ZEVTC’s 2023

Action Plan

Background

A rapid global transition to zero emission vehicles (ZEV) is vital to meet the goals of the Paris Agreement.

A rapid global transition to zero emission vehicles (ZEV) is vital to meet the goals of the Paris Agreement. Cars, vans, buses and trucks account for 21% of global anthropogenic CO2 emissions, and the total emissions are rising faster than any other sector. We must continue to increase the pace of the global transition to meet our Paris Agreement goals, keep the goal of 1.5 degrees within reach and deliver the Road Transport Breakthrough 2030 goal – ‘to make zero emission vehicles the new normal by making them affordable, accessible, and sustainable in all regions by 2030’.

An accelerated ZEV transition creates opportunities for jobs and growth, increases air quality, improves public health, and helps balance electricity grids as we make the transition to clean power. Crucially, an accelerated transition will reduce dependence on oil, an insecure, expensive and volatile commodity, thereby boosting energy security. Since road transport is the single biggest source of oil consumption globally, an accelerated transition is vital.

The Zero Emission Vehicles Transition Council (ZEVTC) was formed in November 2020, as the world’s first strategic forum through which ministers and government representatives from some of the world’s largest and most progressive automotive markets – collectively accounting for more than half of all new car sales globally – meet to collaborate to accelerate the pace of the global transition to zero emission vehicles.

Progress in 2022

Over the course of the past year, the global ZEV transition has continued to accelerate.

  • The global fleet of passenger EVs keeps growing – 59% per year on average since 2015 – and cumulative global sales of EVs reached over 21 million by June 2022.
  • The adoption of electric vehicles and fuel cell vehicles are expected to avoid almost 1.7 million barrels of oil per day in 2022 (about 3.8% of total demand), up from 1.5 million barrels per day in 2021.
  • Leading automakers active in ZEVTC countries achieved 2.5 million in EV sales in the first half of 2022, a 34% increase compared to the first half of 2021.

Throughout 2022, the ZEVTC has supported this progress by working together to overcome shared challenges to accelerate the global ZEV transition as set out in our 2022 Action Plan published at COP26.

Since COP26, we have:

  • Reviewed and shared analysis on the scale of global charging infrastructure needed to meet an accelerated ZEV transition, and discussed how to coordinate actions to accelerate the deployment of equitable charging infrastructure globally;
  • Shared best practice through workshops on GHG and fuel efficiency standards and regulations to support domestic policy makers design and shape their policies;
  • Discussed the pace of the transition and technology options for the transition to zero emission heavy duty vehicles, supported by expert analysis, and reviewed policy options to support deployment through a dialogue with industry;
  • Tracked country progress on the ZEV transition through dashboard updates by Bloomberg New Energy Finance and through policy updates on the ZEVTC website by ICCT.
  • Presented on supply chains through workshops on Global Cooperation on Automotive Circularity;
  • Explored how to support a global transition so that no country or community is left behind through discussions with Emerging Markets and Developing Economies (EMDEs) via the ZEV Regional Dialogues, and with government officials, multilateral development banks, international organisations and others, and produced original research via the work of the International Assistance Taskforce;
  • Actively supported the Road Transport Breakthrough dialogues to identify the most urgent priorities for coordinated international action to speed up the ZEV transition, feeding into the Breakthrough Report’s recommendations (from the IEA, IRENA and UN High Level Action Champions) which we welcome; and

2023 Dynamic Action Plan

However, the ZEV transition must go further and faster if we are to achieve our Paris goals and keep 1.5 degrees within reach, as well as seize the huge economic, health and energy security opportunities for all from an accelerated ZEV transition. So, building upon the recommendations in the Breakthrough Agenda Report 2022, and as a contribution to delivering the Road Transport Breakthrough Action Plan, and building upon the 2022 ZEVTC Action Plan, in 2023 we will focus our ZEVTC efforts on the priority areas below.

The Action Plan is a working document which will be revisited on an as-needed basis:

Fleets

Vehicle fleets owned and operated by the public and the commercial sector make up a sizeable portion of vehicles on the road today. With considerations of economies of scale and total cost of ownership, fleet transition to EVs could have a disproportionate impact on the ZEV transition.

This new workstream will consider analysis and insights from multiple stakeholders, including industry, to explore the topic of fleet transition for both light and heavy-duty vehicles. The scope will cover both the role that fleets will play in accelerating the ZEV transition and how government policy and international cooperation can support the deployment of ZEV fleets. The workstream would provide recommendations for governments on actions they can take—binding ZEV targets, infrastructure support, green procurement policies, accreditation programs— to leverage government and commercial fleets to accelerate the ZEV transition.

Fair consumer access

The Council will share best practices, tools, and policies to ensure fair access to ZEVs and charging infrastructure within countries. In addition to ensuring equitable deployment and access to affordable charging, the Council will explore measures on developing second-hand markets for ZEVs, and other topics as they relate to a fair and just transition.

Infrastructure

Rapid progress is continuing in the deployment of ZEV charging infrastructure, but more investment and collaboration is required in all regions. Building on the work through 2022, the Council will continue to work together on this key priority area through working level discussions, led by the International Council on Clean Transportation, on understanding a global vision for what charging infrastructure deployment needs to look like to achieve Paris Agreement goals. This workstream will include sharing best practices and policy measures to mobilise investment in infrastructure to accelerate the deployment of ZEV infrastructure at national and local levels, ensure an equitable transition, and encourage support for developing markets in the deployment of infrastructure.

Vehicle regulations and standards

Building on the 2022 Action Plan, the Council will continue to share best practice on emissions standards and regulations for new light- and heavy-duty vehicles, including Greenhouse Gas (GHG) and Air Quality standards as well as ZEV regulations, with a collective aim of how to integrate ZEV technologies.

Battery supply chains

The Council will discuss best practices, share knowledge and explore opportunities for further international cooperation to promote ethical and sustainable battery supply chains. We will explore how to build a sustainable raw material supply to deliver a Paris aligned transition in the transportation sector and minimise batteries’ lifecycle emissions and enable reuse and recycling of battery minerals.

Supporting a global transition

The ZEV transition must be truly global, both from an equity perspective and to keep 1.5°C within reach. The Council therefore welcomes the ongoing work of the ZEVTC International Assistance Taskforce (IAT) to develop evidence-based recommendations for the ZEVTC and wider international community. These recommendations will continue to collectively strengthen the international assistance offer for Emerging Markets and Developing Economy (EMDE) countries – at the global-, regional- and country-levels, including through knowledge sharing – to help accelerate global action.

The Council will respond, as appropriate, to these recommendations and the ambitions set out in the COP27 ZEV Global Commitment, including scaling up and further strengthening the support offer in 2023.

In recognition of the coordination gap identified between governments on international assistance in the road transport sector, the Council will also launch a new Governments’ ZEV International Assistance Coordination Group that – working in partnership with the IAT and wider non-government stakeholders – will help take forward collective efforts across this workstream in 2023.

Across all workstreams

Finally, the Council will help review progress in implementing international actions, as identified by the 2022 the Breakthrough Agenda Report and outlined in the Road Transport Breakthrough Priority Actions that were subsequently published at COP27.