Today’s ESG Updates
- EU Lags on Company EV Tax Incentives: A new analysis found that most EU countries offer limited tax incentives for company electric vehicles, raising concerns that businesses may be slower to switch from petrol cars despite the sector accounting for a majority of new vehicle registrations.
- Glencore Cancels Smelter Job Cuts: Glencore scrapped plans to cut up to 1,500 jobs at its South African ferrochrome operations after regulators approved discounted electricity tariffs, providing relief to an industry struggling with high energy costs and competition from China.
- India’s Industrial Output Grows 4.9%: India’s industrial output exceeded expectations in April, supported by strong growth in manufacturing and capital goods production despite continued pressure from higher energy costs and disruptions linked to the conflict involving Iran.
- UK Regulator Clears Fuel Retailers: Britain’s competition regulator found no evidence that fuel retailers changed pricing strategies to profit from the Middle East crisis, although concerns remain that weak competition could continue to keep pump prices elevated for consumers.
EU States Fall Short on EV Tax Breaks
Most European Union countries were found to lack effective tax incentives for companies purchasing electric vehicles, according to data published by Transport & Environment (T&E). The analysis showed that only nine of the EU’s 27 member states provide tax benefits that make the upfront cost of a compact electric vehicle comparable to that of a petrol car.
Company vehicles account for around 60% of new car registrations across the bloc, making corporate fleets a key driver of reductions in transport emissions. Germany, Poland, and Spain were among 12 countries where tax incentives covered less than half of the price gap between electric and petrol cars. With businesses still facing higher upfront costs for EVs, industry groups warned that the shift to cleaner transport could take longer than expected.
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Further reading: Most EU countries lack strong tax incentives for company electric cars, T&E says
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Glencore Cancels South African Smelter Job Cuts
Glencore has canceled plans to cut up to 1,500 jobs at its South African ferrochrome smelting business after regulators approved discounted electricity tariffs for the industry. The company had previously suspended production at three smelters and begun restructuring proceedings as rising power costs threatened the viability of its operations.
The new tariff cuts electricity prices by 54%, easing pressure on an industry that has spent years grappling with rising power bills and tougher competition from Chinese producers. South Africa’s ferrochrome sector has experienced a significant decline over the past decade, with many smelters shutting down amid rising electricity prices. Glencore said the reduced tariff would help stabilize operations and support the gradual restart of affected facilities.
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Further reading: Glencore’s South African smelter cancels planned job cuts after electricity deal
Related Articles
Here is a list of articles selected by our Editorial Board that have gained significant interest from the public:
India’s Industrial Output Grows 4.9%
India’s industrial output grew 4.9% in April, exceeding economists’ expectations and marking the first release under a revised government data series. Growth was driven by strong performance in manufacturing and capital goods production, despite continued pressure from higher energy costs and supply disruptions linked to the ongoing conflict involving Iran.
Manufacturing output grew 6.2% in April, while capital goods production jumped 16%. Output of consumer durables such as cars and mobile phones also expanded, alongside gains in electricity generation. However, mining activity declined during the month. The latest figures suggest that parts of India’s industrial sector remain resilient despite external economic pressures and uncertainty in global energy markets.
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Further reading: India’s April industrial output grows 4.9% in first print of new data series
UK Regulator Clears Fuel Retailers
Britain’s competition regulator has found no evidence that fuel retailers changed pricing strategies to profit from the Middle East crisis, despite a recent rise in petrol and diesel prices. The regulator said higher wholesale fuel costs remained the main driver of increased pump prices in March and April.
The findings come as governments face growing pressure to address rising living costs linked to higher global energy prices. While the regulator ruled out opportunistic pricing by retailers, it warned that weak competition in the fuel market remains a concern. Officials said limited competition could still leave drivers paying more than necessary and pledged to monitor whether future improvements in supply conditions are reflected in retail fuel prices.
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Further reading: UK regulator says no evidence fuel retailers taking advantage of Middle East crisis
Editor’s Note: The opinions expressed here by the authors are their own, not those of impakter.com — In the Cover Photo: European Union flags Cover Photo Credit: ALEXANDRE LALLEMAND
