Automotive industry association wants e-fuels to achieve CO2 targets

The VDA is calling for the EU's Renewable Energy Directive (RED III) to be implemented quickly in Germany, a higher GHG quota and synfuels exclusively from 2045.

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BMW fuel cell at the IAA 2023

BMW fuel cell at the IAA 2023

(Image: Florian Pillau)

3 min. read

In a position paper published today, the German Association of the Automotive Industry (VDA) calls for the rapid introduction of synthetic fuels. If this does not change, "the share of renewable fuels will still be low in 2030 due to the planning and approval procedures".

He sees the implementation of the "Renewable Energy Directive" (RED III), which has already been adopted by the EU, as crucial. It is intended to help accelerate the ramp-up of renewable energy sources for the transport sector, i.e. charging electricity and renewable fuels. This should help to comply with the CO₂ fleet limits for new vehicles in a technology-neutral manner.

The association is calling for RED III to be tightened up by adding a target for a 100% quota of renewable fuels by 2045 as well as a "dynamic GHG quota", which should increase automatically when it is met. By 2030, the GHG reduction should already be 35 percent instead of the 30 percent prescribed today.

The VDA press department quotes its President Hildegard Müller as saying: "Europe can only achieve its CO₂ reduction targets with a course that is open to all potential solutions in terms of technology. Politicians are called upon to establish incentives for the ramp-up of renewable energy sources and thus ensure and promote investment".

In order to "use renewable fuels to operate the stock of vehicles with combustion engines in a largely climate-neutral manner in the future", the petroleum industry should only offer synthetic fuel or hydrogen from 2045 - in line with the mobility transition to electric driving. The quotas are intended to motivate fuel producers to produce significantly more synthetic fuel. At the same time, the compensation mechanism for CO₂ emissions in the GHG quota, which provides for payments from the petroleum industry to electric car owners, should no longer be able to lead to the industry being able to buy its way out of expensive investments in the production of synthetic fuels.

In addition, the VDA would like to see minimum shares for hydrogen and synthetic fuels that do not compete with food production. The VDA defines synthetic fuels as those that are produced from water and carbon dioxide using electricity generated from renewable sources.

The Berlin-based association currently lobbies on behalf of around 620 key manufacturers and suppliers in the areas of cars and trucks, software, trailers, bodies, buses, parts and accessories.

(fpi)

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This article was originally published in German. It was translated with technical assistance and editorially reviewed before publication.