Summary
The European Commission plans to propose measures to bring emissions of greenhouse gases from the average new car down to 120g of CO2 per kilometer by 2012 - 25% below the 2005 level of 162g/km.
Final provisions will depend on a host of complex negotiations, but the overall trend is clear: the competitive advantage for car manufacturers to offer more efficient engines is likely to become ever more pronounced in the years ahead.
Analysis
The European Commission is to propose measures to bring emissions of greenhouse gases from the average new car down to 120g of CO2 per kilometer by 2012 - 25% below the 2005 level of 162g/km. Car makers would be be responsible for getting emissions down to 130g/km through better car technology, whereas increased use of biofuels, better tires & measures to foster smoother driving would save the extra 10g/km.
These proposals are part of the Commission’s opening gambit; this is early days in the legislative process, so that the final provisions will depend on a host of complex negotiations.
Yet, as for other measures under the EU comprehensive energy & climate change strategy, there is no mistaking the European authorities’ determination to implement effectual policies that will have a real impact on overall emissions.
On top of EU legislation, individual member states are considering fiscal measures that will further weigh on fuel-guzzlers.
The overall direction is thus clear: the competitive advantage for car manufacturers to offer more efficient engines is likely to become even more pronounced in the years ahead.
