12 Government Response: Air Quality and coronavirus: a glimpse of a different future or business as usual 14a) CAZs are specifically designed to increase vehicle fleet turnover to remove older, more polluting vehicles from our roads. We expect this to help counter any impact from covid-19. Local authorities implementing CAZs can access funding from the Clean Air Fund to support individuals and businesses impacted by the zone. This typically includes grants to support upgrade to newer, cleaner vehicles. We are actively working to better understand the potential impacts of covid-19 on fleet turnover and other societal changes that could affect air quality and achieving compliance with NO2 limits. 14b) The Government is already exploring the role of using appropriate financial incentives that drive sustainable change and help us meet our air quality and wider environmental commitments. The department is working closely across government to ensure they deliver the expected outcomes and do not result in unintended consequences. This work continues and will develop as we update our National Air Pollution Control Programme (NAPCP) and policy options are developed, and evaluation is undertaken. For example, the UK’s first ever Sovereign Green Bond will be issued this year and will exclusively finance projects that will tackle climate change and wider environmental issues such as air quality. More broadly Defra has been working across Whitehall to ensure that ambitious policies which offer financial support for businesses to reduce greenhouse gas emissions deliver reductions of other pollutants in parallel. Industry have told us they want as much join up as possible between net zero and air quality, both in terms of policies and finance for businesses, and BEIS and Defra work together to ensure this alignment. For instance, the Industrial Energy Transformation Fund (IETF) incorporates both equipment emissions standards and local air pollution considerations, and the projects are also assessed on their wider environmental impacts and benefits. IETF is a clear example of how energy policy can help incentivise AQ pollutant emission reductions. when designing financial incentives. For example, we know that Electric Vehicles still release non-exhaust particulate matter as a result of brake, tyre and road wear. Our Air Quality Expert Group published a report in July 2019 which found that an increased mass of electric vehicles could potentially increase tyre and road wear, but that the use of regenerative braking could reduce braking emissions. We will initiate research aimed at filling the knowledge gaps in this area. However, this highlights the point that financial support for electric vehicles will need to be carefully designed to ensure that decarbonisation and air quality objectives are delivering in parallel. The Government is also working with its international partners to develop procedures to test and evaluate emissions from tyre and brake wear, with the potential to produce future regulatory standards. The UK has also been at the forefront of reducing industrial pollution, using a proportionate framework of regulation to require industry to improve their environmental performance. Businesses have responded with investment and innovation to meet these standards. Larger industrial facilities undertaking specific types of activity are required to use Best Available Techniques (BAT) to reduce emissions to air, water and land. There is also a comprehensive programme of local authority environmental permitting in place for smaller installations. Now we have left the EU, we are consulting on a future process for determining future Best Available Techniques within the UK and are working in collaboration with the devolved administrations and regulators across the UK to ensure continuity and regulatory certainty for UK industry. Government Response: Air Quality and coronavirus: a glimpse of a different future or business as usual 13 Finally, through our Air Quality Grant Programme, Local Authorities may undertake projects that offer support or work in partnership with businesses to implement measures that deliver air quality improvements. This Programme has funded over £27.65 million since 2010. 14c) The Government is supportive of actions businesses are already taking to understand their air quality footprint and take practical steps to reduce it. For example, the Business Clean Air Taskforce (B-CAT), convened by the charity Global Action Plan with support from Defra. B-CAT have developed the Business for Clean Air initiative which helps businesses to develop and deliver their own Clean Air Action Plans. Eight major businesses initially signed up to the initiative and many others have since joined them.