Mobility is at a crossroads and in each of the key three revolutions, automation, sharing and electrification of cars, Europe is falling behind. China has secured seven times more investments in electric vehicle manufacturing than the EU has in the last year only. Based on public announcements, China has received over EUR 21.7 billion of investment to produce electric vehicles while the EU secured only EUR 3.2 billion, seven times less. Front runners the Volkswagen Group, Daimler AG and Nissan have provided the bulk of the investment in China, driven by the aggressive electric vehicle policy. This policy requires carmakers to obtain credits for the production of EVs that are equivalent to 10% of the overall passenger car market in 2019 and 12% in 2020.
More than half of the palm oil imported into the EU is used to make biodiesel for cars and trucks. Palm oil used for biodiesel has increased sharply over the last years while food consumption of palm oil is declining.
The biggest failure of the current car CO2 has been the failure to deliver emissions reductions on the road. Whilst new car CO2 emissions measured using the obsolete laboratory test (NEDC) have fallen by 31% since 2000, on the road the reduction is just, 11%. The gap between test and real-world performance has leapt from 9 to 42% weakening the regulation, increasing CO2 emissions and raising fuel bills for drivers. The underlying issue was basing the regulation on laboratory tests. Whilst the new WLTP addresses some loopholes, its introduction also creates new flexibilities that the car industry are planning to exploit to undermine both the current regulation to 2020/1 and proposed future regulations for 2025/30.
In response to congestion and high local pollution cities are increasingly using vehicle access restrictions to limit the number of cars on their roads and ensure those which grossly pollute are not allowed in. Following the dieselgate emissions scandal (that exposed the failure of modern diesel vehicles to adequately control toxic fumes when operated on the road), there is a new focus on deploying Low Emission Zones and Diesel Bans. Today there are around 40 million grossly polluting diesel cars and vans on the EU’s roads but national vehicle approval authorities remain reluctant to mandate manufacturers to implement fixes.
Light commercial vehicles, or vans, are a neglected area of EU road transport policy as they are often exempt from safety and environmental policy such as driving regulations or tolls, compared to their direct competitors, trucks. This enhances their attractiveness and in part explains why their use and emissions are growing. CO2 standards for van makers are much weaker than for cars, as a result van makers do not deploy the same efficient and innovative technologies to vans to lower their emissions.
Policies to promote food based biofuels do lead to increases in food prices, an extensive independent literature review has concluded. The analysis considered over one hundred economic modelling studies of the potential impact on prices of increased biofuel demand and over two dozen assessments of the role biofuels demand played in the 2006-08 food price crisis.
Flights to and from Europe have been automatically re-included in EU ETS since the start of 2017. In February the Commission proposed, in response to development at ICAO, to once more exempt these flights, this time indefinitely. The environment committee (ENVI) of the European Parliament adopted its report on this file in July, and the full Parliament will vote on it on September 13th.
Today heavy duty vehicles account for around 30% of EU road transport CO2, but as cars decarbonise, this is expected to reach about 40%. The Commission proposal on monitoring and reporting (MR) of truck CO2 emissions and fuel consumption seeks to collect certain truck data and make it available (with restrictions) to the Commission and stakeholders. The MR regulation will support the implementation of truck CO2 standards – a Commission proposal is due in early 2018.
The average car sits unused for more than 90% of the time, carries on average just one and a half people and costs, on average, €6,500 a year to own and run. Each car occupies 150m2 of urban land and still this is not the full bill – congestion costs the EU economy €100 billion annually. The convenience that made the car a 20th century icon has been eroded by its popularity.
The Effort Sharing Regulation (ESR) defines the carbon budget for EU member states for the non-traded sectors (surface transport, buildings, agriculture, small industry and waste) until 2030. If the ESR’s headline goal of -30% compared to 2005 is undermined through loopholes, the ESR will not lead to real-world emission reductions in those sectors. This FAQ is aimed at bringing clarity to one element being discussed during the negotiations: the ESR Safety/Early Action Reserve.