Green push: Under zero-emission vehicle mandate, automakers must increase share of electric cars they sell
Imposing electric car quotas on manufacturers risks creating “volatility and disruption” in the market, the boss of one of Britain’s biggest dealerships has warned.
That could mean higher prices as companies reduce supplies of gasoline and diesel vehicles to meet targets and avoid fines, said Vertu Chief Executive Robert Forrester.
Under the zero-emission vehicle mandate, automakers must increase the proportion of electric vehicles they sell. This year, 22 percent must be electric, rising to 80 percent in 2030 and 100 percent in 2035.
But weak demand is making it difficult for them to do so.
Forrester said: “With the threat of significant fines on manufacturers for failing to meet targets, the risk of potential market volatility later in the year and in the medium term is high.”
He echoed warnings from Ford and Stellantis that they could slow sales of gasoline and diesel cars.
Vertu reported an 18 per cent rise in annual revenue to £4.8bn for the year to February 29. Profits rose 6 per cent to £35m.
