Austria and Germany Slow Down on EU Combustion Engine Ban

Austria and Germany will present a joint position on the EU fleet targets at the upcoming EU Council in Brussels. The EU Commission has introduced binding CO2 limits for passenger cars and light commercial vehicles, which will prohibit the registration of new vehicles with combustion engines from 2035. This is seen as a technology ban, even for combustion-powered vehicles with climate-neutral fuels. Additionally, a certain flexibility in fleet targets is necessary, according to Reiche and Hattmannsdorfer.

Warning of "Havana Problem" Due to EU Combustion Engine Ban

The German Economy Minister and her Austrian counterpart also warn of the so-called "Havana Problem": If the sale of new vehicles with combustion engines is completely banned, there is a risk that existing vehicles will be used longer. This would be at the expense of newer, more environmentally friendly vehicles.

However, one should also consider the lifecycle of a vehicle, according to Reiche and Hattmannsdorfer. This could take into account not only emissions but also the environmental impact during production and disposal. "Only with a lifecycle assessment can we create fair conditions, climate protection, and competitiveness," said Hattmannsdorfer.

As Economy Minister, Hattmannsdorfer is likely also considering the economic significance of the automotive industry: In Austria, more than 300,000 jobs depend on the sector, which contributes around 8 percent to the country's economic output. Positive signals are coming from the automotive industry itself regarding the initiative of the two economy ministries: The BMW Group and the head of the BMW plant in Steyr, Klaus von Moltke, are also advocating for a technology-open CO2 regulation that considers renewable fuels and a comprehensive lifecycle assessment.

(APA/Red)

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