EU Strikes Deal on E-Fuels Requiring Zero Emissions from New Cars by 2035.

Today, the European Union countries gave their final approval to adopt a new regulation that will require a 100% reduction in emission from new cars and vans. The EU policy will require all new cars sold to have zero CO2 emissions from 2035 and 55% lower CO2 emissions from 2030, versus 2021 levels. This is in line with the European Commission’s “Fit for 55” roadmap to cut GHG emissions. However, Germany won an exemption for cars running on e-fuels, leading to concerns that traditional combustion engine cars could still be sold beyond 2035.

"The direction of travel is clear: in 2035, new cars and vans must have zero emissions,"
- EU climate policy chief Frans Timmermans

This regulation had been agreed to by the council and the European Parliament in October 2022 but during its final adoption there were roadblocks with Germany demanding an exemption. To meet this exemption, the European Commission has pledged to create a legal route for sales of new cars that only run on e-fuels to continue after 2035. Such cars will have to use technology to prevent them from starting when filled with petrol or diesel.

As defined by Reuters, E-fuels are considered carbon neutral because they are made using captured CO2 emissions - which proponents say balances out the CO2 released when the fuel is combusted in an engine. Currently, e-fuels are not yet produced at scale.

Currently, transport accounts for nearly a quarter of the EU’s total emissions, meaning that this climate policy for cars can now be implemented. The Council has also agreed on a related Fit for 55 law mandating an increase in EV recharging and hydrogen refueling stations across Europe's main transport networks.

Photo by CHUTTERSNAP on Unsplash

“I’m happy to see that the EU is delivering on it promises with the Fit for 55 package. The new rules will bring opportunities for cutting-edge technologies and create the momentum for industry to invest in a fossil-free future.”
- Romina Pourmokhtari, Swedish Minister for Climate and the Environment


Sources:

https://www.reuters.com/business/autos-transportation/eu-countries-poised-approve-2035-phaseout-co2-emitting-cars-2023-03-28/

https://www.esgtoday.com/eu-adopts-rules-requiring-zero-emissions-from-new-cars-by-2035-after-reaching-deal-on-e-fuels/#:~:text=Energy%20Transition%2F%20Government-,EU%20Adopts%20Rules%20Requiring%20Zero%20Emissions%20from%20New%20Cars%20by,Reaching%20Deal%20on%20e%2Dfuels&text=The%20European%20Council%20announced%20today,in%20the%20EU%20from%202035.

https://www.bloomberg.com/news/articles/2023-03-27/eu-offers-germany-e-fuel-pledge-to-advance-zero-emissions-plan?leadSource=uverify%20wall

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