Road transport faces a number of challenges heading into the next decade, as competition, environmental and social issues all exert influence over the sector. Here is an overview of the challenges on the road ahead. For all matters related to EU …
The EU has implemented a range of policies to combat climate change and deliver on its Kyoto target of 8% CO2 reductions by 2012. As the negotiations for a new climate treaty continue, the EU is now implementing a set of new policies to reach its 2020 goals.
Since 2005, some 10,000 large industrial plants in the EU have been required to buy and sell permits to release carbon dioxide into the atmosphere. A so-called 'emissions trading scheme' enables companies that exceed individual CO2 emissions targets to buy allowances from 'greener' ones to help reach the EU's targets under the Kyoto Protocol. However, pollution credits were grossly overallocated by several countries during the initial implementation phase, forcing down carbon prices and undermining the scheme's credibility, which has prompted the EU to consider toughening up the system.
Hydrogen vehicles hold the promise of curing the world's oil dependency while making transport-related air pollution and CO2 emissions history. But sceptics point out that hydrogen is clean only if produced from renewable sources of energy.
To improve security of energy supply and reduce greenhouse gas emissions, the EU has set itself the objective of a 10% substitution of traditional fuels in the road transport sector (gasoline and conventional diesel) by alternative fuels before the year 2020. Three alternative solutions are seen as promising: biofuels, natural gas and hydrogen.
