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Electric mobility is no longer a distant dream or speculative idea. Today, there are already more than 10 million electric vehicles (EVs) on the world's roads, and this number is expected to skyrocket past 100 million within the next decade. Electric cars aren't just changing how we travel—they're also playing a critical role in combating climate change, driving governments toward achieving their long-term environmental goals.
Europe is determined to become the world's first climate-neutral continent by 2050. This ambitious goal was officially announced in 2019 through a series of policy initiatives known as the European Green Deal. While 60 percent of the general population feels reducing CO2 emissions is personally important, only 10 percent were familiar with the European Green Deal at the time. Since then, many developments have taken place, but keeping up with everything can be overwhelming. This article aims to clarify the current state of the EU Green Deal, the Fit for 55 Package, and what these new regulations might mean for EV drivers.
Before diving deeper into EU legislation, let’s consider why addressing climate change is so vital. The accumulation of greenhouse gases in the atmosphere—caused by activities like burning fossil fuels—is causing Earth's surface temperature to rise, which in turn affects the environment. By swiftly cutting emissions of greenhouse gases, we can mitigate the risks of severe climate change.
Transportation is a major contributor to these emissions. According to the International Energy Agency (IEA), transportation accounts for 24 percent of direct CO2 emissions from fuel combustion, a figure that has been growing annually by 1.9 percent since 2000. Fortunately, governments worldwide are implementing policies to reduce global emissions, such as zero-emission vehicle mandates and CO2 emissions standards. In 2019, transport emissions actually decreased by 0.5 percent, partly due to the increasing electrification of transport.
The announcement of the European Green Deal in 2019 was a landmark moment, described by European Commission President Ursula von der Leyen as "Europe's man on the moon moment." For the first time in history, the EU Commission presented a comprehensive plan with legally binding targets to achieve net-zero emissions by 2050. Following this announcement, the Commission pledged to propose a detailed plan to raise the EU's emissions reduction target for 2030 to achieve climate neutrality by 2050.
One of the key developments following the Green Deal was the establishment of a 55 percent net emission reduction target by 2030. After a thorough impact assessment, it became clear that the EU would only achieve a 60 percent net emission reduction by 2050 under current legislation. Thus, in 2020, the Commission introduced the "Fit for 55 Package" in July 2021 to meet this ambitious target.
Think of the EU Green Deal as the master plan: achieving net-zero emissions by 2050 for the entire continent. The Fit for 55 Package complements this vision by proposing a set of policy initiatives to help Europe achieve at least a 55 percent net emission reduction by 2030. As EU Green Deal chief Frans Timmermans stated, "We have to shift the whole of our economy into a higher gear. So we are leaving no stone unturned."
The Fit for 55 Package consists of two parts. The first part, comprising 13 legislative proposals, was released in July 2021, and the second part is scheduled for December 14, 2021. These proposals include revisions to existing laws such as the EU Emissions Trading System (ETS), the Land Use, Land-Use Change, and Forestry Regulation (LULUCF), and the Energy Taxation Directive. Additionally, new proposals like a Carbon Border Adjustment Mechanism (CBAM) and a Climate Action Social Facility aim to address various aspects of sustainability.
The Fit for 55 Package places significant emphasis on electric mobility, recognizing its pivotal role in reducing emissions from road transport. Road transport accounts for the largest portion of transport emissions, making it a focal point for decarbonization efforts. The package outlines strategies to accelerate the rollout of charging infrastructure, make electric driving more accessible, and establish a clear phase-out date for fossil fuels.
One notable initiative is the revised Alternative Fuels Infrastructure Regulation, which mandates binding targets for EV charging infrastructure and improves the user-friendliness of recharging infrastructure. The Renewable Energy Directive proposes increasing the EU's renewable energy share to 40 percent by 2030, introducing mechanisms to boost renewable electricity usage in transport, and setting smart charging requirements for private EV stations.
The CO2 Emission Standards for Cars and Vans Regulation sets ambitious targets for reducing vehicle emissions, aiming for a complete phase-out of internal combustion engine vehicles by 2035. These proposals are not yet law, as they must undergo an extensive legislative process involving the European Parliament and the Council of the European Union.
Once adopted, the Fit for 55 Package will bring significant changes for EV drivers. The clear phase-out date for ICE vehicles will motivate both automakers and consumers to embrace electric mobility. Legal frameworks for charging infrastructure will ensure consistency across EU countries, enhancing the user experience. Increased and better-quality charging infrastructure will guarantee that drivers' needs are met, fostering confidence in electric travel.
Moreover, the package addresses challenges like international travel, ensuring seamless cross-border charging and smarter charging options. Overall, the Fit for 55 Package represents a crucial step toward a sustainable future, making electric mobility the new standard across Europe.