EU fuels controversy with new carbon limits
Posted on December 28th, 2007BRUSSELS, National Post: The European Commission sparked controversy last week with plans to fine automakers that miss proposed cuts in carbon emissions from new cars, slammed by both industry and environmentalists.
German Chancellor Angela Merkel also blasted the proposal as an unfair burden on the German auto industry, whose luxury cars are among the most polluting in Europe.
In a drive to push down new-car emissions to an average of 130 grams per kilometre by 2012, the European Union’s executive arm also proposed that automakers’ targets be set according to the weight of their cars.
If they miss the targets, the European Commission wants automakers to be fined ¤20 ($29) per gram of carbon dioxide over the limit from 2012, with the penalties rising gradually to ¤95 in 2015.
The proposals have been the subject of fierce lobbying by the automobile industry and the German government, concerned that its automakers and their big luxury models would be hit particularly hard.
The plans still face tough negotiations as they must be approved by the 27 EU member states and the European Parliament before they can take effect.
Although Germany’s Merkel has championed other environmental causes, she spares no kind words for the car emissions package, which she vowed to fight.
“This is industrial policy at Germany’s expense,” she says. “It is senseless to impose a penalty that bears no relation to the actual cost of carbon dioxide emissions.”
Under the proposals, each auto-maker selling cars in Europe will have to develop technology enabling its fleet to meet the 130-grams-perkilometre average for new cars.
Car parts makers and fuel suppliers will be tasked with shaving a further 10 grams off the average with improvements to gearboxes and air conditioning systems, tire pressure monitoring and by the use of more biofuels.
The combined efforts are aimed at cutting average emissions by a quarter to 120 grams per kilometre on average from about 160.
The burden will be shared among automakers based on the weight of their cars, allowing them some leeway to keep producing vehicles that emit more than 130 grams as long as they compensate with lighter, more fuel-efficient models.