New vision for taxi and private hire services in the Capital

Transport for London, Windsor House, 42-50 Victoria Street, London SW1H 0TL, enquire@tfl.gov.uk

£65m funding available to taxi drivers to upgrade to the next generation of zero emission capable taxis and remove the oldest vehicles from the fleet

Transport for London (TfL) has launched a consultation on proposed changes to taxi and private hire vehicle licensing ahead of the Ultra Low Emission Zone (ULEZ), which will be introduced in central London in 2020.

The consultation contains two key proposals. The first proposal is that, from 1 January 2018, all newly licensed taxis - and new Private Hire Vehicles (PHVs) - must be Zero Emission Capable (ZEC). The proposals will be supported by a £65m fund, secured by the Mayor, to encourage the take up of new vehicles that will make the Capital's taxi fleet the cleanest and greenest in the world. The fund comprises of two parts; to help drivers upgrade to the next generation of zero emission capable taxis and to 'decommission' the oldest vehicles from the fleet.

A ZEC taxi is considered to be a pure electric or hybrid vehicle capable of running in zero emission (at tailpipe) mode for all or part of the time (maximum 50g/km CO2 and minimum range of 30 miles). TfL is working with a number of manufacturers and is confident that ZEC taxis will be available for sale from 2017, well ahead of the proposed requirement in 2018. With the number of manufacturers involved, the market is set to grow and so give cabbies unprecedented choice in selecting their vehicles. As part of the proposal, funding would be made available to enable up to £8,000 in grants for cabbies wishing to buy ZEC taxis (a £3,000 'top-up' to the £5,000 OLEV plug-in car grant).

Following discussions between the Mayor, TfL and the trades, private hire vehicles (PHVs) would still be required to be ZEC (i.e. plug-in hybrid or better), however, the Mayor is proposing to align the PHV ZEC criteria to match that of the Government's Plug-in Car Grant criteria. This will allow a greater choice of vehicles, including popular models such as the Toyota Prius and Mercedes-Benz S-class. Private Hire drivers purchasing these vehicles are currently eligible for up to £5,000 plug-in car grants from the Government.

Whilst the new ZEC PHV criteria will allow a greater choice of vehicles, at present there are no suitable models in the marketplace that can be licensed to carry six or more passengers (although some full electric vehicles exist). Therefore, TfL is proposing a two year sunset period exemption from the ZEC requirement for PHVs licensed to carry six or more passengers until 2020.

The specifications for ZEC taxis and PHVs will be confirmed once the final licensing requirements have been agreed.

The second proposal is to retain the existing 15 year age limit for all taxis and to encourage retirement of the oldest most polluting taxis through a voluntary decommissioning scheme. From 2017, drivers of taxis over 10 years old would be able to claim up to an additional £5,000, with the precise amount depending on the age of their vehicle. This is intended to reflect the current challenges facing the trade while tackling London's air quality in the most effective and sustainable way‎.

Garrett Emmerson, TfL's Chief Operating Officer for Surface Transport, said: `The service provided by the taxi and private hire trades is a core ingredient to London's position as a world-leading city and we are pleased to consult on this package of changes. The Ultra Low Emission Zone will deliver significant improvements to air quality in the capital and its effects will be felt ahead of 2020. Indeed, we believe the £65m fund will encourage the uptake of cleaner, greener taxis well ahead of the 2020 deadline.'

In March, following a positive consultation process, the Mayor of London, Boris Johnson, confirmed that the world's first Ultra Low Emission Zone will be launched in central London on 7 September 2020, significantly improving air quality and helping to protect the health of Londoners. It will require vehicles travelling in the Congestion Charge Zone of central London to meet new emission standards 24 hours a day, seven days a week or pay a daily charge.

By 2020, TfL is committed to ensuring all 300 single decker buses operating in the ULEZ are zero emission (e.g. electric), and all 3,000 double deck buses will be hybrid including 800 of the Mayor's New Routemasters. In addition, we are now proposing the retrofitting of 400 Euro V buses that operate outside the ULEZ to bring them up to Euro VI emission standards, delivering air quality benefits well ahead of 2020.

With the new proposals, the overall ULEZ package is projected to nearly halve emissions of nitrogen oxide (NOx) from vehicle exhausts in central London. This means more than 80% of central London is expected to meet the NO2 annual legal limits in 2020. The ULEZ would also lead to significant reduction in the number of people living in areas of poor air quality (where levels of NO2 exceed legal limits) - by 72% in central London and 54% London wide.

The consultation, which will run for 6 weeks from today until Tuesday 11 August, will be available online at tfl.gov.uk/ultra-low-emission-consult

https://tfl.gov.uk/info-for/media/press-releases/2015/new-vision-for-cleaner-greener-taxi-and-private-hire-services-in-the-capital