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Passenger cars alone are responsible for around 12% of total EU emissions of carbon dioxide (CO2), the main greenhouse gas. As part of the EU's efforts to tackle climate change, the European Commission proposed legislation, back in 2007, setting emission performance standards for new passenger cars. That legislation, adopted in 2009 by the European Parliament and the Council, is the cornerstone of the EU's strategy to improve the fuel economy of cars and ensure that average emissions from new passenger cars in the EU do not exceed 120 gCO2/km.
Some key elements of the adopted legislation are as follows:
The fleet average to be achieved by all cars registered in the EU is 130 grams per kilometre (g/km) by 2012, a 19% reduction. A so-called limit value curve implies that heavier cars are allowed higher emissions than lighter cars while preserving the overall fleet average.
In 2012, 65% of each manufacturer's newly registered cars must comply on average with the limit value curve set by the legislation. This will rise to 75% in 2013, 80% in 2014, and 100% from 2015 onwards.
If the average CO2 emissions of a manufacturer's fleet exceed its limit value in any year from 2012, the manufacturer has to pay an excess emissions premium for each car registered. This premium amounts to €5 for the first g/km of exceedance, €15 for the second g/km, €25 for the third g/km, and €95 for each subsequent g/km. From 2019, already the first g/km of exceedance will cost €95.
A target of 95g/km is specified for the year 2020. Details of how this target will be reached, including the excess emissions premium, will have to be defined in a review to be completed no later than the beginning of 2013.
Because the test procedure used for vehicle type approval is outdated, certain innovative technologies cannot demonstrate their CO2-reducing effects under the type approval test. As an interim procedure until the test procedure is reviewed by 2014, manufacturers can be granted a maximum of 7g/km of emission credits on average for their fleet if they equip vehicles with innovative technologies, based on independently verified data.
Manufacturers can group together to form a pool which can act jointly in meeting the specific emissions targets. In forming a pool, manufacturers must respect the rules of competition law and the information that they exchange should be limited to average specific emissions of CO2, their specific emissions targets, and their total number of vehicles registered.
In addition, independent manufacturers who sell fewer than 10,000 vehicles per year and who cannot or do not wish to join a pool can instead apply to the Commission for an individual target. Special purpose vehicles, such as vehicles built to accommodate wheelchair access, are excluded from the scope of the legislation.
Under the legislation, the Commission sets down rules on the data required to monitor the CO2 emissions of new cars. Monitoring reports can be found under the documentation tab above.