automotive news

Renault seeks partners for emissions pool

In an update with the European Commission published on Friday, Renault said it was forming an open pool and accepting new members until Nov. 18. There are specific requirements, including the disclosure of CO2 emissions data to determine whether there is a risk the pool could miss its targets and providing documents showing the pool participant can cover to cost of any potential excess emissions premium.

One other open pool remains available. The London Electric Vehicle Company, owned by Zhejiang Geely Holding Group of China, is accepting applications until Oct. 31.

Volvo, which has a strong lineup of electrified models, said earlier this month that it would be open to forming an open pool, according to a report in the Financial Times.

Daimler, which holds a 1.5 percent share in Renault Group and collaborates on development and production, could potentially join Renault’s pool. Daimler CEO Ola Källenius has said meeting emissions targets in 2020-21 would be a “challenge.” A media spokesman did not immediately return a request for comment.

Automakers that sell in Europe must meet a fleetwide CO2 average of 95 grams per km, with each company assigned a specific target based on the average mass of the vehicles they sell. Thus, companies with heavier vehicles such as Daimler have higher targets than those that primarily sell small cars, such as Renault.

The penalties for missing the EU’s targets are severe. Fines are 95 euros per gram over the target, multiplied by the number of vehicles an automaker sells, so they could potentially reach into the billions. 

Source Article