The CMA is launching a market study into electric vehicle charging, to make sure that this new and fast-growing sector works well for UK drivers
Traditional cars are a major source of greenhouse gas emissions and as part of its “green industrial revolution”, the Government has brought forward the ban of new petrol and diesel vehicles to 2030. This makes the switch to electric vehicles more imminent for UK drivers. The Competition and Markets Authority (CMA) is therefore taking a close look at the electric vehicle charging sector, which is crucial to the roll-out of electric vehicles, as part of its commitment on climate change.
This sector is still in the early stages of development but is growing quickly. The UK currently has almost 20,000 chargepoints, up from around 1,500 in 2011 – although more will be needed in the future as this is the only way to power electric vehicles. The CMA is therefore considering how to ensure the sector works well for people now and in the future, which will help to build trust in the service and address any competition issues.
Research shows that “range anxiety” or not being able to recharge while out and about is a key concern for many consumers – so it is essential that drivers can access a chargepoint when they need one. If people can see that the service will work for them, they are more likely to make the switch to electric vehicles, which is crucial to achieving the government’s long-term ambition for a net zero economy by 2050.
The CMA’s work will centre on 2 broad themes:
The CMA intends to conclude its market study well within the 12-month deadline, so that it can help shape competition and boost consumer confidence in this developing sector.
Andrea Coscelli, Chief Executive of the CMA, said:
Market studies can make recommendations to government or other bodies, and issue guidance to businesses and consumers as needed, among other options.
Views are welcomed on any of the issues raised in the Invitation to Comment by 5 January 2021.
All updates on the CMA’s work in this area can be found on the Electric vehicle charging market study case page.
Notes to Editor