Manufacturers call for technology-neutral approach to net zero
Society of Motor Manufacturers & Traders (SMMT) chief executive Mike Hawes used his opening address at the Commercial Vehicle Show last week to call for a technology-neutral approach to decarbonisation, in the wake of recent government proposals to regulate in furtherance of zero-emission truck targets.
The SMMT is urging the government to ensure HGV operators “have access to every available technology to cut carbon emissions”, citing its latest data which indicates a notable drop in zero-emission HGV adoption in the first quarter of 2026.
The figures show that 0.9 per cent of HGV registrations this year so far have been zero-emission vehicles (ZEVs), down from 1.4 per cent across 2025. According to SMMT, the fall “reflects the nascent nature of the HGV transition, which must accelerate rapidly to meet the UK’s ambition for a fully ZEV market by 2040”.
It warned that, with “significant barriers” to transitioning to ZEVs – including higher upfront costs of vehicles and depot infrastructure, the impact of rising energy prices and a lack of public charging stations – “mandating ZEV-only sales would risk destabilising the market, driving up costs, slowing low carbon fleet renewal, and repeating the challenges faced by the car and van sectors”.
Instead, SMMT suggests, the UK should build on existing HGV CO2 regulation by adopting a 64 per cent reduction target by 2035, and “setting the pathway to full ZEV adoption by 2040”.
“This balanced approach… would allow operators to deploy a range of technologies, supporting fleet renewal and faster emissions cuts, while safeguarding business viability and reducing the impact of these investment requirements on cost of living,” it said.
“Limiting the sector to only ZEVs, meanwhile, would drive up costs for businesses and consumers.
“Even so, a fully ZEV market by 2040 remains an ambitious goal. Substantial market enablers such as the Plug-in Truck Grant and Depot Charging Scheme will be vital throughout the transition and should be expanded to support every HGV segment and use case. The industry also continues to call for a comprehensive national infrastructure strategy, including fast-tracked planning approval for HGV depot upgrades and accelerated rollout of public infrastructure. These measures are essential to ensure operators can transition to zero emissions while keeping the UK economy moving.”
Mike Hawes commented: “The HGV industry is fully committed to decarbonisation, having already delivered zero emission models years ahead of natural demand. But while the goal of net zero by 2050 remains, we need a pathway that is realistic, affordable and delivers CO2 savings now.
“Government regulation must recognise the complexities of this critical market, which are far greater than the car or van sectors, and with so much of our economy dependent on freight, the priority must be to cut carbon in ways that accelerate fleet renewal without driving up costs.”
According to one expert, meanwhile, the road freight industry can only move to zero emissions if the technology can be made accessible to small and medium-sized fleets. That was the message from Dr Daniela Paddeu, associate professor of sustainable freight futures at the University of the West of England to the Zero Emission HGV and Infrastructure Demonstrator Programme Progress Summit in London. She had been funded by Transport Scotland to look at the human side of the transition to zero emissions transport rather than the technology.
Dr Paddeu pointed out that the road transport industry was dominated by small and medium-size enterprises (SMEs). Ninety per cent of hauliers ran less than 10 vehicles, and 40 per cent had just one truck. Many of these enterprises were family-run and had limited investment capital available.
She dubbed them the “invisible majority” who were not currently involved in the “decarbonisation conversation” and raised the hypothetical but typical case of an SME running just five trucks, with one of those driven by the proprietor. They needed to replace one truck. But a new electric truck would cost between two and four times the price of a diesel equivalent, and the finances of the SME were such that they only purchased second or third-hand trucks anyway. The nature of their business made strategic planning difficult. Most such enterprises could plan only week-by-week or day-by-day. They would also be concerned as to whether they could maintain or repair an electric truck.
“Many large operators rely on such SMEs, because transport is highly sub-contracted, but SMEs will struggle to operate electric trucks,” she asserted.
The issue went beyond the acquiring and maintaining the vehicles themselves and extended to the new skills sets that would be required for drivers, technicians, planners and depot managers. The age profile of the industry was such that many felt they would be retired by the time net zero happened, and it was difficult to engage them with it.
“Larger operators can afford to take the risk [of investing in zero- emissions vehicles], smaller operators cannot,” she said.
Paddeu pointed out that the need to report Scope Three carbon emissions was driving larger companies to zero-emissions vehicles but SMEs, who often undertook subcontracted work from the large companies, needed to be involved in the conversation.
“We can build the most perfect electric truck, but if 90 per cent of operators cannot afford to buy one, cannot plan for one, cannot maintain one, the transition does not happen. This is no longer a decarbonisation problem. It becomes a resilience problem. A threat to the entire transport system.”
If SMEs can’t transition to zero emissions, there will be a pattern of uneven fleet renewal, SMEs will exit the industry and there will be greater market concentration with a loss of the flexibility provide by smaller operators, she warned.
“The real bottleneck in the decarbonisation process may not be the trucks, it may be the system needed to adopt it.”
She challenged the industry to: “stop talking only about the technology, but also talk about the humans involved. Build conditions for transition, not just products. Longer contracts, firmer rates and better cost-saving mechanisms must become normal practice.
“Bring SMEs into the conversation. Invest in skills: schedulers, technicians and depot managers will all need training. Design for a just transition. If we sleepwalk into a two-tier system we lose the freight capacity we depend upon.”
