Following the news that the European Commission is amending its planned phase-out of combustion engine vehicle sales, Transport & Environment has said that ‘playing for time won’t make European carmakers great again’.
T&E was commenting following the Commission’s unveiling of the Automotive Package, which it describes as an ‘ambitious yet pragmatic policy framework’ to achieve net-zero emission vehicles by 2050, while also providing ‘more flexibility’ to manufacturers.
Instead of a zero-emissions target by 2035, a new target of a 90% reduction in CO2 emissions has been introduced.
“Innovation. Clean mobility. Competitiveness. This year, these were top priorities in our intense dialogues with automotive sector, civil society organisations and stakeholders,” commented Commission President von der Leyen. “Today, we are addressing them all together. As technology rapidly transforms mobility and geopolitics reshapes global competition, Europe remains at the forefront of the global clean transition.”
‘Confusing signal’
According to T&E, the announcement ‘sends a confusing signal’ to manufacturers, permitting them to continue to sell combustion engine vehicles, despite the EU’s aim to eradicate polluting cars from its roads by 2050.
As a result of the weakened legislation, T&E estimates that 25% fewer battery-electric vehicles (BEVs) will be sold by 2035 than under previous targets, although BEVs will still likely dominate the car market from 2030 onwards.
It added that the reduced target also risks shifting capital away from electric vehicle development at a time when Europe is being fast outpaced by their Chinese competitors.
‘Complexity over clarity’
“The EU has chosen complexity over clarity,” commented William Todts, executive director at T&E. “Breeding faster horses could never have halted the ascent of the automobile. Every euro diverted into plug-in hybrids is a euro not spent on EVs while China races further ahead. Clinging to combustion engines won’t make European automakers great again.”
The Commission’s proposal also introduces additional flexibility through a system of credits, whereby carmakers could potentially offset lower electric vehicle sales by claiming credits linked to the use of green steel in manufacturing, as well as to advanced biofuels and e-fuels in the European fuel mix.
According to T&E, this would enable carmakers to sell fewer EVs ‘in return for non-existent emissions savings’. Read more here.
