Eurelectric Position Paper : An EU Regulation to Electrify Corporate Fleets

KEY MESSAGES

• As the union of the electricity sector, Eurelectric, welcomes the European Commission’s plans to introduce a legislative proposal by the end of 2025 to accelerate the uptake of zero-emission vehicles (ZEVs) in corporate fleets.

• Suitable demand-side measures are now needed to compliment supply-side legislation, such as the Regulation on CO2 Emission Standards for both, light-duty vehicles (LDVs) and heavy-duty vehicles (HDVs). Whether for decarbonisation, increased accessibility of  EVs, or industrial competitiveness, there is a clear case for binding legislation to push corporate fleets to electrify the mobility sector more systematically.

• Eurelectric advises the EU Commission to propose a regulation in order to provide the greatest legal certainty and quickest implementation. A directive, by contrast, would have delayed market impacts since it relies on the national transposition of each Member State.

• A 100% binding ZEV purchase target should be set for all new corporate cars by 2030, as these fleets should be able to electrify first. For vans and HDVs, binding ZEV purchase targets should be introduced for large fleet owners by 2030, with careful consideration to the operational realities and business models of the different fleet operators.

• The introduction of an EU-level Eco score could help guide corporate purchases toward European-made battery electric vehicles (BEVs) by rewarding production practices aligned with EU environmental and social standards.

• If penalties are enforced on fleet owners for non-compliance with any binding provisions under the Regulation, the resulting revenues should not simply serve the general EU budget. Instead, these funds should be redirected to support demand-side initiatives at the Member State or EU level, such as social leasing schemes or ecological bonuses.

• The EU Commission’s proposal should emphasise the role of national fiscal measures and advise Member States to align their tax systems to favour the switch to BEVs in corporate fleets. The Belgian use case has clearly demonstrated the efficiency and effectiveness of fiscal measures to push the uptake of ZEVs in corporate fleets.