2 Petrol vapour recovery at filling
stations
| (30271)
17170/08
+ ADDs 1-2
COM(08) 812
| Draft Directive on Stage II petrol vapour recovery during refuelling of passenger cars at service stations
|
| Legal base | Article 175EC; co-decision; QMV
|
| Document originated | 4 December 2008
|
| Deposited in Parliament | 16 December 2008
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| Department | Environment, Food and Rural Affairs
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| Basis of consideration | EM of 4 February and SEM of 30 April 2009
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| Previous Committee Report | None
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| To be discussed in Council | See para 2.5 below
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| Committee's assessment | Politically important
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| Committee's decision | Not cleared; further information awaited
|
Background
2.1 Because emissions of volatile organic compounds from petrol
contribute to air quality problems, notably those relating to
benzene and ground level ozone,[4]
the Community introduced a Directive (94/63/EC) to recover vapour
emitted from the storage of petrol and its distribution between
terminals and service stations ("Stage I petrol vapour recovery").
However, the Commission recalls that, in its Thematic Strategy
on Air Pollution, it pointed out that the measures being taken
to increase the volume of biofuels in petrol involved changes
in vapour pressure limits and would thus lead to higher emissions
of volatile organic compounds. It said that it would therefore
bring forward a proposal to introduce the recovery of vapour during
the refilling of passenger cars at filling stations.
The current proposal
2.2 The Commission has now fulfilled that intention in the
current document, which would require Member States to ensure:
- that as from 1 July 2012 any new service station is equipped
with a Stage II petrol vapour recovery system[5]
if its annual throughput is more than 500m3, though
this requirement would apply to any such stations situated under
permanent living quarters or working areas, irrespective of throughput;
- that any existing service station with a throughput greater
than 500m3 is from 1 July 2012 equipped with such a
system when it undergoes major refurbishment;
- that any existing service station with an annual throughput
in excess of 3000m3 is fitted with such a system no
later than 31 December 2020.
Member States would also have to ensure that the hydrocarbon capture
efficiency of any Stage II vapour recovery system is tested at
least once a year (or once every three years where an automatic
monitoring system[6] is
installed), and that the capture efficiency is at least 85%: where
recovered petrol vapour is transferred to an underground storage
tank, the vapour/petrol ratio[7]
would have to be between 0.95 and 1.05.
The Government's view
2.3 In his Explanatory Memorandum of 4 February 2009, the
Minister for Sustainable Development, Climate Change Adaptation
and Air Quality at the Department for Environment, Food and Rural
Affairs (Lord Hunt) pointed out that most petrol stations in the
UK comply with Directive 94/63/EC, and that from 2010 many will
also be required under domestic regulations to implement provisions
akin to those in this proposal, although the trigger thresholds
are slightly different. Thus, the UK regulations will have an
upper threshold of 3500m3 (rather than the 3000m3
now proposed), whilst the 500m3 threshold would apply
only to new service stations (and not to existing ones undergoing
major refurbishment).
2.4 The Minister described these thresholds as being the principal
issue for the UK, and said that the Government was consulting
stakeholders, and would be undertaking an Impact Assessment in
order to determine the implications, adding that it was not at
that stage clear whether any further progress would be made in
Brussels, pending the European Parliament elections and the installation
of a new Commission. We therefore said that we thought it would
be sensible to await that Assessment before taking a view of the
proposal.
Supplementary Explanatory Memorandum of 30 April 2009
2.5 We have now received from the Minister a supplementary
Explanatory Memorandum of 30 April 2009, in which he says that
the negotiations are now proceeding very rapidly, with the aim
of securing a first reading agreement at the beginning of this
month. He anticipates that there will be pressure either to reduce
the deadline by which existing petrol stations must fit the new
equipment, or to lower from 3000 m3 the threshold determining
which of these must be fitted, adding that the former course would
be preferable to UK objectives and interests.
2.6 In view of current timetable, the Minister has enclosed
a draft report by the consultants who have been preparing the
UK Impact Assessment, and says that the final assessment will
be submitted as soon as possible. In the meantime, he draws attention
to the consultants'
conclusion that the typical capital costs of installing Stage
II controls is around £30,000 for a new service station with
a throughput between 3000m3 and 3500m3,
or as part of major refurbishment of such a station; that the
capital costs increase to around £130,000 if the upgrade
is undertaken outside the scheduled refurbishment cycle (although
this will vary according to how much the scheduled refurbishment
is brought forward); and that the comparative costs per tonne
of VOC abated is £700-£1300 (depending on the whether
the value of the recovered fuel is included) for new stations
and on-schedule upgrade, or £1900-£2400 where upgrading
is required in advance of scheduled upgrade. He adds that the
consultants' report concludes on the benefits of implementing
the proposal in terms of health and environmental benefits from
reducing VOCs and avoidance of greenhouse gas emissions.
Conclusion
2.7 Whilst we are grateful to the Minister
for the information he has recently supplied, we do not feel able
to clear the document at this stage. We recognise that, to the
extent the original Commission proposal reflects the approach
in the UK regulations due to come into force next year, it does
not raise any major questions of principle. It does nevertheless
give rise to a number of unresolved issues, and we would be concerned
if a decision were to be rushed through simply in order to reach
a first reading agreement.
2.8 In particular, we have found it difficult
to form a clear view of how the proposal may have evolved during
discussions in Brussels. The Minister refers to possible changes
in the 3000m3 threshold, whereas the consultants' report
appears to place greater emphasis on the possibility of the 500m3
threshold being lowered (albeit combined with a derogation for
those stations with a throughput between 100m3 and
500m3 if they are situated in areas where vapour emissions
are unlikely to contribute significantly to environmental or health
problems). Likewise, although the consultants' report provides
a plethora of information, we are unclear whether, on the assumptions
contained in it, the quantified benefits will be outweighed by
the costs, and this is of course even less easy to establish if
the proposal were to be amended by the Council in the way suggested
by the Minister.
2.9 Against this background, we are reporting
the document to the House, but we think it right to await further
clarification from the Government of its latest contents and the
overall cost-benefit balance.
4 Benzene is a known carcinogen, whilst ozone is a
significant greenhouse gas. Back
5
This would recover the petrol vapour displaced from car fuel tanks
during refuelling, and transfer it either to underground tanks
or back to dispensers for resale. Back
6
Such a system must be able to detect faults, indicate these to
the service station operator, and automatically stop the flow
of petrol if the fault is not rectified within 7 days. Back
7
This is the ratio between the volume of petrol vapour passing
through the recovery system and the volume of petrol dispensed. Back
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