[Chairs' edito] EVs & batteries: for 2025 we need clear policy objectives maintained with more action to build local industries.
Edito
The Green Deal offers Europe the framework to lead in clean mobility. However, realising its full potential requires regulatory certainty, industrial strategy, and people-centred policies, write Kinga Timaru-Kast and Julia Poliscanova.
The European Green Deal, the flagship legislative package of the previous European Commission, has set Europe on a transformative journey toward clean mobility. It gave the continent a framework of what it needs to succeed in this transition. Agreements across the package were reached thanks to strong collaboration among sectors of the clean mobility ecosystem, from industries to civil society organisations. Such cooperation is paramount to ensuring this transition happens swiftly, competitively, and sustainably.
In recent months, the international competition in the e-mobility and batteries value chain race took another dimension. Looking forward to the starting European mandate, three pillars must stay clear in mind of policy makers: regulatory certainty and simplification, industrial strategy, and people-centred policies.
Creating an investment friendly continent
The success of the Green Deal lies in its comprehensive regulatory framework, including landmark measures such as the Battery Regulation, the Alternative Fuels Infrastructure Regulation (AFIR), Energy Performance of Building Directives (EPBD), Renewable Energy Directive (REDIII), and the CO2 Standards for both cars and heavy-duty vehicles, not to mention later acts on critical raw materials and net zero industries. Implementation must now be the focus. These laws will provide the necessary infrastructure, clean energy, supply of clean vehicles, provided they are fully implemented and enforced. Implementation of these acts should come with simplification and streamlining of reporting requirements.
Any regulatory U-turns on the EU’s mobility decarbonisation objectives would destabilise and penalise industries already investing heavily in this transition. Additional, larger, investments into European clean industries are still needed from private sector stakeholders. But no investor will choose Europe without a clear path forward. A commitment to fully implement these measures, including at the Member State level, is critical to maintaining momentum and attracting future investments. Europe’s industries need stability to continue driving innovation and competing globally.
The Green Deal provides a good vehicle but the race on competitive clean mobility remains to be won.
An industrial policy taking full advantage of the e-mobility value chain
Regulatory frameworks must be paired with a robust industrial strategy, focussing on scaling up manufacturing projects and developing EU Green Deal secondary legislation designed to enhance, not undermine, European competitiveness.
Industrial policy needs to include public investment into clean technology – in particular in the entire clean transport value chain, lowering energy costs for manufacturing, and fostering a robust recycling value chain to harness the potential of “urban mines” from end-of-life batteries.
Simplifying permitting processes will unlock great renewable energy potential to decarbonise electricity and lower costs, facilitate the establishment or scale up of manufacturing or material processing sites and the roll-out of clean transport infrastructure.
Finally, Europe must also weigh in to ensure a level the playing field with global competitors in terms of subsidies and support mechanisms. For certain industries, level playing field can only be reached by matching competitors’ support: for examples, for battery manufacturing, the US IRA provides a significant op-ex support per kWh produced; for reskilling workers, massive support for training automotive workers is proposed.
Without these measures, the transition risks stalling under competitive pressures from other regions.
People-centred transition is key
The transition to clean mobility cannot succeed without addressing the needs of Europeans. Providing high-quality and future-proof job opportunities is a first step in including Europeans in the transition.
Europe’s new industrial policy approach must also include upskilling and reskilling programs, so that the European workforce is adequately trained to develop and deploy new technologies and thus ensure that the continent’s industries are future-proof.
Lifting the burden of transitioning and ensuring affordability of clean mobility is a second step. Electric vehicles will become more accessible, and even more so once there is a sufficient second-hand market. Considering that two-thirds of new vehicles are purchased by fleet managers, not by individual drivers, and owned for just three years, corporate fleet electrification mandates would accelerate the creation of a second-hand market by a decade.
Going beyond, technologies like vehicle-to-grid (V2G) and vehicle-to-home (V2H) can empower individuals to actively participate in the energy transition – and remunerate them to do so. Multiplying mobility options, by investing in safe infrastructure for light and actives modes, as well as in public transport and high-speed rail will help a lot more people embark on the clean mobility transition.
In summary, the new legislative mandate needs to go all in on electric mobility and clean tech, including taking it as an EU-wide reindustrialisation strategy brining Europeans along. 2025 will be decisive if the EU Green Deal is set on course to succeed.
As we step into this new year and legislative cycle, let us strengthen these priorities and demonstrate that the EU can not only lead in climate policy, but match it with equally effective industrial leadership. This is essential for Europe’s transformative journey toward clean mobility to deliver on prosperity and sustainability.
A strong European recycling ecosystem for electromobility
Fostering a recycling ecosystem in the European electric transportation value chain is crucial for enhancing the region’s strategic autonomy and for reaching its sustainability goals. Currently, Europe relies heavily on third-country producers for critical materials and components essential to the production of electromobility solutions and their infrastructures. By creating conditions for a strong recycling ecosystem within the e-mobility sectors, Europe can reduce this dependency, ensuring a more resilient and self-sufficient supply chain and reduce emissions associated with the use of primary materials. Providing conditions that enable a recycling value chain in the e-mobility ecosystem will not only help mitigate geopolitical risks but will also strengthen Europe’s position in the global market.
As we support the ambitious recycling targets set in the Critical Raw Material Act, it is now key to enable European industry to reach them. With the right legislative framework, significant progress can be made. Indeed, with numerous legislative ‘low-hanging fruits’ up for grabs, the EU can support its local recyclers. The industry is at a crucial juncture as recycling is poised to ramp up and develop rapidly; it is essential that we seize this moment to establish effective frameworks and practices, ensuring that we get a head-start in global competition.
In this paper, we outline the importance of enhancing the recycling industry in Europe and set out a manual for policy makers to use the existing toolkit of legislation to drive forward such a recycling industry. We recognise recycling is only one element of the broader circularity ecosystem that Europe needs to build for a sustainable transport value chain, however this paper focuses solely on recycling.
Our proposal to leveraging existing regulation to create conditions enabling a recycling ecosystem
Regulatory stability is the bottom-line condition for enabling investments to create circular value chains in the emobility ecosystem. Entrepreneurs and investors require a predictable and consistent regulatory environment to confidently commit resources to the development and expansion of circular practices in the electromobility industrial value chain. Safeguarding the clear, long-term policies already agreed by co-legislators will provide the necessary certainty for businesses to innovate and invest in sustainable production and recycling capacities in Europe. This is particularly true for the CO2 Standards for cars and vans’ 2035 zero-emission objective which needs to be maintained to guarantee that EU-based battery production is used in BEVs that will be sold to meet the zero-emission target by 2035.
A slowdown of the EV market as well as of the battery cells production in Europe creates high investment uncertainty for companies ready to invest into recycling on the continent. Feedstock uncertainty is furthermore increased when the shipment rules to destinations outside of the EU are not clear and not ambitiously implemented and controlled.
In the short term, we do not identify the need for new legislative acts but rather the need to effectively implement and enforce the toolkit of legislations already in the hands of European policy makers and to introduce clarifications or improvements where needed. The following suggestions thus focus on optimising and fully utilising existing legislations rather than creating new ones. Our aim is to ensure that the current regulatory framework effectively supports the development of a sustainable and competitive battery recycling industry within the EU. By making targeted improvements, clarifications or by ambitious implementation, we can leverage what is already in place to support European recyclers to reach our targets.
Conclusion
The CRM Act proposed by the European Commission is a much-needed step in securing the supply of raw materials essential to the EU’s economic and strategic interests. The Act acknowledges the increasing demand for critical raw materials, as well as their limited availability, and aims to establish a comprehensive framework for ensuring their sustainable and responsible sourcing.
However, there are some concerns and reservations that need to be addressed to ensure that the Act is fully effective. First, it must balance the need to secure critical raw materials against environmental and social sustainability, as well taking account of ethical considerations. In addition, it is essential to ensure that the implementation of the Act does not lead to trade barriers or lead to unfair competition that could ultimately harm the EU’s industrial competitiveness.
Careful consideration and monitoring are needed to ensure that the implementation of the CRM Act is effective, sustainable and equitable. By addressing these concerns and reservations, the EU can pave the way for a more resilient and sustainable supply chain for critical raw materials, while upholding its values and commitments.
[Open letter] Accelerating the electrification of fleets as soon as possible is key to cut transport emissions, increase demand and affordability of electric vehicles
Open letter
To President Ursula von der Leyen
To Executive-Vice-President for the Prosperity and Industrial Strategy, Stéphane Séjourné
To European Commission for Sustainable Transport and Tourism, Apostolos Tzitzikostas
To European Commissioner for Climate, Clean Growth and Net Zero, Wopke Hoekstra
16th December 2024,
Brussels
First of all, we would like to congratulate you and the entire Collège of Commissioners for the Parliamentary approval of the 27th November. We look forward to working together with you and supporting you during the upcoming mandate.
As Commissioner Tzitzikostas rightfully mentioned during your hearing of the 4th November in the European Parliament, the EU action to accelerate fleet electrification represents a golden opportunity to not only tackle transport emissions, the EU’s largest source of greenhouse gas emissions, but also widen access to cheaper second-hand electric vehicles. We therefore very much welcome the announcement in the Commissioner for Transport’s mission letter to “put forward a legislative proposal for clean corporate fleets,” an initiative that Commissioner for Climate views as “a great opportunity to move the needle in terms of climate impact,” as expressed during the hearing of the 7th November. We strongly encourage the Commission to propose a regulation as soon as possible in 2025, ideally as part of the Clean Industrial Deal’s Automotive Action Plan.
6 out of 10 cars sold in the EU are company cars, with those vehicles driving twice as much as private cars. The purchasing decisions of corporate fleets have far wider implications than just for that enterprise. Company cars tend to spend 3 to 5 years in a fleet before going into the used car market. With 8 out of 10 Europeans buying their cars in the used car market, this is a crucial channel for EU citizens.
At the same time heavy-duty vehicles remain one of the challenging segments with the largest potential to decarbonize, with less than 1% of the EU’s truck fleet currently being zero-emission. Electric trucks are gaining momentum rapidly, with costs declining and infrastructure being rolled out. However, without a supporting regulatory framework for big corporate fleets, adoption risks lagging the levels required to achieve the EU’s climate goals.
Accelerating the transition towards electric vehicles beyond existing policies is a necessity to achieve transport’s net-zero and the 2040 climate target of -90%. As such, the faster fleets electrify their company cars, the faster more households and businesses will be able to access more affordable electric vehicles powered by clean European electricity, the faster we can reduce transport emissions. This is a win-win for climate and consumers.
In line with the Mission Letters, Clean Industrial Deal, and the EU industrial action plan for the automotive sector that they mention, a regulation setting binding targets for large fleets is crucial to accompany supply-side policies with strong demand-side measures and thus ensure a successful decarbonation of road transport. We call on the Clean Industrial Deal to include the legislative initiative on corporate fleets.
Corporate fleets are in a great position to lead the way on electrification, with many already committed to fully transitioning their fleets by the end of the decade through Climate Group’s EV100 campaign. On a total cost of ownership basis, electric vehicles have the advantage over polluting vehicles, meaning electrification makes strong business sense too. A clear regulatory framework would simply ensure that all fleets are playing their part while at the same time create investment certainty and clarity for company fleets.
That’s why the Platform for Electromobility, the alliance of land transport industries, NGOs, civil society and cities, and EV100/+, the leading global initiative bringing together fleets committed to electrification, are uniting and calling on you to make this a key priority of your upcoming mandate and come forward in your 2025 Work Programme with a Greening corporate fleet regulation setting binding electrification targets for cars, vans and heavy-duty vehicles.
We would very much appreciate a meeting where we can discuss this initiative. We count on your leadership to bring forward a regulation setting binding zero-emission targets for large fleets.
With kind regards,
The members of the Platform for Electromobility
Prioritising energy efficiency in the European transport ecosystem of tomorrow
Energy & Infrastructures
The Platform for Electromobility highlights the critical importance of maximising energy efficiency in achieving the EU’s decarbonisation goals. We are collectively worried of the proposal to bring forward the revision of the CO2 Standards for Cars and Vans and the proposal to expand the use of e-fuels, masquerade through a call for “technology-neutrality”. As the European law-makers prepare to review the upcoming amendment to the regulation on CO2 emission performance, we highlight risk such amendment poses to overall energy consumption of the continent.
What is energy efficiency in transport?
Energy efficiency refers to the amount of energy, measured in kilowatt-hours (kWh), required to travel a certain distance (kilometers) per passenger. The more energy-efficient a mode of transport is, the less primary energy is needed to be produced for the vehicle to travel the same distance, regardless of the energy’s source—whether it comes from fossil fuels, nuclear energy, or renewable sources.
2. Why is energy efficiency crucial?
Energy efficiency should be a cornerstone of the EU’s energy transition for transport. As transport remains one of the largest consumers of energy, improving energy efficiency directly supports European energy autonomy and security by reducing Europe’s reliance on imported fossil fuels, particularly from politically unstable regions. According to BloombergNEF, favoring energy-efficient transport could save up to 1.5 million barrels of oil per day, equivalent to over €40 billion annually in reduced imports[1].
In addition to strengthening energy security, energy efficiency has direct economic benefits. As energy costs may continue to rise, more efficient transport solutions can help reduce operational costs for businesses and drivers alike. This would make travel more affordable for citizens and improve the competitiveness of European industries.
Furthermore, a key objective of the EU is to increase the share of renewable energy in its energy mix. However, less energy-efficient transport modes would require a unnecessarily increase in renewable energy production to meet demand. It would increase the risk of “Not-In-My-BackYard” movement against such renewable energy plants, and ultimately Europeans’ resistance against energy transition. Prioritising energy efficiency helps maximize the utility of renewable energy and minimize the impact in Europe.
[1]https://about.bnef.com/blog/electric-cars-have-dented-fuel-demand-by-2040-theyll-slash-it/#:~:text=So%20far%2C%20the%20growing%20fleet,far%20off%2C%20arriving%20in%202027.
Which transport modes are the most energy efficient?
Among all transport modes, trains are by far the most energy-efficient for long distances[1]. Europe is already a global leader in rail transport, and a concerted push to increase modal shift from road to rail could unlock substantial efficiency gains. We thus support the call to further roll-out of TEN-T as well as plans for an ambitious European high-speed rail network, night train and rail freight. The ecological advantage is especially there for freight transport. On the local level, public passenger transport by metro, tram, bus and urban rail collectively moves large numbers of people, using less energy and emitting less CO2 per passenger-kilometre than private vehicles.[2]
However, passenger cars remain at the center of current political debate. They represent the most widespread form of personal transport and are undergoing major changes amid political debates and upcoming review of the CO2 Standards for cars and vans. When it comes to energy efficiency, not all cars are equal. Energy efficiency among cars varies dramatically, depending on the type of propulsion used. For example, as illustrated by graph 1 above, on the same amount of energy of 15 kWh, similar passenger cars travel very different distances[3]:
- An internal combustion engine vehicle running on synthetic fuels created from renewable energy and climate neutral can travel 20km;
- a hydrogen fuel cell vehicle, running on synthetic fuels created from renewable energy and climate neutral can travel 35km, using the same amount of energy.
- a battery electric vehicle (BEV) can travel 100 km on the same amount of energy, five times more the range of the ICE car.
It is clear that BEVs significantly outperform vehicles powered by e-fuels in terms of energy efficiency.
[1] https://www.iea.org/energy-system/transport/rail [2] In its Urban Mobility Framework (point 2.4), the Commission writes "Public transport such as urban rail, metros, trams, buses, water buses, ferries or cable cars represent the safest, most efficient and sustainable ways for large numbers of people to travel.". There is also a comparison of emissions per mode that includes buses (and coaches) in the EEA Transport and Environment Report 2021 (figure 4.3) [3] Research Center for Energy Networks and Energy Storage
Why are they differences in energy efficiency?
Producing e-fuels requires much more energy than producing fossil fuels or using direct electrification when looking at energy use from production to tank. The main issue with e-fuels is their low efficiency throughout the production process. In order for an e-fuel to truly be carbon-neutral, each step—making hydrogen, capturing carbon, and then synthesizing the fuel— needs to be renewable. However, each of these steps require energy and result in large energy losses. This makes e-fuels less efficient in areas where electrification use is possible, especially since electric motors are far more efficient than combustion engines[1].
While a BEV uses 77% of the primary energy to move its wheels, a vehicle powered by e-fuels converts only 20% of the original energy input into motion[2]. The later would thus need about four times more primary energy than the former to travel same amount of kilometres. This large difference underscores the need to prioritise more efficient technologies. Energy efficiency is not a marginal criteria.
Additionally, such an efficiency gain is without counting on the benefits BEVs can have for the energy system if grid-integrated thanks to smart and bidirectional charging, where their batteries can improve the efficiency of the entire energy system. As the making synthetic fuels in itself is already very energy intensive. Each Kwh used for the production of synthetic fuels is one that cannot serve other, more efficient means.
[1] https://www.spglobal.com/_assets/documents/ratings/research/101595057.pdf [2] https://www.transportenvironment.org/articles/e-fuels-too-inefficient-and-expensive-cars-and-trucks-may-be-part-aviations-climate-solution
Which policies can promote most energy-efficient transport?
To ensure that Europe’s future vehicle fleet is as energy efficient as possible, we recommend the following policy actions:
- No U-turn: Any early review or any U-turn in already agreed policy is detrimental for investment confidence in the energy transition.
- Limit the role of e-fuels in CO2 standards: In the upcoming review of the CO2 standards for cars and vans, we urge policymakers to restrict the use of e-fuels to niche markets that cannot be directly electrified, for emergency services, or vehicles of specific usages such as forestry.
- Focus e-fuels on hard-to-abate sectors: Divert the use of limited e-fuels to other sectors where electrification is still not an option and where so much is needed: aviation, long-haul maritime.
- Introduce differentiated taxation: Vehicle taxation should be tied to energy efficiency. Registration taxes, road taxes, and fuel duties should favour energy-efficient vehicles. For instance, a bonus-malus system could be introduced, where less efficient vehicles face higher taxes, and more efficient options benefit from tax breaks. The revision of the Energy Taxation Directive could be instrumental in this perspective.
- Prioritise energy efficiency in public procurement: Public procurement can be a powerful tool to set an example. Green public procurement criteria should prioritize the energy efficiency of vehicles used in the public sector. By including energy efficiency requirements in public tenders, governments can drive demand for the most efficient technologies. The Net Zero Industrial Act already paves the way in this direction.
Conclusion
Energy efficiency is not just a technical consideration, it is a strategic imperative for Europe’s energy security, economic competitiveness, Europeans’ cost of living, and environmental sustainability. By prioritising the development and use of the most energy-efficient transport modes, the EU can reduce its dependence on imported fossil fuels, lower costs for consumers, and ensure that the shift to renewable energy is as efficient as possible.
We strongly urge you to take decisive action in the upcoming CO2 standards review and to adopt policies that will promote the most energy-efficient transport solutions. This is essential to meeting the EU’s decarbonisation objectives and securing a sustainable future for all Europeans.
[Videos] Maintaining 2035 CO2 reductions objectives for Europe's industries beyond automotive.
Energy & Industry
What would a revision of the CO2 Standards for cars mean for public transports, renewable energy production, and clean tech's industrial ecosystem in Europe?
Our members Eurocities, European Geothermal Energy Council, and Danfoss, all passed in front of the camera to bring their perspective to what a weakining of the 2035 emission targets would mean for, respectively, consumers interests, renewable energy developmenet, and industrial investments in Europe.
1/ Sanjeev Kumar (EGEC) on importance of cars' CO2 Standards for renewable energy industries in Europe
The synergies between electric vehicles and renewable energy sources are significant. For example, EVs can act as flexible loads and storage units, helping balance and match renewable energy production and consumption. In the geothermal sector, we see an added advantage. Lithium, a critical material for EV batteries, can be produced as a byproduct of geothermal energy extraction. This creates a synergistic relationship between clean energy, e-mobility and European industrial autonomy.
Reopening the CO2 standards would create uncertainty for investors and businesses, not only in the renewable energy sector but also for technologies that enable synergies between EVs and renewables, such as grid flexibility solutions. It could hinder the development of new renewable energy plants and delay the integration of innovative energy systems that are essential for a clean energy future.
If your goal is to decuple the energy demand by four times, then yes, synthetic fuels are the answer. A car running on e-fuels requires three to four times more energy to travel the same distance as an battery electric vehicle. So, if you want to build four times more wind turbines and other renewable energy plants to decarbonise transport, synthetic fuels might seem appealing (ironic). Besides, e-fuels can still be produced using fossil fuels, which doesn’t provide the clarity or investment certainty needed for renewable energy development.
2/ Thomas Lymes (Eurocities) on importance of cars' CO2 Standards for European city dwellers
While electric mobility offers significant benefits, especially when it comes to improving air quality and reducing noise pollution, the revolution won’t happen without strong and stable regulatory framework. The phase-out of internal combustion engines will push us to adopt more diverse, sustainable mobility solutions for urban residents and commuters. Together with a shift towards alternative modes of transport, the phase-out is the missing piece in the puzzle of a sustainable urban mobility.
Reopening the CO2 standards would create uncertainty for both public and private investments in cities. It would wobble the incentive of local authorities in designing and building the clean mobility ecosystems that benefit city residents. Cities mobility plans are build around the promise of a mainstream zero-emissions mobility. The same goes for investments in areas like charging infrastructure, road renovation, power grid upgrades, and smart infrastructure are crucial. Any uncertainty could stall these efforts.
Additionally, this would confuse consumers, delaying their vehicle purchase decisions and postponing the essential decarbonisation of transport in our cities. On that note, large fleet owners have a key role to play. We strongly welcome the announcement of initiatives to clean large corporate fleets as a way to accelerate the shift to zero-emission mobility and make it affordable for the majority of the population.
There’s still uncertainty about the cost of driving with synthetic fuels and whether they truly benefit air quality. We could only consider their use if we can ensure that e-fuels are at least as energy-efficient, clean, and affordable to operate as electric vehicles. Otherwise, they will not represent a viable alternative for sustainable urban mobility.
3/ Bonaldi Da Costa (Danfoss) on importance of cars' CO2 Standards for European clean tech industries
Electric mobility is central to Europe’s industrial future. The 2035 zero-emission cars goal provides a clear and stable framework that attracts investments into sectors like automotive, batteries, and infrastructure. CO2 Standards are actually Europe’s most straightforward clean industrial strategy, helping companies across the continent transition to a net-zero economy. Without this clarity, we risk slowing down investments and innovation needed to develop the net-zero industrial ecosystem.
Reopening the CO2 standards would create significant uncertainty for industrial actors who have already made substantial investments in this transition. It would penalize companies like Danfoss and others in the automotive, battery, and infrastructure sectors who have committed to zero-emission solutions. Attracting further investment is only possible with a consistent and clear regulatory framework, and reversing now would disrupt the progress we’ve made.
We have limited resources to invest in the clean tech revolution—whether it’s for research, development, and innovation or the infrastructure required to support the transition, such as charging networks. And so we simply don’t have the luxury to invest in two parallel value chains: battery electric and synthetic fuels, and their related infrastructures. Let’s focus our effort on tested technologies.
Furthermore, clean e-fuels will be available in very limited quantities, and they should be reserved for hard-to-abate sectors like aviation and shipping. For road transport, battery electrification remains by far the most energy-efficient option. Diverting resources to e-fuels for road transport would slow down the progress we need in more critical areas.
Our recommendations for Commissioner-designate for Climate, Clean Growth & Net Zero
INDUSTRY - FLEET
The Clean Industrial deal’s success relies on stable legislation on both demand and supply sides
Our recommendations for Wopke Hoekstra
Commissioner-designate for Climate, Net-Zero and Clean Growth
As a new EU mandate begins, the members of the Platform for Electromobility remain dedicated to advancing sustainable transport solutions that drive decarbonisation across all land transport modes in Europe. To achieve this and support Europe in its energy transition, it is crucial to align supply-side policies and strong demand-side measures to ensure a successful decarbonisation of transport; one of the EU’s most polluting sectors. This will require a balanced approach where climate goals are met while addressing the needs of citizens, consumers, and industry. A coordinated effort between the European Green Deal and a Clean Industrial Deal will be key to driving sustainable progress and maintaining Europe’s leadership in clean mobility.
Below, we outline our recommended priorities for the incoming Commissioner for Climate, Net-Zero and Clean Growth for ensuring that European climate policies consider industries and consumers needs while meeting Europe’s long-term climate objectives.
1/ Supply side policies: a steady regulatory framework covering the whole value chain
The Clean Industrial Deal should complement and perfect the European Green Deal, rather than replace it. The two packages must work together to achieve Europe’s climate and industrial goals, particularly as we enter a period of rapid transformation in the transport and mobility sectors. Industrial policy should enable —not dilute— the climate targets that the EU has committed to, ensuring Europe maintains its leadership in clean transportation deployment.
When it comes to decarbonation of transport, legislative clarity and objectives are key. This is particularly true to ensure the successful roll-out of zero-emission vehicles by 2035. We must first safeguard such a flagship target while ensuring that consumers—whether individuals or businesses—are buying-in to the transition and support European car manufacturers in this centurial challenge.
The Platform for Electromobility is very concerned by recent statements calling on the incoming European Commission to reverse the already agreed on CO2 Standards for cars and vans. Today, the 2035 zero emission cars goal is Europe’s most straight-forward EV industrial strategy bringing vital investments to European companies. We thus strongly warn against undermining key EU legislation already agreed by MEPs and EU countries in the last legislative period. Attracting investments to create the net-zero industrial ecosystem for zero-emission mobility is not possible without a consistent, clear regulatory framework. To “hit reverse” now would also significantly penalise all industrial actors, including many of our members, who have already invested in this transition (automotive, batteries, infrastructure, etc.).
More details: Reversing the 2035 zero emission cars goal will harm EU industry (June 2024)
Key Policy Asks:
Ensure the continued implementation of the 2035 zero-emission vehicles target to maintain regulatory certainty and attract investment.
Ensure swift and coherent implementation at national level of other Green Deal measures notably related to charging infrastructures and renewable energies.
The Platform for Electromobility sees the European Green Deal as a long-term strategy to ensure Europe’s global competitiveness and climate leadership. This long-term strategy should now be accompanied by an actionable industrial policy plan. Any such future industrial policy, to be comprehensive, should include a focus on the electromobility manufacturing ecosystem. We underline the need for a holistic approach, covering the entire value chain for clean transport solutions (upstream and downstream) and understanding the particularities of Europe industrial and transport systems. Finally, industrial policy should rely on a stable regulatory framework and reinforced international cooperation.
We advocate for a 360° e-mobility industry strategy that addresses the full value chain—from raw materials to end products—across all modes of sustainable transportation. This includes a focus on upstream (refining) and downstream (recycling) sectors to strengthen Europe’s industrial base. Additionally, we stress the need for policies to address energy-cost disparities and support public procurement that favours European-made products. It is also crucial to support workers in transitioning to new skills required for the green economy.
– More details: Five steps towards a 360° e-mobility industry strategy (March 2024)
– More details: Invest skills for competitive, sustainable, European transport industries (June 2024)
Given the escalating climate investment gap, we propose the creation of a comprehensive Net Zero Investment Plan. This plan should not only focus on innovation but also provide limited-in-time yet predictable support for operating expenses and production. It should consider higher-risk ventures and be structured under the EU Multi Financial Framework and new bond issuance programs. Coordination of state aid measures at the EU level will ensure a level playing field and support Europe’s climate and mobility objectives.
More details: Invest in manufacturing for competitive, sustainable, European transport industries (June 2024)
Robust international cooperation is essential to mitigate geopolitical and dependency risks. The EU should prepare responses to global green industry support programs carefully to avoid a subsidy race. Strengthening cooperation with major economic powers and diversifying sources of green technology will help reduce dependencies and secure supply chains. Furthermore, intra-European cooperation should be encouraged to optimize the procurement of strategic raw materials.
– More details: Strengthening EU’s electromobility ecosystem in the global race. (March 2023)
In the pursuit of the electrification of the mobility sector for the years to come, it is essential to recognise concerns surrounding certain PFAS use cases and their production, use and disposal. Considering that environmental and human health protection are critical, we call next Commissioner to supporting the transition to PFAS-free solutions in the sustainable mobility sector, and call for measures to eliminate all emissions released during the life cycle as soon as viable industrial alternatives are available. Primary collective objective should be to reduce, and where possible, phase out the use of PFAS following the REACH risk management approach across all mobility industries.
– More information: Our statement on PFAS in sustainable e-mobility (April 2024)
Key Policy Asks
Ensure upcoming Clean Industrial Deal considers the whole e-mobility value chain’s competitiveness rather than focusing on a few components or modes.
Financing the energy transition in the long term with a Net Zero Investment Plan
Strengthening international cooperation to avoid trade disruption and diversify sources while ensuring a level-playing field.
Grant appropriate derogation periods necessary for testing alternatives and bringing them to the market and allow for the use of PFAS where no alternative is available while ensuring they are replaced as quickly as possible.
2/ Demand-side measures: a stable framework for consumers to show the way, corporate fleets to pave the way.
The next step in accelerating the transition to electric mobility is to propose a legally binding a corporate fleet mandate, ensuring that companies and large fleet owners, currently lagging behind[1], play their part in electrifying transport. Corporate fleets represent a significant portion of vehicle sales and are pivotal to creating a vibrant second-hand market for EVs. A well-regulated corporate fleet mandate would not only speed up the decarbonization of the transport sector but also ensure that EVs become more affordable for the broader public. We trust the next European Commissioner for Climate will work closely with next European Commissioner for Sustainable Transport in proposing clean corporate fleet initiatives.
– More details: Guidelines for mandating ZEV in corporate and urban fleets (September 2021)
The previous European Commission already laid the groundwork with the public consultation on corporate fleets, and now is the time to build on that momentum. A strong mandate would require companies to transition their vehicle fleets to electric, generating a steady supply of second-hand EVs. Two-third of Europeans purchase their vehicle on the second-hand market. Such measures would particularly benefit lower-income households who might otherwise struggle to afford new electric models and be left aside of the energy transition.
This policy will also support a smoother and more inclusive transition to e-mobility, helping to lower transportation costs for consumers while contributing to the reduction of air pollution and greenhouse gas emissions. To go further, we also invite the European Commission to investigate other potential demand-side measures to be implemented at national level (e.g. social leasing, scrappage schemes, sustainable taxation) to support the transition.
Key policy ask:
Propose a legally-binding corporate fleet mandate to accelerate the electrification of transport and generate a second-hand EV market that broadens access to affordable, zero-emission vehicles.
Investigate the opportunity of other measures to boost the demand of clean mobility solutions.
[1] https://evmarketsreports.com/corporate-ev-adoption-in-eu-lags-behind-private-households-raising-concerns/
Our recommendations to Commissioner-designate for Energy
Energy
Energy policies enabling decarbonised transport, and vice-versa
Our recommendations for Dan Jørgensen
European Commissioner-designate for Energy
As we move into the next five years of the European Parliament mandate, the members of the Platform for Electromobility remain committed to advancing sustainable transport solutions that drive decarbonisation of land transports in Europe. To achieve this, it is essential to create a synergetic ecosystem between energy and transport infrastructures and assets.
Indeed, the emerging ecosystem of sustainable, decarbonized transport sits at the intersection of the energy and transport sectors. The electrification of transport is not just a transport initiative but a crucial energy challenge that requires coordinated efforts across both domains. With transport now a major driver of electricity demand, engagement of next European Commissioner for Energy in electric mobility policy initiatives will be essential to successfully achieving the European Union’s climate and energy goals.
Below, we outline the necessary legislative steps that a seamless, win-win integration between energy and transport ecosystem requires.
1/ Ensuring the implementation of the Green Deal
As you begin your new mandate, we urge you to uphold and fully implement the commitments of the European Green Deal, particularly those within the Regulation on the CO2 standards for new passenger cars and vans, the Renewable Energy Directive (RED) and the 2019 and 2024 Electricity Market Design (EMD) reforms. These legislative files are enablers of Europe’s transition to a sustainable transport system, accelerating renewable energy adoption and creating a more flexible, efficient electricity market. Next European Commissioner for Energy’s leadership will be essential to ensure their timely implementation and to hold Member States accountable for meeting their ambitious targets.
To ensure the success of these ambitious directives and Regulation, it is crucial to pair the Green Deal’s implementation with a robust investment plan. This should include dedicated funding mechanisms to support renewable energy projects, grid modernization, and infrastructure development. By aligning public and private investment with the goals of the Green Deal, Europe can foster innovation, enhance energy security, and create sustainable jobs across Member States.
Key policy asks
Ensure the full and timely transposition of the Renewable Energy Directive (RED) and the Electricity Market Design (EMD) across all Member States. – More details: Our statement on Electricity Market Design.
Uphold the targets already set out in the Regulation on the CO2 standards for new passenger cars and vans.
Support the presentation of a strong Net-Zero Investment Plan to implement the Green Deal. – More details: Investing in energy infrastructure to enable the Green Deal
2/ Upgrading and smartening the electricity grid for e-mobility
The integration of electric vehicles (EVs and eHDVs) into Europe’s electricity grid presents both opportunities and challenges. However, a modern, smart, and flexible power grid across Europe is the key to accommodating the increasing demand for electricity from EVs, ensuring grid stability notably via ancillary flexible services that smart vehicles can deliver. Investments in grid infrastructure, smart technologies, and flexibility services will be essential to managing this transition effectively.
To support this transition, the Platform for Electromobility emphasizes the importance of coordinated action between all stakeholders, including Distribution System Operators (DSOs), Charge Point Operators (CPOs), flexibility service providers, and regulators. A harmonized approach to grid planning, smart charging solutions, and vehicle-to-grid (V2G) technologies will maximize the benefits of EV integration, both for the grid and for consumers.
We encourage you to prioritize the following actions:
Promote the development of national EV charging blueprints and anticipatory grid investments, ensuring that Member States facilitate seamless EV charging infrastructure deployment in alignment with grid capacity.
– More details: The right governance for smooth integration of e-mobility solutions into the grid.Support the reform of grid connection agreements and foster the implementation of smart and bidirectional charging technologies, enabling EVs to contribute to grid stability and flexibility.
– More details: A Comprehensive Roadmap for V2X Integration in Europe