European Automotive Facts & Myths: Post #3 of 6
In this third article of our six part blog series, we explore the significant costs associated with Automotive manufacturer compliance with governmental regulations related to vehicle emissions.
#3 FACT! Every gramme of carbon dioxide manufacturers eliminate costs 100 million Euros
While the long-term impact of Brussels’ regulations on the European automotive industry is yet unwritten, there is a present-day cost associated with compliance
Each gramme of carbon dioxide a manufacturer eliminates from its European fleet costs 100 million Euros.
Following Volkswagen’s assertion at the Paris Car Show that if fuel consumption rules are tightened again, this would be fatal, the European Union (E.U.) Commission’s director of Industry and Enterprise Carlo Pettinelli said Europe would indeed be seeking more from the industry even though the rules are already the toughest in the world.
As shared in an interview with Reuters in mid-2014, Volkswagen admitted that the cost involved in changing its vehicles to conform to increasingly strict EU vehicle emission laws would amount to 100 million Euros for each gramme of carbon dioxide eliminated. How automotive manufacturers address the cost base, adopt technology to model cost scenarios and compensate are yet to be decided.
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Other posts in the European Automotive Facts and Myths series