The electrification of light commercial vehicles (LCVs) is progressing far too slowly to meet Europe’s climate targets. That’s not just a policy issue—it’s something cities experience on the ground every day. Despite growing manufacturer investment and an expanding range of electric models, real-world adoption is lagging. ACEA’s new position paper makes it clear: at the current pace, Europe will miss the 2025 and 2030 CO₂ goals, especially in urban logistics.
Vans are the backbone of the urban economy
LCVs keep city logistics moving: construction, installation, parcel delivery, service technicians, healthcare, and countless SME operations. Yet, electrification in this crucial segment lags. In the first half of 2025, battery-electric vans accounted for just 9.5% of the market. To meet the 2025 CO₂ standard, which requires 15–20%. By 2030, adoption must accelerate even more dramatically.
The operational reality explains why this transition is more complex than the shift to electric passenger cars. Vans run long hours, carry heavy payloads, and come in a wide variety of configurations. Every kilogram of battery weight counts.
The three major bottlenecks
- Infrastructure
Public charging networks are expanding, but not where vans actually need them. The real gap is overnight charging at depots, small business yards, and industrial estates. Fast charging remains too expensive for daily use, and grid congestion slows the rollout of new connections. - Total Cost of Ownership (TCO)
Electricity prices are volatile; commercial rates are often higher than household tariffs. Fiscal incentives for vans remain significantly weaker than for passenger EVs. For many operators, the business case relies solely on subsidies or aggressive leasing structures. - Regulation
Battery weight pushes many electric vans into higher regulatory categories—sometimes triggering truck-level requirements like tachographs. This is a significant deterrent, particularly for SMEs that rely on B-licence drivers and simple compliance rules.
Why this matters for cities
With zero-emission zones, tightening CO₂ standards, and rising pressure on urban liveability, the van is the decisive link in the logistics chain, according to ACEA. If electrification remains slow:
- Climate targets won’t be met,
- Businesses face higher operating costs,
- Cities cannot deliver on their mobility and sustainability plans,
- Europe risks losing competitiveness to regions moving faster.
What needs to happen
ACEA rightly calls for a targeted and pragmatic package of measures that supports both scale and speed:
- Rapid expansion of charging hubs, especially on industrial estates and at SME premises.
- Fiscal parity with passenger EVs, to bring TCO down to a competitive level.
- Smarter regulation that recognises operational realities and battery-related weight issues.
- A balanced technological mix, including sustainable renewable fuels, to keep businesses moving while electrification ramps up.
Conclusion
For city-logistics professionals, the message is clear: without a faster transition in the LCV sector, the last mile will stall. Vans are the urban workhorses, but without supportive policy, streamlined regulation, and affordable charging, progress will remain too slow, says ACEA.
ACEA’s position paper identifies both the pain points and the opportunities. The next five years will determine whether Europe’s van fleet becomes an enabler—or a bottleneck—in the race to zero-emission urban logistics.