Wednesday, November 14, 2007

Squabbles continue over car emissions targets

The wrangling between EU institutions continues over the setting of medium and long-term emissions limits for cars.

The outcome could have very serious implications for Britain's executive, sports and off-road car makers, and the tens of thousands of people they employ - both directly and indirectly.


In a European Parliament resolution of 24 October 2007, MEPs responded to the EU Commission's aspiration to set an average emissions limit of 120g/km of CO2 by 2012.

This limit would require car-makers to reduce average emissions to 130g/km CO2 through improved vehicle technology, with the further 10g/km reduction permitted to come from use of alternative fuels, improved tyres etc.

However, in their response, MEPs demanded a more stringent emissions limit, albeit conceding an extended deadline by three years. They want average emissions reduced to 125g/km of CO2 by 2015, to be achieved through technological changes alone.



EU's "kneejerk" timescale

Bearing in mind that average car emissions last year were 160g/km of CO2, such dramatic reductions in the space of a few years are extremely ambitious targets and have been described by the Society of Motor Manufacturers and Traders as a "kneejerk" response that doesn't give the car industry time to plan.

Biting back at the European 'Parliament', the Commission has struck a note of defiance.

Spokeswoman Barbara Helfferich said the EU would stick by its targets for overall fleet-wide averages of 120g/km by 2012 and aimed to come forward with the proposals for legislation by the end of the year.

"We have done our homework and we think the industry will be able to afford these measures," Helfferich says.


Kelly's noises off

Most recently, Ruth Kelly - the Transport Secretary - has intervened in the debate. In an interview in The Times, she says that she will urge the European Union to adopt an even tougher target of 100g of CO2 per kilometre for the average new car, but wants the compliance deadline extended further to between 2020 and 2025.

Kelly also said she would seek exemptions from the limits for elements of Britain's car industry which produced relatively small numbers of high-emission cars.

Time will tell how successful she ends up being. In truth, our Transport Secretrary has been reduced to the status of chief lobbyist to the real decision-makers, which will be the EU institutions.

Being brought forward as an environmental measure, this issue will ultimately be decided by majority voting. So if our elected government minister isn't given what she wants, there's nothing she or anyone will be able to do about it anyway. She'll get out-voted, and we'll have to impose the law regardless.


Predictable outcome


How this sorry saga will end is already all too predictable.

I'll stick my neck out and predict that Kelly will not get the deadline extended as far as she wants. Neither will she get Britain's specialist car makers permanently excluded from the limits.

What she may get, as a face-saving gesture, is some kind of temporary derogation from the limits for Britain. This will basically be a stay of execution for Britain's specialist car industry, as it isn't likely companies such as Rolls Royce, Bentley or Aston Martin will be able to comply with the average emissions limit in their model range in any likely extended term, nor have the kind of money necessary to develop technology that will bring about such a rapid cut in the emissions of their products.

So not only will large sections of our industry and tens of thousands of workers very likely suffer due to a blinkered obsession with the dodgy science apparently linking CO2 emissions to global warming, but their fate will be decided by people sitting in Brussels that none of us can hold accountable for their decisions in any meaningful way.

Hardly good for prosperity, nor what most people would understand by the idea of living in a democracy.



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