A Hyundai Sonata Plug-in Hybrid (PHEV) at a charging station outletHyundai Big automakers are questioning B.C.’s proposed 2040 ban on the sale of new gas-powered cars, SUVs and light trucks. Japanese automaker Honda said it has been trying to tell the B.C. government that limiting new sales in 2040 to electric and hydrogen vehicles, while discounting gains in fuel-efficiency for future hybrid electric-gas engines, may not be the best way to achieve the province’s pollution reduction goals. “With the way technology is advancing it’s hard to predict, said Honda Canada president Dave Gardner. And that’s what we’re concerned about. At this stage of the game, let’s not pick a winning technology. Let’s just embrace anything that will achieve the overall goals. South Korean-based Hyundai, which is riding high on the successful launch of its new electric Kona SUV, said Ottawa should be regulating vehicle sales and not individual provinces like B.C. But Hyundai Canada president Don Romano also applauded B.C. for at least trying to push the issue. He said the province could become a leader if it mandated that existing gas stations – often owned by oil companies – also install electric and hydrogen fuel chargers, automatically creating a vast new charging network. I would cite to the B.C. government the fact they haven’t done anything with the gas industry, Romano said. If you want to see electric vehicles at 100 per cent at that time, or hydrogen vehicles, you need electric and hydrogen charging stations at every gas station across the province. It just makes sense. Energy Minister Michelle Mungall said B.C. is not considering such a move. Right now the private market is responding to building infrastructure associated with charging, and they are doing that at a fairly rapid pace, said Mungall. In terms of using the policy mechanism of government intervention, at this point I don’t know that that’s necessary. I haven’t even asked that question because the private sector is jumping in that quickly with charging stations. Mungall also said she believes B.C.’s legislation is flexible enough to accommodate Honda’s concerns. B.C.’s electric vehicle legislation is currently being debated in the legislature. In the first quarter of 2019, electric vehicle sales accounted for six per cent of B.C. vehicle sales. There are more than 17,000 zero-emission vehicles currently on B.C. roads. Plug-in hybrids, with batteries and gas engines, will still be allowed after 2040, but B.C. will award auto companies significantly reduced credits for selling them compared to fully electric models. Companies will need to accumulate enough credits to avoid being fined by the government. Hybrids without plug-in capability – currently more common in the marketplace – won’t be allowed for new sales in B.C. after 2040. Mungall said the proposed system rewards the cleanest vehicles with the longest range, and is the most flexible way to approach the issue. Honda Canada’s popular Civic sedan and CR-V SUV are both currently only available in gasoline models. Honda also sells a plug-in hybrid called the Clarity, which starts at $40,100. The next big thing you’ll see from Honda is to gasoline-electric, what you’d call a traditional hybrid engine, said Gardner. Because the traditional gasoline-electric hybrid can reduce or improve fuel economy from 20 to 25 per cent.” It’s not a position shared by Hyundai, which said plug-in hybrids still pollute. B.C. should stick with a zero-emission definition that is fully electric or hydrogen, said Romano. Ultimately, we need to remove combustion engines, he said. Hyundai’s electric Kona is the first electric subcompact SUV in Canada, with a starting price of $44,999. Hyundai says it has a travel range of 415 kilometres on a single charge, meaning it may only need to be charged once a week for some consumers. Kona EVs went on sale in January with 1,854 vehicles sold in February, then increased 197 per cent in March to 2,717 vehicles, and a further 53 per cent in April to 2,348 vehicles. Romano said government electric vehicle subsidies – $5,000 provincially and $5,000 federally – caused a run on demand and Hyundai is sold out of Konas. It’s an anomaly, he said. It doesn’t reflect the sustainable demand we’re going to see over the next couple of years. An EV electric vehicle charging parking spot in a parking lot at UBC, Vancouver, February 20 2019. Gerry Kahrmann / Postmedia Honda cited another trend that B.C.’s legislation fails to account for—mainly the consumer push away from fuel-efficient sedans toward larger SUVs and light trucks, where electrification is more difficult. Passenger cars are now accounting for less than 30 per cent of the marketplace, and we’re not motivating or trying to change the consumers who want bigger more utility vehicles and therefore by their nature are less fuel efficient, said Gardner. Hyundai disagreed, saying its Kona is proof that electric SUVs are possible and
Origin: Automakers question B.C.’s plan to phase out gas vehicles by 2040