The road to decarbonisation in a post-Brexit Europe

Welcome to the first edition of Automotive Regulatory Updates. With no sign of pressure easing the automotive sector is experiencing increasing regulatory scrutiny. This and future issues will seek to keep you up-to-date with regulatory developments in the sector and explore how it may impact your business.

This first edition focuses on the European Commission’s reflection on how the European Union can meet its goals of a 30 per cent reduction in greenhouse gas emissions in the non-emissions trading system sector by 2030 and a 60 per cent reduction in CO₂ emissions in the transport sector by 2050. To inform its regulatory approach, the Commission has opened two consultations, both running until 28 October 2016, on:

  • the revision of the EU Regulations (No 443/2009 and No 510/2011) on CO₂ emission performance standards for new passenger cars and light commercial vehicles; and
  • new legislation for the monitoring of and reporting on fuel consumption and CO₂ emissions from heavy duty vehicles.

Although it remains to be seen whether the UK will in fact secede from the EU, UK laws may well diverge from EU legislation over time or, at a minimum, be applied inconsistently. Vehicles and components manufactured under UK laws could face barriers to entry into the single market, and vice versa.

Linklaters have prepared a regulatory update that explores the various approaches that could be employed by the EU in what will most likely be a post-Brexit world beyond 2020 to meet their emission reduction goals. This update will be of interest to General Counsels and, more broadly, members of the legal, regulatory and government affairs teams within automotive corporates.

These consultations are an opportunity for engaged automotive professionals to inform the European Commission’s approach to the regulation of light and heavy duty vehicle emissions.

If you would like to discuss any of the issues raised in more detail, please do get in touch.

Read the entire article here.