The European Union’s (EU) European Investment Bank (EIB) and ALD | Leaseplan have launched a new financial operation to accelerate the growth of global sustainable mobility provider’s hybrid and electric vehicle fleet in Europe.

Under the three-year financial agreement — which follows the companies’ 2019 financial partnership supporting green vehicle development — the two companies will each invest €300 million to develop ALD | Leaseplan’s range of electric vehicles across the EU, in the countries covered by both companies.

EU climate change targets require a gradual move to electric or plug-in hybrid cars. Transport accounts for 25% of EU’s total greenhouse gas emissions, of which 71.7% come from road transport.

In most EU countries, plug-in hybrid electric vehicles (PHEV) remain the largest number of green vehicles on the road. However, battery electric vehicles (BEV) have proven to have a greater impact in reducing carbon emission, considering the full supply chain, from production to the road, according to ALD | Leaseplan.

Accounting for existing constraints on EV ranges and the Europe’s current charging infrastructures, the EIB – ALD | Leaseplan operation will co-finance a gradually equal number of BEVs and PHEVs: 15,000 vehicles in total over three years. In Europe in Q1 2023, 29% of new passenger car deliveries were BEVs or PHEVs.