The European Commission is reportedly poised to introduce a significant shift in its strategy regarding the planned phase-out of internal combustion engine (ICE) vehicles, potentially watering down the ambitious 2035 deadline through a new compensation model. According to sources within the Commission, revealed by the German business newspaper “Handelsblatt”, Brussels is now considering a system of fixed quotas that would permit the continued registration of vehicles powered by combustion engines beyond the current target year.
This maneuver signals a growing recognition within the Commission of the political and economic challenges posed by the abrupt cessation of ICE vehicle production. The proposed system would allocate up to 30% of necessary emission offsets to alternative fuels, while approximately 70% would be covered by the utilization of “green steel” a process intended to significantly reduce carbon emissions during vehicle manufacturing. The specific methodologies for calculating these offsets remain subject to intensive negotiations, underscoring the precarious nature of the proposal.
Crucially, the Commission intends to maintain the “de jure” target of a 100% emission reduction, while simultaneously introducing new mechanisms enabling the compensation of CO2 emissions even after 2035. This effectively translates to a “de facto” reduction of 90%, raising serious questions about the integrity of the initial climate goals and accusations of a softening of environmental commitments.
Critics argue this revised approach represents a capitulation to lobbying from the automotive industry and a deviation from the necessary pace of decarbonization. The shift, while politically expedient, risks undermining Europe’s leadership in the transition to electric mobility and potentially delaying substantial emission reductions. The formal proposal, scheduled for official submission by the EU Commission on Tuesday, is expected to trigger a fierce debate among member states and environmental groups alike, highlighting the complex interplay between climate ambition, economic realities and political expediency within the European Union. The move also poses a challenge to the credibility of the EU’s commitment to climate action on the global stage.