Following this week¡¯s competitiveness council meeting of European mininsters, the European automobile industry association ACEA has urged the EU to shape the upcoming legislation on CO2 from cars realistically and constructively around the industry¡¯s manufacturing cycles.

 

¡°The industry will be short of lead time ahead of the new legislation and the European Commission has, therefore, principally introduced a phase-in period between 2012 and 2015. This is an important element in the CO2 proposal which needs to be further developed¡±, said Christian Streiff, ACEA President and CEO of PSA Peugeot Citroën at the annual reception of the European Automobile Manufacturers¡¯ Association in Brussels.

 

The ACEA notes that the European Parliament has already voted twice in favour of 2015 as the most appropriate date for new legislation to enter fully into force. Planning certainty and proper lead time are of crucial importance to the automotive industry because of the sector¡¯s long development phases, the extensive investments involved and the corresponding lengthy production cycles required to recover investments. No less than 60% of all cars that will be on the market in 2012 are already in production or in the advanced development stage today.

 

The ACEA sees a clear opportunity to better reward and encourage ¡®eco-innovations¡¯. These innovations often go beyond the so-called ¡®complementary¡¯ measures, including gearshift indicators and tyre pressure monitoring, to further reduce CO2 from cars, for which the Commission is preparing a second piece of legislation by June.

 

¡°The auto industry needs and deserves a framework that promotes the development and market introduction of a broad number of innovative solutions¡±, said Streiff, whose own company PSA recently abandoned a search for state funding for diesel-hybrid powertrain development, and is to launch its system on a restricted range of larger models rather than across the Peugeot and Citroën ranges.

 

Eco-innovations mentioned by the ACEA include energy efficient car lighting, tools to personalise engine and transmission management, and systems to tailor driver assistance from onboard computers and navigation systems. These and many other eco-innovations would often be more cost-effective to install, benefiting both the industry and the consumer, says the ACEA. ¡°Legislation should neither prescribe nor exclude technologies but aim for the best overall results¡±, added Streiff.

 

The level of penalties as proposed by the Commission and still open to debate by EU member states¡¯ ministers and MEPs is described by the ACEA as ¡°exorbitant and disproportionate¡±. ¡°Our industry is committed to reducing CO2. We call for a legislative framework with which we can comply and that safeguards the diversity of our industry as well as the affordability of cars for consumers. Fleet renewal is instrumental to any successful CO2-reduction strategy¡±, said Streiff.

 

The EC¡¯s proposed 95 € per excess gram of CO2 per car, would price per tonne of CO2 emitted by cars at up to €475, more than in any other sector. The Emission Trading Scheme price currently floats around €5 per tonne and may evolve towards around €33 per tonne, according to Commission estimates. The ACEA notes that penalties for the car industry would also be significantly higher than any cartel fine paid in EU competition cases which concern illegal competition law infringements with huge damages for consumers.

From: auto industry/news