European Commission agrees to force down CO2 emissions

By Alborz Fallah | December 20th, 2007

The European Commission (EC) has today agreed to unprecedented measures to force down emissions of carbon dioxide (CO2) from cars. In a historic move, the EC has decided to use steeply rising fines on manufacturers that fail to comply with new CO2 emission targets.

The new emission targets are set at 120 grams per km and come into effect by 2012. In four years time European manufacturers will be fined 20 euros ($34) for each excess gram per kilometre.

The system works on average emission ratings of all cars built per manufacturer – for example BMW can average out its emission by selling smaller cars that fall below the 120g/km target to compensate for its high-performance M series. Fines will increase to 95 euros ($160)g/km by 2016.

Going by current CO2 emissions the penalties seem harsh and the targets seem almost unreachable. A brand new BMW 320i puts out 178g of CO2/km, and thats just from a 2.0-litre engine! Holden’s 3.6-litre engine in the VE Commodore puts out 260g/km.

Manufacturers still have the hope of lobbying member states and the European Parliament to vote against the legislation.

The decision will mostly affect German luxury producers such as BMW, Mercedes-Benz and Porsche which on average make heavier vehicles and their emissions are rising. MMass-market European makers Peugeot, Renault and Fiat will benefit from their fleet of small cars with shrinking emissions.

And suddenly, Volkswagen’s “New Small Family” of light, small, Up! concept cars starts to make sense. Volkswagen Australia spokesman Jon Dawe confirmed cars besed on the Up! and Space Up! concepts would go into production in Europe by the end of the decade.

The new laws also give incentive to manufacturers that produce compliant cars by allowing carmakers to team up and pool their CO2 emissions to meet the EU targets. This effectively means makers of heavier cars will be able to buy emissions credits from manufacturers whose fleet is below the limit.

With the US Government currently debating a similar move, it seems the future of motoring is green.

John Howard

That will sort out many of the Bavarian fuel munchers.

Diesel here we go. Follow me pipe Bav
Captain Mainwaring

This is the reason why Porsche and Volkswagen will soon join up into one company.
Casey

It’s a target that isn’t hard to meet, many manufacturers come close as it is (or are there already) and the technology is available (at a cost) to reach these goals.

Well done to the EC for having the guts to make such a bold move.
Adam (aka Mada)

The customer will foot the bill for this available technology.
Bill

I love everyone who says “the technology is already there” well thats great but who is going to pay for it?

The EU just shot their auto industry in the foot chasing Al Gores dreams (another hypocrite whose house heating energy is the same as a fleet of small cars), wait until everyone wakes up and realizes autos aren’t the big problem they have been made out to be. The other 90% of industry carries on like usual and third world countries pollute more and more every day with no regard to anyone else, no expenses/fees/taxes brought on by stupid politicians trying to tap into some feel-good votes and no remorse.
Adam (aka Mada)

I tend to agree…Global warming is not all it’s made out to be…
John Howard

This will mean the second hand value of cars will increase due to demend. Given the pretty lousy residuals for European market cars due to the manufactuere discounting going on, this will be good news.