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Canadian Legislative Issues

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The federal government has announced its plans to develop a national strategy to increase the number of zero-emission vehicles (ZEVS) on the road in Canada. Jointly announced by the Ministers of Transport and Innovation, Science, and Economic Development, the next year will be characterized by the establishment of working groups from federal and provincial government levels as well as industry stakeholders to inform a strategy to be implemented beginning in 2018. NAFA is among the industry stakeholders taking part, in order to ensure that the voice of fleet managers is heard as the ZEV strategy is developed.

As part of the recently-announced strategy, a national Advisory Group has been established to provide policy input in five areas: vehicle supply, cost and benefits of ownership, infrastructure readiness, public awareness, and clean growth and clean jobs.

At this time it is hard to predict the eventual direction of the government in this area of policy. Industry groups are mostly against the idea of a so-called ZEV mandate – legislating a minimum level of ZEV sales in the marketplace, as the Quebec government has done – and as yet there is no indication that the federal government will move in this direction. However environmental advocates are more favorable to the idea of legislated sales minimums, which will also inform the government’s approach moving forward.

A more likely approach would be a greater and more generous suite of ZEV rebates and incentives, federal funding of further charging and other required infrastructure, and a public awareness campaign aimed and increasing consumer knowledge and therefore demand for ZEVS in the Canadian marketplace. Particularly for fleet managers, there could be opportunities to upgrade fleets by taking advantage of any federal incentive programs that may come out of the current strategy out of Ottawa. But for now, this early in the process, it is too early to tell what precisely the shape of the strategy will be.

But look for a federal ZEV strategy with some teeth to be launched next year, as the government seeks ways to reduce its greenhouse gas emissions under the Paris Accord.
 

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