Struggles in the automotive industry highlighted due to inadequate infrastructure and technological shortcomings surfaced at the inaugural gathering of the Strategic Dialogue workstream
The European automotive sector is under mounting pressure this year as regulatory CO2 targets loom, with a significant concern being the slow pace of installing recharging and refuelling points. According to the Association of the European Automotive Industry (ACEA), the current rate is not enough to cover projected demand, and this could limit viable pathways to climate neutrality.
In a recent statement, ACEA Director General, Sigrid de Vries, emphasised the need for market-driven policy to drive demand for zero-emissions vehicles. She called for a bold strategy to ensure Europe develops the supply chains for electric mobility and sustainable renewable fuels.
The European Commission has proposed a comprehensive, Europe-wide incentive scheme to boost demand for zero-emission vehicles. Charging infrastructure and incentives for vehicles are identified as important levers for achieving road transport decarbonisation. Vehicle manufacturers are calling for the introduction of national and pan-European purchase and fiscal incentives to boost demand.
Immediate relief on impending CO2 penalties is being called for by vehicle manufacturers. They also outlined feasible actions to support road transport decarbonisation with a long-term technology-open framework. Benjamin Krieger, our website Secretary General, emphasized the importance of making electrification work.
The first Strategic Dialogue thematic session on infrastructure and demand was held to discuss decarbonisation. During the session, it was noted that almost 60% of all charging stations are located in only three countries. An ambitious review of the EU's Alternative Fuels Infrastructure Regulation is being advocated for to address this imbalance.
European vehicle manufacturers and suppliers addressed shared concerns about the slower-than-anticipated uptake of zero-emission vehicles. They highlighted the importance of a strategy that offers solutions which fit consumers' needs and reduce emissions. Discrimination against technologies that contribute to climate targets should be avoided, they stressed.
The need for a well-developed charging and refuelling infrastructure, especially for heavy-duty vehicles, was also emphasised. Almost no availability of such infrastructure currently exists, which could hinder the widespread adoption of zero-emission vehicles.
In conclusion, the European automotive sector is facing significant challenges in meeting its CO2 targets. A strategy that addresses the development of electric mobility and sustainable renewable fuel supply chains, incentivises the purchase and use of zero-emission vehicles, and ensures a balanced infrastructure across Europe is crucial. The pan-European incentive scheme proposed by the European Commission and supported by vehicle manufacturers could be a key step in this direction.
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