Documents considered by the Committee on 18 June 2014 - European Scrutiny Committee Contents


9 Carbon dioxide emissions from heavy-duty vehicles

Committee's assessment Politically important
Committee's decision Cleared from scrutiny
Document details Commission Communication on reducing fuel consumption and emissions of carbon dioxide from heavy-duty vehicles
Legal base
Department Transport

Summary and Committee's conclusions

9.1 Although the Commission has noted that the European automotive industry is a world leader in developing clean and energy efficient technologies, it says that transport nevertheless contributes significantly to air pollution and related health problems. It therefore put forward in April 2010 a strategy for encouraging the development and uptake of clean and energy efficient vehicles, which also included a specific undertaking to propose measures targeting fuel consumption and carbon dioxide emissions from heavy-duty vehicles, which are currently not covered by EU emissions legislation. This document has now been produced in response to that commitment, and notes that, although the EU has already taken action to address the main drivers of carbon dioxide emissions from such vehicles, further action is needed to measure and monitor these. In order to do this, it proposes a two stage approach involving the development of a computer-based simulation tool to measure whole vehicle emissions, followed by legislation in 2015 in order to give practical effect to such an approach. It also suggests that, once these short term actions have been implemented, medium term policy options could be proposed, including the setting of mandatory carbon dioxide emission limits for newly registered heavy-duty vehicles.

9.2 This is the latest in a series of Commission Communications addressing the issue of emissions from vehicles, and it fulfils an undertaking in a strategy document produced in 2010, as well as responding to the need highlighted in the Commission's 2011 Transport White Paper for further action to be taken if emissions of carbon dioxide from the sector are to be reduced to the extent required by 2050. Having said that, the document does not itself contain any regulatory proposals, and the approach it advocates is consistent with UK thinking. Consequently, although we are drawing it to the attention of the House, we do not think it requires any further consideration, and we are accordingly clearing it.

Full details of the documents: Commission Communication: Strategy for reducing heavy-duty vehicles' fuel consumption and carbon dioxide emissions: (36051), 10201/14, + ADDs 1-2, COM(14) 285.

Background

9.3 Although the Commission has noted that the European automotive industry is a world leader in developing clean and energy efficient technologies, it says that transport is nevertheless responsible for about one-quarter of EU emissions of carbon dioxide and contributes significantly to air pollution and related health problems. It therefore put forward in April 2010 a strategy[31] for encouraging the development and uptake of clean and energy efficient vehicles, which it saw as a vital part of the Europe 2020 flagship initiative Resource efficient Europe, and as building upon both the European green cars initiative which was launched as part of the European Economic Recovery Plan in November 2008, and the existing 2007 strategy for reducing carbon dioxide emissions from passenger cars and light-duty commercial vehicles.

The current document

9.4 The 2010 strategy also included a specific undertaking to propose measures targeting fuel consumption and carbon dioxide emissions from heavy-duty vehicles, which are not currently covered by EU emissions legislation. This document has now been produced in response to that commitment, and notes that, in the meantime, the Transport White Paper[32] in 2011 indicated that the transport sector should reduce its 1990 level of carbon dioxide emissions by around 60% by 2050, and that the goal proposed in the 2030 climate policy objectives envisages an emissions reduction in that year of around 20% compared with 2008. It goes on to note that heavy duty vehicles account for about one-quarter of road transport emissions, that, as a result of increasing EU freight volumes, these have been rising in a way which is unsustainable, and that they need to be curbed if the targets in the White Paper are to be met.

9.5 At the same time, the Commission suggests that, although significant savings in fuel consumption and emissions can be achieved through technical improvement, carbon dioxide emissions from heavy duty vehicles are neither measured nor reported. As a result, it says that there is a resulting knowledge gap, which reduces transparency, hampers the entry of energy efficient vehicles onto the market, and thus needs to be addressed if the competitiveness of EU heavy duty vehicle manufacturing is to be maintained, given that other countries — notably Japan, the United States and Canada — have already taken action of this kind.

9.6 The Commission also goes on to note that the main drivers of carbon dioxide emissions and fuel consumption from heavy duty vehicles are transport demand generated by economic activity, the split between road, rail, air and waterborne transport, the greenhouse gas intensity of fuels, vehicle energy efficiency, and the operation of heavy duty vehicle fleets. It observes that the EU has already taken action directly or indirectly to address many of these drivers, with a number of further initiatives being prepared in the light of the Transport White Paper, including a further shift to low carbon transport modes, as well as actions to influence the operation of freight transport in a way which reduces energy consumption. However, it proposes that further action should be taken in order to a measure and monitor heavy duty vehicle fuel consumption and carbon dioxide emissions, and that this should be in two stages.

9.7 First, the Commission says that, due to the diversity of heavy-duty models and the tasks they carry out, it is not appropriate to carry out carbon dioxide testing in the same way as for cars and vans. It therefore intends to measure whole vehicle carbon dioxide emissions by developing a simulation tool ('VECTO'), which has been designed for this purpose, taking into account individual vehicle attributes (such as emissions due to the vehicles engine and transmission, aerodynamic performance, tyre rolling resistance and ancillary equipment). The Commission expects this tool to be the first industry-wide methodology to estimate whole heavy-duty vehicle emissions of carbon dioxide, noting that its Joint Research Institute published in April 2013 a 'Proof of Concept', which concluded that simulation of carbon dioxide emission provided estimates sufficiently close to real-world values, and considered reliable enough, for regulatory application (though it says that further adjustments are required to progressively extend it to all categories of heavy-duty vehicles).

9.8 The second stage will involve the introduction of the legislation needed to measure, certify and report carbon dioxide emissions from heavy-duty vehicles, which the Commission plans to bring forward in 2015. In particular, the Commission says that the certification of fuel consumption and carbon dioxide emissions from such vehicles will require the adaption of current type approval legislation so as to allow the inclusion of the VECTO methodology, thus allowing carbon dioxide emissions to be certified by national Type Approval Authorities. It adds that, as with new cars and vans, this information would be made available for all newly registered heavy-duty vehicles, thereby facilitating its monitoring and dissemination. It also suggests that, whilst certification, reporting and improved consumer information are unlikely in themselves to significantly curb emissions, they are expected to enhance transparency on vehicle efficiency in the market and improve competition.

9.9 The Commission says that, once these short term actions are implemented, and based on the findings of further analytical work which will seek to confirm technological potential and gain a broader understanding of market barriers that hinder uptake — including an assessment of costs and benefits of carbon dioxide abatement, and the underlying incentive structure for more energy efficient heavy duty vehicles — it believes that medium term policy options could be proposed, including the setting of mandatory carbon dioxide emissions limits for newly registered vehicles.

The Government's view

9.10 In her Explanatory Memorandum of 11 June 2014, the Minister of State for Transport (Baroness Kramer) says that there are no immediate policy implications arising from this document as it does not contain regulatory proposals. However, she shares the Commission's concerns over the increasing demands for road freight transport, and believes that strong action will be necessary if emissions from larger vehicles are to be reduced and wider climate change objectives are to be met.

9.11 She goes on to observe that, unlike cars and vans, heavy-duty vehicles are not within the scope of current European emissions legislation on carbon dioxide, and that it is likely that some form of EU framework for these vehicles could deliver benefits to the UK similar to those seen with cars and vans. She also points out that the short-term measures identified for the measurement, certification and reporting of carbon dioxide emissions from heavy-duty vehicles are primarily aimed at vehicle manufacturers: they are thus unlikely to result in increased burden on road freight hauliers, who should benefit insofar as increased transparency of emissions data may help them to make more informed vehicle purchasing decisions, and ultimately lead to lower fuel consumption and fuel costs. In addition, it may also help to maintain consistency of approach across Europe in tackling emissions from heavy duty vehicles, which is important for those hauliers working with exporting industries.

9.12 The Minister concludes by saying that, although the Government recognises the Commission's efforts towards the development of a suitable methodology for measuring carbon dioxide emissions from heavy-duty vehicles, and will continue to support international efforts to develop the VECTO simulation tool and the accompanying certification procedure, swift progress should not come at the detriment or expense of providing a solid and robust methodology which accurately reports emissions and has the trust and confidence of those using it. The UK will therefore continue to work with the Commission, industry and academia to ensure that the tool is robust, fit for purpose and correlates to real world emissions. Also, whilst it wants to avoid regulation wherever possible, it accepts that it will be difficult for industry to deliver the carbon dioxide reductions needed to meet future targets without coordinated action, and it sees potential in the use of policies such as consumer labelling or the reporting and monitoring of whole vehicle emissions, if these measures are found to be cost beneficial.

Previous Committee Reports

None.


31   (31520) 9006/10: see First Report HC 428-i (2010-11), chapter 26 (8 September 2010). Back

32   (32639) 8333/11: see Twenty-eighth Report HC 428-xxvi (2010-12), chapter 3 (11 May 2011). Back


 
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