Source: Transport & Environment, 2020-09-01
In July 2020, European leaders have agreed on a historic EU financial deal to boost the European economy after the COVID-19 crisis. The new Recovery and Resilience Facility (RRF), as well as the negotiations on the new Multiannual Financial Framework (MFF) offer a unique financial opportunity to enable the decarbonisation of the road freight sector and the deployment of zero-emission trucks (ZET).
This briefing looks into how financial instruments can support zero-emission trucks, and in particular battery electric trucks that will be the first ones coming into the market. There are two existing instruments: the CEF Blending Facility and the CEF Debt Instrument - the latter will be incorporated in Invest EU in the next MFF -, and there will be the RRF. These should provide the right incentives for electric trucks, notably taking into account the increased upfront capital cost of these vehicles and the fact that 99% of road transport companies are SMEs with low-margins.