Ecotrucking Suspension | Heavy-duty truckers suspend electrification of their fleets

The brakes on electric trucks didn’t take long to show after the suspension, without notice, of a decarbonization assistance program. Heavyweights in the trucking industry, including Transport Guilbault, Groupe Morneau and Simard, are putting their electrification projects on hold.

Even though the Legault government promises to honour the requests for financial assistance approved as of September 6 – the time when the Écocamionnage program was suspended until “further notice” – this is clearly not enough to reassure carriers.

In letters, some of the main players in the trucking industry, such as Transport Guilbault and Groupe Morneau, have warned Quebec of the decisions that await them.

“Without the program, we will not be able to move forward with the acquisition of more equipment,” wrote Groupe Morneau co-president David Morneau in the letter that The Press was able to consult. As a Carrier, Groupe Morneau cannot absorb these amounts while remaining competitive and profitable.

Morneau, which operates a fleet of 454 trucks, owns an electric heavy-duty truck and says it is “waiting” for two other models. At Transport Guilbault, there are three electric units in the fleet of 320 trucks.

L. Simard Transport, which has four electric trucks in its fleet of 500 heavy goods vehicles, will follow suit. “Unfortunately, [l’entreprise] will not be able to move forward with other acquisitions of electric trucks without the financial support of Écocamionnage,” wrote its director Brandon Abraham, in another letter addressed to the Legault government.

These letters were sent to Prime Minister François Legault as well as to his ministers Geneviève Guilbault (Transport and Sustainable Mobility), Benoit Charrette (Environment) and Eric Girard (Finance).

At the Quebec Trucking Association, President and CEO Marc Cadieux says his organization is being inundated with calls from members who say they want to take a step back until Quebec clarifies its intentions.

Essential

Ecotrucking involves stimulating electrification and the use of technologies aimed at reducing greenhouse gas (GHG) emissions in freight transport.

For the electric version of a heavy-duty truck (Class 8), for example, it was possible to obtain up to $175,000 under Écocamionnage. The buyer of an electric heavy-duty truck could absorb more than half of the acquisition cost by combining the aid with federal support – a maximum of $150,000.

An electric heavy-duty truck can cost up to $600,000, three times more than its diesel-powered counterpart. Unlike electric passenger vehicles, electric-powered heavy-duty trucks have been on the roads of the province for a shorter time. So the price gap with combustion models is not going to narrow significantly any time soon.

The Press has already reported that the Legault government’s decision has shaken manufacturers and dealers, who fear order cancellations. The latter would find themselves assuming the financing costs of a vehicle until its delivery to a customer.

Nothing more

In an email, the Ministry of Transport and Sustainable Mobility (MTMD) confirmed that with more than six months to go until the end of the financial year (March 31, 2025), the $30 million Ecocamionnage envelope had been exhausted. There appears to be no intention of replenishing it in the short term.

“The program’s budget, like most government programs, is conditional on available funds,” it explained in an email. “The Ministry is aware that this temporary pause may create some uncertainty and intends to work with the various industry partners to minimize the impacts of this situation.”

The MTMD did not, however, provide an example.

For Liberal transport critic Monsef Derraji, the sudden suspension of Écocamionnage constitutes a “lack of commitment” from the Legault government in terms of mobility.

“By blocking innovation and sustainable solutions, we are jeopardizing the future of our infrastructure and our energy transition,” he stressed in a statement.

According to its 2024-2029 implementation plan surrounding the Legault government’s green economy strategy, $40 million is forecast for Écocamionnage in 2025-2026. However, these are forecasts.

Before being reduced to 30 million for the current year, the program envelope had been set at around 56 million in the previous plan. Ecotrucking is financed by the Electrification and Climate Change Fund – formerly called the Green Fund.