‘Fit for 55’: Council adopts regulation on CO2 emissions for new cars and vans

The Council of the EU have shared the following report:

The Council have adopted a regulation setting stricter CO2 emission performance standards for new cars and vans. The new rules aim to reduce emissions from road transport that has the highest share of emissions from transport - and provide the right push for the automotive industry to shift towards zero-emission mobility while ensuring continued innovation in the industry.

The new rules set the following targets:

• 55% CO2 emission reductions for new cars and 50% for new vans from 2030 to 2034 compared to 2021 levels
• 100% CO2 emission reductions for both new cars and vans from 2035

A regulatory incentive mechanism for zero- and low-emission vehicles (ZLEV) will be in place from 2025 until the end of 2029. As part of this mechanism, if a manufacturer meets certain benchmarks for the sales of zero- and low-emission vehicles it can be rewarded with less strict CO2 targets. The benchmark is set at 25% for cars and 17% for vans.

The regulation contains a reference to e-fuels, whereby following a consultation with stakeholders, the Commission will make a proposal for registering vehicles running exclusively on CO2-neutral fuels, after 2035, in conformity with EU law, outside the
scope of the fleet standards, and in conformity with the EU’s climate neutrality objective.

The regulation includes a review clause that foresees that in 2026, the Commission will thoroughly assess the progress made towards achieving the 2035 100% emission reduction targets and the possible need to review them. The review will take into account technological developments, including with regard to plug-in hybrid technologies and the importance of a viable and socially equitable transition towards zero emissions.

To see the full report please click here