The Commission has postponed the publication of a proposal to reduce the average CO2 emissions of light commercial vehicles (vans) due to a row between Günter Verheugen, the former European commissioner for enterprise, and Stavros Dimas, the former European commissioner for environment. Whereas Stavros Dimas wanted to reduce CO2 emissions for vans and minibuses to 175 grammes per kilometre by 2012 with an intermediary target of 160 grammes per kilometre in 2015, Günter Verheugen believed that the timing of the proposal was not right due to the economic crisis.

According to the European Automobile Manufacturers' Association (ACEA) the sales of light commercial vehicles have fell by 34.4% in 2009. Moreover, vehicles manufacturing countries, such as France, Germany and Italy, have been warning the Commission that such targets would be difficult to maintain and too expensive. They asked, therefore, the Commission to water down or to delay its proposal.

Nevertheless, last October, the Commission adopted a proposal for a regulation setting emission performance standards for new light commercial vehicles.

The Commission has water down its proposal. However, according to Ivan Hodac, Secretary General of ACEA, the Commission has ignored the economic reality by proposing a “costly regulation during the crisis (…)” He said “There is a focus on technologies regardless of the market situation or customer needs” and “There is not much consideration of the different uses of the vehicles concerned.”

The Commission draft regulation is similar to the legislation on CO2 emissions from passenger cars. The proposal goes throughout the ordinary legislative procedure. On 15 March the Environment Council discussed the Commission proposal.

The Commission has proposed for average CO2 emissions from new vans to be reduced to 175 g/km. Such target would be phased in from 2014 to 2016. Hence, from 2014 manufactures must ensure that 75% of their fleet have average emissions below their target, 80% in 2015 and 100% in 2016. Unsurprisingly, Connie Hedegaard, the European Commissioner for climate action, has defended the 2014 target, saying it was “feasible and manufacturers will be able to meet it”. However, according to several Member States the proposal is not feasible, and they asked more time for the industry to meet the target. The UK believes that the 2014 starting date should be postponed to 2016 whilst others are demanding its introduction in 2017 so it could take into account the industry's product development cycles. Nevertheless, several Member States are asking to the phase-in of the target between 2014 and 2016 to be removed.

The Commission also proposed a long term target of 135 g/km by 2020. But, several Member States believe that such target would be difficult to achieve and demand, therefore, more time for the auto industry.

The scope of the draft proposal was also reduced as minibus-type vehicles were not included. However, some Member States, including Denmark, have asked for the proposal to be extended to mini-buses and heavier vans.

Moreover, under the draft proposal, manufactures who fail to meet their targets will have to pay “an excess emissions premium.” Such fine will be calculated by multiplying the number of vehicles by “the number of grams per kilometre (g/km) that the manufacturer’s registered vehicles are above the curve on average.” From 2014 until 2018 the first gramme beyond the limits will be €5 per vehicle increasing to €15 for the second gramme, to €25 for the third and €120 for subsequent grammes. However, from 2019 each gramme will cost €120 per vehicle. Whereas some member states consider that the penalties are “not sufficiently dissuasive” others have deemed them too high.

It remains to be seen what will come out from the behind closed doors negotiations.