Commission heads for compromise over car emissions

European carmakers will not be alone in being asked to shoulder responsibility for cutting carbon dioxide (CO2) emissions from cars, according to a compromise being drawn up inside the Commission.

All departments of the European Commission are said to have agreed that legislation is needed to force down CO2 emissions from new cars, with industry failing to meet a voluntary reduction target to bring average emissions down to 140 grams per kilometre (g/km) by 2008. But divisions over who should be responsible for the cuts led to the postponement from yesterday (24 January) until 31 January at the earliest of a Commission communication setting out legislative plans.

Environment Commissioner Stavros Dimas has proposed setting a legally binding target of 120g/km by 2012, in line with ambitions agreed by EU ministers ten years ago. He said this target would be "measurable, enforceable and achievable" for car manufacturers.

But Commission sources say officials are moving towards a compromise deal setting 125g/km as the target for carmakers. A further 5g/km is to be achieved by setting greenhouse gas reduction targets for the fuel industry, in a revision of the fuel quality directive. Running a car on a blend of conventional and plant-based (bio) fuels can reduce CO2 engine emissions. Proponents of the compromise deal hope that wider use of these fuels, together with design changes from car manufacturers to hit the 125g/km target, would in practice bring average emissions down to 120g/km.

Dimas argues that CO2 targets for carmakers should be kept separate from other plans to reduce greenhouse gas emissions, such as an increased use of biofuels, improvements to tyre pressure and changes in driver behaviour.

"We had an agreement that the car industry promised to fulfil and we now need legislation to keep that agreement," said the commissioner.

One Commission source said Dimas was sticking to his 120g/km proposal for now, but was likely to accept a compromise deal on 125g/km plus more carbon-friendly fuels rather than lose the chance of legislation altogether. "This compromise would still give Europe the most advanced environmental legislation in the world for transport emissions," explained the official.

A spokeswoman for Commission President José Manuel Barroso said: "The president believes there is a need for legislation to meet the [120g/km] target set by the Commission", adding that he wanted to use "the coming days to reach a compromise on the best way to reach that target".

Enterprise Commissioner Günter Verheugen has argued the case for an ‘integrated approach’ which would see responsibility for cutting emissions shared across several sectors. His position is supported by the car industry.

Sigmar Gabriel, the German environment minister, said that the German EU presidency had not yet agreed all the details of its position, but suggested he would support the 125g/km plus biofuels compromise. "I can only say that we need legislation [on car emissions], that we need 120g/km as the target and that it is a good idea to discuss this alongside the development of biofuels," he explained.

A Commission official said the communication on CO2 emissions would be followed by an impact assessment and legislative proposal "before the summer".

The communication is intended to be published alongside revisions to the EU fuel quality directive and a report on the competitiveness of the EU car industry. All three papers have now been delayed.

European carmakers will not be alone in being asked to shoulder responsibility for cutting carbon dioxide (CO2) emissions from cars, according to a compromise being drawn up inside the Commission.