Commission proposal to limit the CO2 emissions from cars to help fight climate change, reduce fuel costs and increase
European competitiveness
The European Commission today proposed legislation to reduce the average CO2 emissions of new passenger cars to 120
grams per kilometre by 2012. The proposed legislation is the cornerstone of the EU's strategy to improve the fuel
economy of cars, which account for about 12% of the European Union's carbon emissions.
The proposal further underlines the EU's leadership and determination to deliver on its greenhouse gas commitments under
the Kyoto Protocol and beyond.
President of the Commission José Manuel Barroso stated: "This proposal demonstrates that the European Union is committed
to being a world leader in cutting CO2 emissions and the development of a low carbon economy. At the same time, we are
committed to promote the competitiveness of our industry and its global technological leadership."
Environment Commissioner Stavros Dimas said: "The aim of the legislation is to reduce CO2 emissions from cars in order
to help fight climate change. The legislation will also ensure important fuel savings which will translate into
considerable benefits for consumers. Moreover, it will encourage the car industry to invest in new technologies and
actively promote eco-innovation, which is a driver for more and high-quality jobs."
Emissions reductions
The proposal will be a major step in lowering CO2 emissions in the EU. It will reduce the average emissions of CO2 from
new passenger cars in the EU from around 160 grams per kilometre to 130 grams per kilometre in 2012 as part of the EU's
integrated approach to achieve overall 120 grams per kilometre. That will translate into a 19% reduction of CO2
emissions and will place the EU among the world leaders of fuel efficient cars.
Other benefits
As well as achieving environmental results, this proposal will also benefit consumers through important fuel savings. It
will further improve energy security, promotes eco-innovations and high-quality jobs in the EU.
Safeguarding competitiveness through flexibility
Europe has a strong and innovative automotive sector. This proposal aims to safeguard this competitiveness through
provisions which are fair and flexible and which will stimulate the development and deployment of cutting edge
automotive technologies. Under the legislation, several manufacturers will be able to group together to form a pool
which can act jointly in meeting the specific emissions targets. Manufacturers in this pool will be required to abide by
the rules of competition law.
Independent manufacturers who sell fewer than 10,000 vehicles per year and who cannot or do not wish to join a pool can
apply to the Commission for an individual target. Special purpose vehicles such as those designed to accommodate
wheelchair access are excluded from the scope of the legislation.
Implementing the strategy on CO2 emissions from light-duty vehicles
The review of the EU's CO2 and cars strategy[1] also envisaged a number of complementary measures which would contribute
to a further emissions cut of 10g/km or equivalent, thus reducing the overall average emissions of the new car fleet
sufficiently to meet the EU objective of 120g/km. These complementary measures include efficiency improvements for car
components with the highest impact on fuel consumption, such as tyres and air conditioning systems. The Commission
intends to come forward at a later date with proposals for efficiency requirements for such components and the carbon
content of road fuels, notably through a greater use of biofuels. Both the fuel quality proposal being discussed by the
EU institutions and the renewable energy directive due in January will help boost the use of biofuels in the transport
sector.
How the legislation will work
The draft legislation defines a limit value curve of CO2 emissions allowed for new vehicles according to the mass of the
vehicle. The curve is set in such a way that a fleet average of 130 grams of CO2 per kilometre is achieved. A
manufacturer must ensure that by 2012 measured fleet average emissions are below the limit value curve, when all
vehicles manufactured and registered in a given year by the manufacturer in question are taken into account. This means
that the level of emissions by heavier cars will have to be improved proportionately more than lighter cars compared to
today. Manufacturers will still be able to make cars with emissions above the limit value curve provided these are
balanced by cars which are below the curve as long as the fleet average remains at 130 grams. Manufacturers' progress
will be monitored each year by the Member States on the basis of new car registration data.
The proposal will provide manufacturers with the necessary incentive to reduce the CO2 emissions of their vehicles by
imposing an excess emissions premium if their average emission levels are above the limit value curve. This premium will
be based on the number of grams per kilometre (g/km) that an average vehicle sold by the manufacturer is above the
curve, multiplied by the number of vehicles sold by the manufacturer. A premium of €20 per g/km has been proposed in the
first year (2012), gradually rising to €35 in the second year (2013), €60 in the third year (2014) and €95 as of 2015.
Most manufacturers are expected to meet the target set by the legislation, so significant penalties should be avoided.
Next steps
The proposal will now be communicated to the Council and to the European Parliament as part of the co-decision
legislative procedure.
Further information can be obtained at: http://ec.europa.eu/environment/co2/co2_home.htm
ENDS