Communication from the Commission to the Council and the European Parliament - Implementing the Community Strategy to Reduce CO2 Emissions from Cars First annual report on the effectiveness of the strategy
Date: 2000-10-04
Institutions: European Commission
Subjects: environmental protection, greenhouse gas, motor car, report, transport safety

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 04.10.2000
COM(2000) 615 final

COMMUNICATION FROM THE COMMISSION TO THE COUNCIL AND THE
EUROPEAN PARLIAMENT

Implementing the Community Strategy to Reduce CO2 Emissions from Cars
First annual report on the effectiveness of the strategy

COMMUNICATION FROM THE COMMISSION TO THE COUNCIL AND THE
EUROPEAN PARLIAMENT

Implementing the Community Strategy to Reduce CO2 Emissions from Cars
First annual report on the effectiveness of the strategy

I.

Introduction

The Community’s strategy to reduce CO2 emissions from passenger cars and improve fuel
economy1 was endorsed by the Council in 19962. It aims at achieving an average CO2
emission figure for new passenger cars of 120 g CO2/km by 2005, and 2010 at the latest.

It is based on three main pillars:

1.

2.

3.

Commitments of the automobile industry on fuel economy improvements, aiming at
achieving an average CO2 emission figure for new passenger cars of 140 g CO2/km
by 2008/2009.

Fuel-economy labelling of cars3 which aims at ensuring that information relating to
the fuel economy and CO2 emissions of new passenger cars offered for sale or lease
in the Community is made available to consumers in order to enable consumers to
make an informed choice4.

The promotion of car fuel efficiency by fiscal measures. In this respect
the
Environment Council in October 19995 reiterated the need to study the possibility of
establishing a reference framework for fiscal incentives6.

These pillars are supplemented by research activities.

the effectiveness of the strategy
The Council
regularly7. In order to establish a detailed and fully transparent monitoring the Commission

invited the Commission to report about

1

2

3

4

5

6

7

COM (1995) 689 final
Council conclusions of 25.6.1996
Directive 1999/94/EC relating to the availability of consumer information on fuel economy and CO2
emissions in respect of the marketing of new passenger cars
The “Labelling” Directive has been adopted on 13 December 1999; the implementation by Member
States is required by 18 January 2001. In June 2000 the Committee foreseen under Article 10 has been
established with the objective to formally start work on the reporting format mentioned in Article 9. In
addition the Commission services started work on the establishment of an Internet site on fuel
consumption and CO2 emissions from passenger cars marketed within the EU. It is planned to establish
this site in close co-operation with the manufacturers concerned.
Council conclusions of 06.10.1999
The Commission has started work on fiscal framework measures. For this purpose it established an
“Expert Group on Fiscal Framework Measures”. The Expert Group’s overall objective is to assist the
Commission in its work on fiscal framework measures to reduce CO2 emissions from passenger cars
within a co-operative effort of all relevant stakeholders such as representatives of the Commission, the
Member States, industry and the NGO community. In addition the Commission started technical
discussions on the incorporation of the “Enhanced Environmentally Friendly Vehicle” concept into the
passenger cars legislation, including fuel-consumption values.
Council conclusion of 25.06.1996

2

intends to submit reports on an annual basis, meeting at the same time related reporting
requests expressed by Council8. The European Parliament should be informed as well.

This first report covers the progress made with regard to the commitments made by the
automobile industry. Future reports will address as well the other parts of the strategy in more
detail, including the requirements laid down in Decision 1753/2000/EC9 as soon as these parts
of the strategy are implemented, or significant progress is made. The Commission believes
that
to follow the
implementation of the Community strategy in the most efficient way10.

such a consolidated reporting will allow all

interested parties

II.

Progress made with regard to the commitments made by the automobile industry

The commitments made by the automotive industries provide the major contribution to the
Community’s strategy to reduce CO2 emissions from passenger cars and improve fuel
economy.

After submission of the commitment of the European automobile industry (European
Automobile Manufacturers Association – ACEA11) in 199812, equivalent commitments were
made in 1999 by the Japanese (Japan Automobile Manufacturers Association - JAMA13) and
Korean (Korea Automobile Manufacturers Association - KAMA14) automobile industries15.

All three commitments constitute equivalent efforts having the following main features:

1.

2.

The CO2 emission objective: All commitments contain the same quantified CO2
emission objective for the average of new passenger cars sold in the European
Union, i.e. 140 g CO2/km (to be achieved by 2009 by JAMA and KAMA and by
2008 by ACEA).

Means of achievement: ACEA, JAMA and KAMA commit themselves to achieving
the CO2 target mainly by technological developments and related market changes.

In addition “estimated target ranges” for the average new car CO2 emissions are provided for
2003/200416. These target ranges, however, are indicative and do not represent an additional
commitment by the associations. Nevertheless the Commission attaches special importance to
these intermediate targets as a basis for verifying whether the commitments are effective.

The commitments of ACEA, JAMA and KAMA must be subject to a thorough, transparent
and fair monitoring scheme. For this purpose they are complemented by the joint monitoring

8

9

10

11

12

13

14

15

16

found on the web site:

Council conclusions of 06.10.1998 and 06.10.1999
Decision 1753/2000/EC of the European Parliament and of the Council establishing a scheme to
monitor the average specific emissions of CO2 from new passenger cars
Information concerning the Community strategy can also be
http://www.cc.cec:8082/comm/environment/co2/co2_home.htm
European car manufacturers in ACEA: BMW AG, DaimlerChrysler AG, Fiat S.p.A., Ford of Europe
Inc., General Motors Europe AG, Dr. Ing. H.c.F. Porsche AG, PSA Peugeot Citroën, Renault SA,
Volkswagen AG, AB Volvo
COM (1998) 495 final
Japanese car manufacturers in JAMA: Daihatsu, Fuji Heavy Industries (Subaru), Honda, Isuzu, Mazda,
Nissan, Mitsubishi, Suzuki, Toyota
Korean car manufacturers in KAMA: Daewoo Motor Co. Ltd., Hyundai Motor Company, Kia Motors
Corporation
COM (1999) 446 final
For ACEA 165 – 170 g CO2/km in 2003; for JAMA 165 – 175 g CO2 /km in 2003; for KAMA 165 –
170 g CO2/km in 2004.

3

mechanism with the associations and the future Community monitoring system17. Every year
“Joint Reports”, one with each of the associations, are drafted and agreed between the parties,
and attached to the Commission’s Communication to Council and European Parliament (see
Annexes).

In order to guarantee transparency the Commission services and the three associations agreed
on the format of the “Joint Report”. The layout of these reports is therefore quite similar and
so is the detail of the underlying data that has been provided by the respective association.
The associations’ data sources are considered as very reliable, and have been used because the
official EU CO2 monitoring system will not become operational until 2001/2. Once available
this system will allow official emissions data to be used18.

The main findings for the reporting period 1995 to 1999 are:

All associations reduced the average specific CO2 emissions of their cars sold on the EU
market. ACEA and JAMA show good progress, KAMA is lagging behind (see Table 1).

ACEA

gasoline
diesel
all fuels (1)

JAMA

gasoline
diesel
all fuels (1)

KAMA

gasoline
diesel
all fuels (1)

EU-15 (2)

1995
CO2 (g/km)

1996
CO2 (g/km)

1997
CO2 (g/km)

1998
CO2 (g/km)

1999
CO2 (g/km)

188
176
185

186
174
183

183
172
180

182
167
178

180
161
174

1995
CO2 (g/km)

1996
CO2 (g/km)

1997
CO2 (g/km)

1998
CO2 (g/km)

1999
CO2 (g/km)

191
239
196

187
238
193

184
222
188

184
221
189

181
221
187

1995
CO2 (g/km)

1996
CO2 (g/km)

1997
CO2 (g/km)

1998
CO2 (g/km)

1999
CO2 (g/km)

195
309
197

197
274
199

201
246
203

198
248
202

189
253
194

1995
CO2 (g/km)

1996
CO2 (g/km)

1997
CO2 (g/km)

1998
CO2 (g/km)

1999
CO2 (g/km)

gasoline
diesel
all fuels (1)
(1)gasolineanddieselonly,otherfuelsarenegligible.

188.6
178.8
186.4

186.4
177.5
184.4

183.8
175.0
181.8

182.5
171.5
179.6

180.3
165.3
175.9

Change 95-99 (%)*
CO2 (g/km)
-4.3%
-8.5%
-6.0%

Change 95-99 (%)*
CO2 (g/km)
-5.2%
-7.5%
-4.6%

Change 95-99 (%)*
CO2 (g/km)
-3.0%
-18.1%
-1.5%

Change 95-99 (%)*
CO2 (g/km)
-4.4%
-7.5%
-5.6%

(2)NewpassengercarsputontheEUmarketbymanufacturersnotcoveredby theCommitmentaccountforabout100000vehicles

annually withanaveragespecificCO2emissionofabout220to240g/km.Hence,theywouldnotinfluencetheEUaveragesignificantly.

(*)Percentages areroundedfigures.

Table 1: Average specific CO2 emissions of new passenger cars per fuel type, for each
association and the European Union

Under the assumption that the associations continue with the average annual reduction rate in
the same range as in the reporting period ACEA would meet the intermediate target rate,
JAMA would be slightly above and KAMA would be significantly above. However, it can be
expected that JAMA and KAMA will catch up in the coming years.

The average CO2 emissions of new passenger cars decreased as well in all Member States
(see Figure 1)

17

18

Decision 1753/2000/EC of the European Parliament and of the Council establishing a scheme to
monitor the average specific emissions of CO2 from new passenger cars.
Article 8 of Decision 1753/2000/EC requires that the monitoring system from the year 2003 onward
shall serve as the basis for the voluntary obligations agreed between the Commission and the
automobile industry.

4

Weighted Averages per Member States

1995

1999

)

m
k
g
(

/

2
O
C

250

200

150

100

50

0

A

B

DK

F

FIN GER GR IRE IT LUX NL

P

SP SW UK

EU-
15

Figure 1: Average Specific CO2 emissions of new passenger cars in the EU and in Member
States in 1995 and 1999 (weighted averages based on the data for diesel and gasoline vehicles
forwarded by the three associations)

In order to meet the final target of 140 g CO2/km additional efforts are necessary and the
annual reduction rate needs to be increased (on average the reduction rate must be 2 % per
year throughout the entire monitoring period; currently ACEA achieves on average about 1,5
% per year, JAMA 1.15 % per year, and KAMA 0.4 % per year). However, it is predicted in
the commitments that the associations would increase their reductions CO2 rates with time.
Furthermore ACEA points out in its report that the biggest advances on CO2 emission will
occur at the time of major product renewal, not at mid-cycle.

The reductions achieved so far are based on technological developments (mainly the
introduction of High Speed Direct Injection Diesel (HDI) Engines, to less extent by the
Injection (GDI) Engines, Continuously Variable
introduction of Gasoline Direct
Transmission, “Mini Cars” and Dual Fuelled Vehicles) as well as on other measures.
Moreover, ACEA and JAMA introduced passenger cars emitting less than 120 g CO2/km.

All associations increased the diesel share of their fleets within the reporting period
(see Table 2).

5

ACEA
gasoline share
diesel share
total number of PC

1995

73,4%
24,0%
10.241.651

1996

72,9%
24,3%
10.811.011

1997

73,1%
24,3%
11.226.009

1998

70,3%
27,0%
11.935.533

1999

65,8%
31,0%
12.518.260

Change 1995-1999 (%)
-7,6%
7,0%
22,2%

JAMA
gasoline share
diesel share
total number of PC

KAMA
gasoline share
diesel share
total number of PC

1995

82,1%
9,5%
1.233.975

1996

82,1%
10,4%
1.342.144

1997

83,2%
11,2%
1.510.818

1998

81,6%
13,1%
1.666.816

1999

80,4%
14,9%
1.716.048

Change 1995-1999 (%)
-1,7%
5,3%
39,1%

1995

1996

1997

1998

1999

87,9%
1,6%
169.060

87,6%
1,8%
236.454

89,2%
2,3%
275.453

85,9%
6,1%
373.230

81,9%
7,4%
463.724

Change 1995-1999 (%)
-6,0%
5,8%
174,3%

1995

EU-15 (1)
gasoline share
diesel share
total number of PC
Note: Totalsincludestatisticallyunidentifiedvehiclesandvehiclesusing 'otherfuel'types; percentages donotincludethesevehicles.

74,2%
22,4%
12.389.609

74,5%
22,2%
11.644.686

68,0%
28,4%
14.698.032

74,6%
22,3%
13.012.280

72,1%
24,7%
13.975.579

Change 1995-1999 (%)
-6,5%
6,2%
26,2%

1997

1998

1999

1996

(1)Newpassengercars putonthe EUmarket bymanufacturersthat arenot coveredbythe Commitment

accountforabout100 000vehiclesannually,withanaverage specificCO2emissionof about220 to240g/km.

Asthesewouldnotinfluencethe EUaverage, theyarenotincludedin theEUaveragesandtotals.

Table 2: Trends in Fleet composition for each association and the EU

The diesel share increase was predicted for the short-term, however it is expected that this
will be reversed in the longer term with the introduction of Gasoline Direct Injection
technology. All associations declared in their respective commitment that they will meet the
final target by mainly technological developments and market changes linked to these
developments19.

With regard to the assumptions underlying the commitments the associations drew attention
to matters as fuel quality and other regulatory measures.

that better fuel qualities might be available in the market

The car industry attributes great importance to the availability of low sulphur fuel to meet
dual targets of reduced CO2 and NOx emissions. The associations made their commitments on
the basis of the fuel quality requirements laid down in Directive 98/70/EEC, although they
in the future20. The
expect
Commission notes the importance that some parties attribute to lowering the current
legislative maxima for the sulphur content of petrol and diesel in Community legislation. In
order to consider the issue further the Commission has launched a consultative exercise to
seek views from stakeholders. It is expected that this will be completed by the end of this year
and before the pending amendment to Directive 98/70.

The car industry ACEA anticipates that the End-of-Life Vehicle (ELV) Directive will have
adverse implications for the fuel efficiency of cars, as it may limit in its opinion the use of
certain light materials and technologies, while burdening significantly the companies. The
Commission does neither expect repercussions of the ELV Directive on the CO2 commitment
nor significant adverse repercussions on the industry’s economic situation.

19

20

The three “Joint Reports” do not address the question of measures taken in all details since this issue
will be studied in greater detail within the implementation of Decision 1753/2000/EC. This Decision
requires the Commission to report to Council and European Parliament by 2003/2004 and 2008/2009
about the reductions achieved by technical and by other measures.
The associations expected that some gasoline (e.g. Super-Plus 98 octane) and some diesel plus with a
maximum sulphur content of 30 ppm are provided in 2000 on the whole EU market in a sufficient
volume and geographical cover; in 2005 full availability of fuels on the whole EU market which satisfy
the following: gasoline with a maximum sulphur content of 30 ppm and of a maximum aromatic
content of 30% and diesel with a maximum sulphur content of 30 ppm and a cetane number of
minimum 58.

6

KAMA drew special attention to the ongoing restructuring process, associated budget cuts
and the reduction of technical and scientific staff that has negative repercussions on KAMA’s
capabilities to develop the necessary new CO2 efficient technologies and to introduce new
models on the EU market.

III.

Other related measures

The Commission services are assessing some additional measures related to the measurement
of CO2 and fuel consumption, as defined in Directive 80/1268/EEC:

(a)

(b)

With regard to the extension of the scope to light commercial vehicles (category N1)

In the field of CO2 emission values for alternatives fuels (other than LPG and NG,
which are already included in the type approval system) and alternative propulsion
systems

(c)

With regards the definition of mass in Directive 70/156/EEC.

IV.

Conclusions

The implementation of the Community’s strategy to reduce CO2 emissions from passenger
cars and improve fuel economy shows significant progress. Two of the three main pillars
(commitments of the car industry and fuel-economy labelling of cars) are in place, intensive
work on the third (fiscal measures) is underway. The first set of “Joint Reports” shows that
the ACEA and JAMA are on the way to match the interim targets. KAMA has to increase its
efforts significantly. In order to meet the final target of 140g CO2/km all three associations
have to increase their efforts, which is also foreseen in the Commitments. Based on the
attached reports the Commission has no particular reason to believe that any of the
associations would not live up to its commitment. To achieve the Community strategy target
of 120g CO2/km, it is important that the Community continues its work in developing and
implementing the two pillars for consumer information and fiscality.

7

ANNEX

1)

2)

3)

Monitoring of ACEA’s Commitment on CO2 Emission Reduction from Passenger
Cars (1995-1999), Joint Report of
the European Automobile Manufacturers
Association and the Commission Services, Final version of 10. 07. 2000

Monitoring of JAMA’s Commitment on CO2 Emission Reduction from Passenger
Cars (1995-1999), Joint Report of the Japan Automobile Manufacturers Association
and the Commission Services, Final version of 11. 07. 2000

Monitoring of KAMA’s Commitment on CO2 Emission Reduction from Passenger
Cars (1995-1999), Joint Report of the Korea Automobile Manufacturers Association
and the Commission Services, Final version of 11. 07. 2000

The annexes are available only in English.

8