Europe: carbon market puts auto industry at odds with environmentalists image

Green campaigners are set to clash big time with the forces of the automotive industry, as a debate over the inclusion of the road transport into the EU carbon market is expected soon.

European legislators are mulling the inclusion of transportation – the second-biggest polluting emissions source after the power business – into the EU Emissions Trading System (ETS), a move that follows in the footsteps of America’s greenest state – California. The inclusion into the ETS would help automakers across Europe save big on the cost they’re currently facing in the near future – it would allow them to more easily meet the existing regulations and also put their oversupply on the carbon market.

“Any new CO2-reduction policy should be cost-efficient, technologically neutral and balanced in achieving the aim of reducing CO2,” said Erik Jonnaert, secretary-general of ACEA, the European automobile manufacturers’ association.

“The carmakers would scream ‘double regulation’ and argue to weaken CO2 standards because emissions have been dealt with in the ETS,” responds Greg Archer from environmental campaigners T&E.

EU’s executive arm – the Commission – is expected to make an announcement later this year on the new policy that would see another new standard for CO2 emissions set for the year 2025, with an overall new goal also targeted in 2030.

Via Automotive News Europe