Tags:Affordability, Capabilities approach, Decarbonization, Electric vehicles, Equity, Household income, Policy incentives and Transport policy
Abstract:
Electrification of vehicles is expected to substantially reduce greenhouse gas emissions and contribute to achieving climate targets. The Irish government have introduced several policy incentives to encourage purchasing and using private electric vehicles (EVs). This study aims to inform policymakers about the equity impacts of measures supporting EV uptake by estimating how many Irish households can avail of policy incentives for EVs. To receive the benefits, households must be able to afford an EV. The four scenarios are designed, and the spatial distribution of numbers is analysed across the country at the electoral division level. The results show that incentivising the purchase of even a small EV presents a regressive redistribution of resources to the wealthier segments of society. It is found that at least 38% of Irish households would not be able to afford an EV if taken a loan for a typical repayment period offered by lenders. The governmental support for EVs prioritises higher income segments of society and, because of this, contradicts a sufficientarian approach to social justice in which all individuals are provided with a threshold level of basic capabilities. Investment in sustainable mobility seems a more inclusive alternative for transitioning to low-emission transport.
Estimating the Ability of Irish Households to Avail of Policy Incentives for Electric Vehicles