EU: Carbon Credits, Not Quotas, The Plan For Electric Vehicle Push
The European Union is expected to release (on November 8), a proposal for a new carbon credit plan for electric vehicles – instead of the quotas or outright mandates we have seen for other markets.
According to an exclusive, unofficial report from Reuters, the EU will introduce new CO2 standards for cars and vans for years beyond 2020.
By 2030 fleet CO2 emission will be required at a much lower average levels: 25-35% for cars, and 30-40% for vans, which is much higher than the 20% floated by manufacturers.
We don’t yet know a lot on the specifics of the carbon credit plan, other than California had an influence on this new system.
“U.S. and EU sources said that the innovative carbon credit initiative was inspired by talks with regulators from California — viewed by many in the sector as the leading laboratory for policy on electric vehicles.
Unlike California’s zero-emissions policy, the EU proposal includes no mandates and the carbon credits will not be tradable.
The credits will be based on automakers’ performance against a benchmark for sales of low-emission vehicles as a proportion of their fleets, the sources added.”
Additionally, the proposal is expected to include €800 million ($943 million) to help drastically expand the charging infrastructure – as plug-in vehicles are a big part of the way forward to these goals. That money is available for governments, regions and cities to dispurse, as well as €200 million for battery development programs between in 2018-2020.