European Commission's Green plan for cars stalls
Less than two weeks after being proposed, the European Commission's plan to force Europe's car industry to reduce new car carbon dioxide emissions to 120 grams per kilometre / 2.6 ounces per mile, has been shelved by European Commission President Jose Manuel Barroso. Meant to be part of a wider climate change strategy for the European Union, the best way to achieve the proposed carbon dioxide reductions ended up being argued over by the commissioners and the European auto makers.
A source in Brussels indicated that such an aggressive move on emissions could result in the closure of DaimlerChrysler, Audi, BMW and Porsche which would fail the commission's aim of turning Europe into a leader in green technology while boosting output and jobs. The European car industry's emissions average in 2005 was 163 grams and it will likely fail to achieve its voluntary target of cutting emissions to 140 grams by 2008.
Analysis: It's hard for a company to innovate when its bankrupt. I'm all for aggressive targets but I think what's going to get us to the hydrogen utopia we all desire is companies that are in a financial position to push forward R&D, not targets that will sink them. I wonder why the European Commission doesn't make the hard target 140 grams per kilometre, by say 2009, and put just enough pressure on the car makers to get real results instead of a political fight.
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[Source: The Age]
Reader Comments (Page 1 of 1)
TDIMeister 7:53PM (1/28/2007)
I read on a German newspaper that the EU Parliament met opposition from a letter signed by the CEOs of VW, DaimlerChrysler, BMW and Opel that imposing the 120 gram/km CO2 limit would kill the signatory companies' competitiveness to imports and using the trump card and magic words of "lost jobs." (Oooh, the humanity!!)
Hmmmm, the U.S. sure as hell ain't making any cars meeting 120 grams/km, and Japanese mini Kei cars might fit the bill if EU regulations don't outlaw them on some technicality (like they're exclusively RHD?). No other country or foreign automaker is really threatening the European auto market with a deluge of economical cars, and if there are, then I say give them applause and bring on the competition!!
I find it highly interesting and ironic that the European automakers resisted legislative regulation enforcing 140 g/km CO2 and instead opted for self-policing and voluntary compliance. Well, we know how well that's gone. The latest result stands at 163 g/km. A worthy effort that in my book earns an A- for initiative and early target reaching but a C for actual delivery of promises, on a way to an F for achievement of stated goals when the calendar flips to 2008.
On the other hand, the European Commision MANDATED Euro IV emissions limits in spite of much whining from OEMs that the targets could not be met without huge technical challenges and massively added costs passed on to the automotive consumer. Yet 2005 saw Euro IV come into force without much fanfare, and not a single one of the doomsday scenarios played out, and actually some companies pre-empted the regulations and the customers thereof enjoyed emissions tax benefits for a time.
This hopefully serves a model to lawmakers on the other side of the Atlantic that giving it up for the market to meet limits voluntarily work about as well as letting the fox rule the hen house.
Hopefully the German parliament in Berlin will bypass Brussels and pass legislation anyway.
And without holding much hope for the U.S., perhaps Canada will see all these developments and display some backbone to take real leadership in its own domestic energy/transportation policy like Sweden has done.
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