The European Union’s external auditor urged the bloc to reevaluate its policies to make the proposed sales ban on new petrol cars by 2035 feasible as electric vehicles remain expensive and alternative fuels are still “not credible.”
Unfortunately, it would compromise the EU’s 2050 climate goals.
EU’s goals
The EU aims to become carbon neutral by 2050, with electric vehicles serving as the key weapons to achieve this target. According to Reuters, the 27-member bloc aims to boost its electric vehicle uptake as the transportation sector currently accounts for almost one-quarter of its overall emissions.
In addition, the EU aims to register at least 30 million zero-emission vehicles (ZEVs) in the region by the decade’s end. This figure accounts for approximately 12% of the EU’s current fleet.
Despite the EU’s push for carbon neutrality, the European Court of Auditors (ECA) urges the bloc to reconsider its policies to make its targets more feasible and secure for the local industry.
Call for the EU to reevaluate plans to ban gas car sales
European Court of Auditors (ECA) member Annemie Turtelboom warned that the EU may develop new economic dependencies and damage its own automotive industry with its proposed policies to achieve its ambitious 2050 climate goals.
Due to high production costs, the bloc may have to lean on cheap imports (especially from China) to meet its 2035 EV goals. It is unsurprising, given that China currently contributes 76% of electric battery output globally. In contrast, the EU only accounts for under 10%.
Therefore, ECA’s Turtelboom is urging the EU to reassess current policies, adding that 2026 will be a crucial year for the bloc for policy reconsideration.
“The EU faces a conundrum, how to meet goals without harming industrial policy and hurting consumers.”
Annemie Turtelboom, an ECA member, told reporters
Challenges
American electric automaker Tesla has been leading the electric vehicle industry in the US and Europe. However, the intensifying competition brought on by Chinese companies’ cheap electric vehicles prompted the company to cut prices.
Other European automakers, including Stellantis and Renault, announced plans to launch affordable offerings to remain competitive in the rapidly growing market.
However, the sales growth in the EU is only largely due to government subsidies. In addition, the lack of charging infrastructure continues to discourage people from joining the shift to electric mobility. As per the report, 70% of the charging stalls in the region are concentrated in Germany, France, and the Netherlands. The EU is reportedly behind in its goal of deploying 1 million charging stations across the region.
“(EV) prices would need to halve, and subsidies do not seem to be a viable tool … Batteries alone already costs 15,000 euros when produced in Europe.”
Annemie Turtelboom, an ECA member, told reporters
Moreover, biofuels, e-fuels, hydrogen, and other alternative fuels are still uneconomic commercially. The ECA also noted that the bloc has not reduced real carbon emissions from the transportation sector despite launching new testing standards (like Euro 6.)
“Despite lofty ambitions and strict requirements, most conventional cars still emit as much CO2 as 12 years ago.”
ECA member Nikolaos Milionis
All that said, the EU must listen to the ECA’s warning for it to succeed in its electric vehicle and carbon neutrality targets. It may need to reassess its policies to make its 2035 gas car sales ban feasible amid the ongoing market challenges.
