I would like to propose a green initiative for residents of BC that use ICBC to insure their motor vehicles.
Allow BC residents to utilize multi-plate for a second vehicle to promote less carbon emissions, lower carbon footprint, reduce gas consumption, increase room on the road, and enhance the economy.
The second vehicle must meet the following standards to qualify:
vehicle must be rated at less than 6 liters per 100 KM by the manufacturer
must meet Canadian safety guidelines
can only be driven by the insured driver of the first vehicle
The insurance on the initial vehicle will be the maximum coverage on the second vehicle.
There will be a one time registration and plating fee as the the vehicles will carry a M – Designation to show multi-plate vehicle.
The Mechanics – How it will Work
The owner of a less than fuel efficient vehicle now has incentive to purchase a second vehicle that meets the green standards. They will not only improve the environment by burning less gas for their commute, typically use less room on the road and in parking, improve the economy by BC residents purchasing a second car/motorbike. There will also be benefit in changing the mindset of people that want to drive large vehicles that do not serve a purpose.
Can this be done
Currently ICBC already offers this service to persons with collector cars. So in effect this program is easy to adopt. It is win - win for everyone.
The following scenarios provide the proof:
Scenario A: Jack drives 5 days a week to work, 15 km each way for a total of 30 km each day. His Ford F350 uses 15 litres per 100 km. In 52 weeks he will commute to work 7,800 km and use 1,170 liters. If Jack were able to utilize the new Green multi-plate he would be driving a commuter that uses 5 litres per 100 km. Over the year he would use 390 litres. A savings of 780 litres, at 1.26 per litre, it amounts to $982 over the year in gas savings alone. Less carbon emissions, more room on the road and increase in business activity in BC for people buying new cars/motorbikes. The other benefit is changing the mindset on people more willing to drive smaller vehicles.
One might say, why does Jack not just buy the green car without the incentive. The simple reason is that ICBC takes away any benefit Jack may see. Currently Jack would have to insure a second vehicle at a cost of over $1,000 per year.
Jack needs his truck for pulling his trailer for camping, taking all the hockey gear to his kids games that he coaches and so on.
Jack loves his truck and wants to keep it, but he is more than willing to drive a green car on his daily commute.
Scenario B: Jane drives her Chevy Yukon 5 days a week to work, 25 km each way for a total of 50 km each day. Her Yukon averages uses 10 litres per 100 km. In 52 weeks she will commute to work 13,000 km and use 1,300 liters. If Jane were able to utilize the new Green multi-plate she would be driving a commuter that uses 5 litres per 100 km. Over the year she would use 650 litres. A savings of 650 litres, at 1.26 per litre, it amounts to $819 over the year in gas savings alone. Less carbon emissions, more room on the road and increase in business activity in BC for people buying new cars. The other benefit is changing the mindset on people more willing to drive smaller cars.
One might say, why does Jane not just buy the green car without the incentive. The simple reason is that ICBC takes away any benefit Jane may see. Currently Jane would have to insure a second vehicle at a cost of over $1,000 per year.
Jane needs her Yukon to ferry her kids and their gear around. The Yukon provides the family the room they need on trips and makes the family feel safer.
Jane loves her SUV and wants to keep it, but she is more than willing to drive a green M car on his daily commute.
The Benefits and the Winners
Jack and Jane – winners because they save around $1,000 per year in fuel costs.
Car/Motorbike Dealers – winners as they will be selling more Green M cars/motorbikes.
Manufacturers – winners as sales increase.
Canadians – more jobs, less carbon emissions, changed mindset, safer roads.
ICBC will likely resist the initiative at first as they may see it as a loss of revenue. The reality is that no one driver can drive more than one vehicle at any one time. The driver could technically transfer the insurance everyday and ICBC would be fine with that, but they would admin fee any savings into a black hole. So essentially they are willing to do it but just not the economical way and they already do it with the collector car multi-plate.