercial expertise on low carbon vehicles to deliver the programme. The appointment is expected to be made in early 2008.