Mr. Donohoe: To ask the Secretary of State for Transport what his policy is on encouragement of the introduction of (a) electricvehicles and (b) hybrid low emission vehicles. [96436]Mr. Jamieson: The Government has introduced a number of incentives to encourage the wider use of cleaner vehicles and fuels,including battery electric and hybrid vehicles. The recently published Powering Future Vehicles strategy provides a framework forfuture fiscal and other incentives in the move towards a low carbon transport system.(a) Electric vehicles currently benefit from the following incentives:Zero rate of Vehicle Excise Duty (VED)A lower rate of company car taxGrants towards the premium cost of purchasing vehiclesNo fuel duty on electricity used for recharging batteries(b) Hybrid vehicles benefit from the these incentivesA lower rate of company car taxGrants towards the premium cost of purchasing vehicles.Hybrid vehicles may fall into a lower Vehicle Excise Duty band as a result of their lower CO2 emissions.In addition, both hybrid and electric vehicle demonstration projects may be eligible for grant funding from the New VehicleTechnology Fund.