EC unveils tough emission norms for cars

Mumbai: The European Commission has proposed that the average new car in the European Union should limit carbon dioxide (CO2) emissions at 130gm per km by 2012 from 163gm at present.

If the proposals are approved by EU governments, these will be the world's toughest controls on greenhouse gas emissions.

Along with increased use of bio fuels and other technological advances, the emission levels could well be limited to an average 120 gm/km, the EC said.

The EC said the change is essential for meeting EU targets for reducing emissions under the Kyoto protocol to combat climate change. EC had even tougher measures in mind but the proposals had to be watered down following fierce lobbying by carmakers, who said the move will drive up car prices and cost jobs.

The proposals have also created a rift between producers of small cars in Southern Europe and Germany's luxury car-dominated industry. The disagreement could hamper legislation as industry across countries demanding relaxations. Carmakers, in fact, have warned of mass migration of car industry jobs out of Europe.

Tensions have risen among carmakers like France's PSA Peugeot Citroën and Renault, as well as Fiat of Italy complaining that Germany is using its EU presidency to advance its car industry interests. The three produce some of Europe's lowest-emission cars and want luxury car producers like DaimlerChrysler and BMW to share the burden of cutting emissions.

Transport and environment authorities welcomed the proposals while car manufactures were skeptical about the deadline.