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8 Eur. Envtl. L. Rev. 101 (1999)
Carbon Dioxide Emissions and Cars: An Environmental Agreement at EU Level

handle is hein.kluwer/eelr0008 and id is 103 raw text is: European Environmental Law Review April 1999 101
Carbon Dioxide Emissions and the ACEA Agreement

Carbon Dioxide Emissions and
Cars: An Environmental
Agreement at EU Level
Dr Jan Bongaerts
The European Commission, Bonn
Summary: The EU's commitment to reducing carbon
dioxide emissions and its three pillars strategy. The
environmental agreement entered into with the
European Automobile Manufacturers Association
(ACEA); execution of the agreement; its contents;
assessment by the Commission; the position of non-
members of ACEA. Intermediate evaluation of the
agreement. Reasons for adopting an environmental
agreement rather than formulating legislation-
uncertainty about the relative success of different
technological measures, changes in marketing mix and
keeping the global playing field level. Conclusion that
the challenge will consist in putting the agreement
into practice.

Figure 1: EU Strategy for CO2 Emissions Reduction in the
Passenger Road Transport Sector

Target Group  Instrument
Industry       Environmental
agreement
and Council
Recommendation

Users
Users
All

Council decision
Council Directive
Council Directive

Purpose
To reduce CO2 emissions
from passenger cars
To inform drivers on
fuel economy and CO2
emissions performance of
vehicles
To stimulate decisions
on car purchase through
fiscal incentive schemes
To provide instruments for
policy evaluation

Source: European Commission3
From a legal point of view, the most interesting and
challenging instrument is undoubtedly the environmental
agreement with the European automobile industry repre-
sented by ACEA, the European Automobile Manufacturers
Association. This agreement has been carefully prepared,
both in negotiations between the European Commission
and ACEA, but also in consultations with the Council and
the European Parliament.

1. Introduction                 2. The Environmental Agreement

In tackling the reduction of CO2 emissions the European
Commission is facing a multitude of issues and tasks. The
objective is clear, since the European Union has agreed on
an 8 per cent cut in emissions of a basket of climate change
gases, of which CO2 is the most important, by 2008-2012.'
The Commission is convinced that this commitment puts the
European Union in a front-runner position in climate
change policy-making. At present, there seems not to exist
any abatement technology which would capture CO2 from
exhaust gases resulting from combustion processes.2
Any effective CO2 emissions reduction policy must
therefore aim at environmentally sound technologies based
upon a reduction of the use of energy resources which
contain carbon, in other words, upon improved energy
efficiency in combustion processes. This challenge is
particularly important in the transport sector, because of
the general expectation that CO2 emissions from this sector
are likely to increase if no corrective action is taken.
Irrespective of past achievements in energy efficiency in
transport, i.e., improvements in fuel use per passenger mile
travelled, substantial growth in passenger transport has led,
,and will lead, to increases in CO2 emissions which may make
it impossible to meet the overall 8 per cent reduction target
set by the European Union at the negotiations on the
greenhouse gas protocol in Kyoto in 1997.
In order to address the problem of CO2 and transport,
the European Union has developed a strategy based upon
three pillars and an overall monitoring system, as repre-
sented in Figure 1:

The overall strategy of the European Commission on the
reduction of CO2 emissions from passenger cars was
outlined in the Commission document COM(95) 689 and
resulted in the three pillars strategy depicted in Figure 1.4
This strategy was endorsed by the Council in its conclusions
of 25 June 1996. In particular, the Council specified that
the objective of the strategy should be to achieve an average
CO2 emissions figure for new passenger cars of 120 g/km by
2005 or by 2010 at the latest.5 The Council also accepted
the instrument of an environmental agreement as a means of
committing the industry to making the major contribution
to this objective.
Initially, the European Parliament was opposed to the
idea of such an agreement and called on the Commission to
See European Commission, CO2 and Cars, at http://euro-
a.eu.int/dgl I /co2/co2 intr.htm.
Strictly speaking, this is not correct since CO2 is being recovered
in some industrial installations for commercial purposes- See, e.g_,
Sam A Rishing: CO2 Recovery from Flue Gas, in ISWA (ed),
International Directory of Solid Waste Management 1998/99,
London, James and James, pp. 232 et seq. But there is no
technology to recover CO2 from cars.
3 See Internct site at note 1, supra.
4 This sector is based upon the European Commission's Commu-
nication to the Council and the European Parliament COM(95)
689, A Community strategy to reduce C02 emissions from passenger
cars and improve fuel economy.
s See http://europa.eu.int/comm/dg I I/co2/co2 comm.htm.

Copyright' 2007 by Kluwer Law International. All rights reserved.
No claim asserted to original government works.

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