Transport for London (TfL) has allotted a total sum of £67m over the next four years to increase the number of eco friendly haulage vehicles in the capital.
The tender will be divided into four parts covering different types of electric and hybrid vehicles, including vans and trucks up to 12-tonne.
TfL also said that the tender would encompass low carbon vehicle financing options such as purchase price, leasing options, contract hire and service and maintenance.
Electric vans and trucks are expected to be more affordable with this funding
About 70% of the funding will be allocated to eco-friendly passenger vehicles, with the remaining 30% spent for low emission minibuses, light commercial vehicles and light duty trucks.
Kevin Harkin, sales director for Smith Electric Vehicles, a company specialising in manufacturing electric vehicles said: “This announcement is great news for the UK commercial electric vehicle industry. Large scale procurement can stimulate the market, grow volumes and thereby help EV manufacturers bring down the purchase costs for fleet managers.”