Simplifying legislation
A collection of 38 EU directives dealing with technical standards for brakes or tyres are set to be replaced by regulations adopted at UN level. In tune with the Commission's new 'better regulation' mantra, the group recommended that particular attention be given in the future on producing socio-economic impact assessments for every new legislative proposal.
CO2 emission cuts
Reducing carbon dioxide emissions from vehicles "cannot rest with the automotive industry alone," the group stressed. It hence called for more industries to take part in those efforts in what it calls an 'integrated approach' to reach the EU's target to reduce emissions to an average 120g/km. However, the report stops short of setting a clear deadline for reaching this target and only lists a series of options which will be assessed in more detail later in 2006:
- Giving particular attention to biofuels by the oil industry, including first and, in particular, to second generation biofuels (BTL, methanol, etc.) and hydrogen "which needs a major R&D effort". "The oil industry will also have to make efforts," said Commissioner Verheugen
- The group broadly agreed that harmonised taxation of vehicles and fuels based on CO2 emissions would be desirable. However, this particular point was contested by the UK, which argues taxes are better dealt with at national level
- The group calls upon other parties to participate in reducing CO2 emissions. Recommendations include influencing driver behaviour (eco driving, gear shift indicators), product labelling and congestion avoidance (traffic control and management systems).
The cost and benefits of each option, together with a timetable for implementation, will be examined next year by a special working group under the European Climate Change Programme.
Pollutant emissions (Euro 5 and Euro 6 standards)
A detailed proposal for the Euro 5 standard will be tabled in the course of next week (19-23 December). The draft propose to:
- Diesel cars: reduce Particulate Matter (PM) emissions to 5mg/km and Nitrogen oxide (NOx) to 200mg/km
- Petrol cars: reduce hydrocarbon emissions to 75mg/km and NOx to 60mg/km
Road safety
The Commission said it will table new compulsory measures on vehicle technologies (electronic stability control, seatbelt reminder, brake assist systems and so on.). A proposal to improve cross-border judicial cooperation will be table in 2006 to make sure drivers braking traffic rules in other countries are reprimanded.
Increasing access to markets in non-EU countries
Finally, the group expressed serious concern about access to emerging markets and China in particular. Recriminations include "favouritism towards domestic producers, investment restrictions, local content constraints and weak enforcement of intellectual property rights". Verheugen said EU carmakers were not given enough guarantee that they can obtain a majority of shares in case of joint venture with Chinese makers. EU industry, he said, need to be defended in this respect. But he insisted that "defending EU industry does not mean protectionism".
In a statement, the Commission said it will closely monitor Chinese business and regulatory developments "with a view to assessing the possibility of success at an eventual WTO dispute settlement panel if the existing situation does not improve".



