I’ve just received a very strongly argued letter from Brian Spratt, chief executive of the Automotive Distribution Federation, concerning proposals for a scrappage scheme in the UK.
Spratt says the members of the ADF are ‘currently urging the government to firmly reject such a scheme’ and lines up some very interesting evidence.
Spratt says that, under a scrappage scheme, the ‘cost of each tonne of ‘avoided Co2’ will cost ‘£2525 and take 4.9 years to achieve’.
He compares this with investing in Geothermal energy at £3.50 per tonne avoided and £9 for nuclear power. (I should say that Mr Spratt provides serious references for these claims).
He also quotes the journal Transportation Research which claims that because ’15-20%’ of a car’s lifetime emissions are produced during manufacture, the ‘optimal age for a car is 19 years’.
He also makes the point, repeated by many others, that a scrappage scheme is likely to benefit smaller, cheaper, cars which would effectively mean channeling UK taxpayer’s money into ‘foreign factories’.
It’s also pretty chilling to see the quote from a European Union Official who suggested that while global new car capacity is about 93 million units per year, demand was probably only running at 60 million units.