Cars are responsible for an eighth of Europe’s carbon dioxide (CO2) emissions. The amount of CO2 produced is directly related to the amount of fuel the vehicle consumes – lower carbon vehicles are therefore more fuel efficient and cheaper to run.
In 2009, the EU set legally-binding targets for new cars to emit 130 grams of CO2 per kilometre (g/km) by 2015 and 95g/km in 2020. In July 2012, the Commission announced the outcome of its review of the modalities (ways) of achieving the 2020 target. In June 2013, a first reading agreement was reached on the proposal confirming the 95g/km target. Following the agreement the German Government successfully delayed a vote in Council and has attempting to overturn the deal. The effect of Germany’s latest proposal, a phase-in of the regulation is described in this paper.
Europe must stand firm over its future targets for carmakers as it cannot afford to fall further behind China.
The decision to create a Europe-wide carbon price was right but creates significant political risk. The good news is it can still be fixed.
It's about time the EU requires parts of key products to be made locally – and nowhere is this more urgent than in the battery sector.