Starting in 2030, the European Union could ban gasoline-powered rental cars.
While certain rules regarding the adoption of electric vehicles in the U.S. could change due to the current administration, Europe still plans to ban the sale of new gasoline-powered vehicles in 2035. Note that some North American legislation still has this objective.
The world of rental vehicles, such as those from Hertz, could be ahead of the curve in Europe. This would affect vehicles accessible to travelers. According to the German newspaper Bild, the European Commission is drafting legislation that would require car rental companies to have all-electric fleets by 2030.
Rental vehicles account for about one-fifth of all vehicle registrations in Europe, though that varies by country. Consequently, such a measure would considerably impact the entire market. The newspaper suggests that this measure could be a roundabout way of bringing forward the date for phasing out combustion engines.
Ironically, several rental companies have reduced their electric vehicle fleets because they have not proven as popular with customers as expected. Depending on the location, customers are less likely to opt for an electric vehicle where the charging network is more limited.
Conversely, as the charging network develops, more people will opt for electric vehicles because they can save money on gas during their rental period, depending on the vehicle and charging costs. It's important to understand that situations and realities differ across the globe.
The European Commission could present its draft legislation as early as this summer. At that point, it will be submitted to the European Parliament for approval. Both the European Council and the European Parliament must approve it before any changes can be made.
This issue must be monitored closely because the decision could impact the rental vehicle industry worldwide.