European Commission Proposes Longer CO2 Targets Timeline for Cars

EU Commission President Ursula von der Leyen proposed extending the automotive industry's compliance timeline with EU CO₂ standards from annual to a three-year period using a banking and borrowing approach. This aims to enhance competitiveness and provide flexibility, following industry calls for regulatory adjustments, though some think tanks oppose the changes.

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European Commission President Ursula von der Leyen has announced a proposal to extend the timeline for the automotive industry’s compliance with the European Union’s CO₂ standards. Instead of adhering to annual targets, manufacturers would have a three-year period to meet the emission requirements. This adjustment is expected to be introduced through a “focus amendment to the CO₂ standards,” utilizing a “banking and borrowing” approach, according to von der Leyen during a press conference in Brussels.

The initiative follows the second session of the ‘Strategic Dialogue on the Future of the European Automotive Industry,’ where industry stakeholders advocated for modifications to the EU’s carbon emissions regulations. These stakeholders argued that the changes would help prevent penalties and enhance the competitiveness of the sector. While the overall emission caps for new cars would remain unchanged, the proposed amendment aims to provide the industry with additional flexibility without compromising predictability for manufacturers already meeting the annual targets.

Von der Leyen emphasized the necessity of swift agreement on the proposed changes, stating that the relaxation of the targets “only makes sense if it is agreed quickly.” In line with this, the European Commission plans to accelerate the review of the 2035 targets. However, transport think tanks have expressed opposition to the proposed adjustments, maintaining that most car manufacturers are capable of meeting the existing targets without incurring penalties. These organizations have presented calculations to support their stance, suggesting that the current framework is sufficient.

A preliminary version of the Automotive Action Plan, scheduled for release on March 5th, was obtained by Euractiv on Friday. The document, titled “Food for thought,” included only a placeholder regarding emission standards, indicating that the issue remains under active discussion. The final plan is expected to outline the specific details of the proposed amendments and address the ongoing debates within the automotive industry and regulatory bodies.

The European Commission’s proposal reflects ongoing efforts to balance environmental objectives with the economic realities faced by the automotive sector. By potentially providing a more flexible compliance timeline, the Commission aims to support the industry’s transition towards lower emissions while maintaining the integrity of the EU’s climate goals.

Source: Euractiv

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