The sole responsibility for the content of this presentation lies with the Clean Fleets project. It does not necessarily reflect the opinion of the European Union. Neither the EACI nor the European Commission are responsible for any use that may be made of the information contained therein. MODULE 2: THE CLEAN VEHICLES DIRECTIVE (CVD)

2.1: INTRODUCTION TO THE CLEAN VEHICLES DIRECTIVE (CVD)

INTRODUCTION TO THE DIRECTIVE Main aims:  To stimulate the market for clean and energy efficient road transport vehicles  To influence the market for standardised vehicles produced in larger quantities by ensuring a level of demand for such vehicles - sufficiently large to encourage manufacturers and the industry to invest in vehicles with low energy consumption, CO 2 and pollutant emissions, since this would have a substantial environmental impact.

SCOPE OF THE DIRECTIVE Organisations required to comply:  Those contracting authorities or entities obliged to follow the EU Procurement Directives  Private operators of public transport services performing a public service contract – primarily bus operators

SCOPE OF THE DIRECTIVE Vehicles required to comply:  Road transport vehicles:  Light duty vehicles (cars, vans)  Heavy duty vehicles (buses, trucks, refuse trucks) Exempt vehicles:  Vehicles running on tracks (trams and trains)  Specialist road vehicles (determined by Member State)  For use by armed services, civil defence, fire services/ for use on construction sites/ mobile machinery.

REQUIREMENTS OF THE DIRECTIVE The following aspects must be taken into account when purchasing road vehicles:  Energy consumption  CO 2 emissions  NO x emissions  NMHC (non-methane hydrocarbons)  Particulate Matter (PM)

OPTIONS FOR IMPLEMENTATION Taking energy consumption & environmental impact into account can be done in 3 ways:  Option 1 – Set technical specifications for energy and environmental performance  Option 2 – Include these impacts as award criteria  Option 3 – Include energy and environmental impacts by monetising them and calculating an “operational lifetime cost” (OLC)  Or use a combination of these approaches

OPTION 1: TECHNICAL SPECS Setting maximum thresholds for climate & air pollutants and/or fuel consumption  E.g. Small Vehicles must meet the highest current Euro standard and consume a maximum of 100g/km of fuel.EU GPP Case study on buses Baia Mare, Romania  Minimum standard EEV for diesel buses*. EU GPP Case Study on Berlin Police cars, Germany  German 4 standard**, filter & Euro V standard*

OPTION 2: AWARD CRITERIA Awarding points for low levels of climate & air pollutants and/or fuel consumption  E.g. 40% of points awarded for ‘quality’ criteria including low fuel consumption and pollutant emissions.GPP In Practice Case Study: Madrid Municipal Transport Company: 142 CNG & 23 CNG hybrid buses  10 points awarded according to fuel consumption  10 points awarded according to tailpipe emissions

OPTION 3: OPERATIONAL LIFETIME COSTS Monetising energy and climate impacts  The precise methodology prescribed by the Clean Vehicle Directive must be used.Clean Fleets Guide: Procuring clean and efficient road vehicles & Module 4 of this training session. CO 2 NO x NMHCPM 0,03-0,04 €/kg0,0044 €/g0,001 €/g0,087 €/g

OPTION 3: OPERATIONAL LIFETIME COSTS  It monetises energy consumption, CO 2 and pollutant emissions (PM, NMHC, NO x )  It is prescriptive – you must calculate it exactly as laid out by the CVD  To be used correctly it should NOT be converted into points or used as part of a weighting that is separate from the financial costs –  It calculates a monetary value which should be added to the financial costs of the purchase

GETTING THE MESSAGE ACROSS TO PROCURERS Key questions:  What is the main aim of the Clean Vehicles Directive (CVD)?  To stimulate the market and create demand for clean, energy efficient vehicles

GETTING THE MESSAGE ACROSS TO PROCURERS Key questions:  What must be considered when procuring?  Energy consumption  CO 2  Pollutant emissions  PM  NMHC  NO x

GETTING THE MESSAGE ACROSS TO PROCURERS Key questions:  Who/ which vehicles must comply with the CVD?  All those covered by the EU Procurement Directives, public transport operators under public service contracts

GETTING THE MESSAGE ACROSS TO PROCURERS Key questions:  Which 4 options are available to procurers?  1. Technical specifications  2. Award criteria  3. Operational Lifetime Costs  4. A combination of these!

GETTING THE MESSAGE ACROSS TO PROCURERS Key questions:  Which aspects get monetised under option 3?  CO 2  NO x  NMHC  PM

2.2: NOTES ON THE CVD: UNDERSTANDING THE DETAIL

STICKY BITS Points of clarification/ reiteration:  Although fuel consumption and CO 2 emissions are very closely linked, they need to be addressed separately to ensure full compliance with the Directive.

STICKY BITS Points of clarification/ reiteration:  Specifying minimum Euro Emissions Standards (for Light Duty Vehicles or Heavy Duty Vehicles) does not in itself constitute compliance with the CVD, as neither CO 2 emissions nor energy consumption levels are considered.

STICKY BITS Points of clarification/ reiteration:  If an authority specifically requests a zero or very low tailpipe emissions technology (e.g. full electric or hydrogen), then emissions of CO 2 and other harmful emissions would not need to be assessed again when tendering, as these are implicitly being considered. Energy consumption would still need to be addressed however.

STICKY BITS Points of clarification/ reiteration:  It is possible to consider the environmental aspects in the CVD either at the individual vehicle level or as an average for the whole number of vehicles being purchased. If, for example, an authority is replacing a large number of fleet vehicles, it may set a maximum CO 2 emissions level (or fuel consumption level, or Euro standard) as an average for the whole purchase

STICKY BITS Most commonly cited issues with the CVD:  There are no minimum values, these factors just have to be “taken into account“ therefore  reluctant authorities can remain unambitious  procurers are sometimes unclear on what is acceptable and what is not in terms of thresholds for technical specifications or award criteria.

2.3: SETTING THE CVD WITHIN ITS CONTEXT: OTHER EUROPEAN VEHICLE DIRECTIVES AND LOCAL LEGISLATION. Clean Fleets fact sheet on EU clean road vehicles legislation and policy

EURO STANDARDS: LOCAL POLLUTANT EMISSIONS Acceptable levels of pollutant emissions for road vehicles set by the EC:  Carbon monoxide (CO)  Hydrocarbons (HC)  Non-methane hydrocarbons (NMHC)  Nitrogen oxides (NOx)  Particulate matter (PM)  NOT carbon dioxide (CO 2 ) or energy use, so just specifying Euro Standards is not enough to comply!

CO 2 EMISSIONS LIMITS Currently limits are restricted to cars and light duty vehicles (vans) DateCarsVans (Category N1*) 2012An average of 65% of each manufacturers newly registered cars must meet a limit of 130g CO 2 /km** % must meet 130g CO 2 /km % must meet 130g CO 2 /km % must meet 130g CO 2 /km g CO 2 /km g CO 2 /km147g CO 2 /km

CO2 EMISSIONS LIMITS Pop quiz – What were the average fleet values in 2007***? For cars? ___CO 2 /km For vans? ___ CO 2 /km Again, setting CO 2 emissions alone is not enough to comply, local pollutants need to be taken into account too!

EMISSIONS & ENERGY EFFICIENCY DATA REQUIRED FROM MANUFACTURERS CO 2 emissions and fuel consumption:  Light duty vehicles  CO 2 and fuel consumption is measured during type approval  + recorded in the Certificate of Conformity (CoC)  Passenger cars  As above  + a label indicating the car’s fuel economy and CO 2 emissions*

EMISSIONS & ENERGY EFFICIENCY DATA REQUIRED FROM MANUFACTURERS CO 2 emissions and fuel consumption:  Heavy duty vehicles  CO 2 emission values must now* be measured  Not recorded in the CoC BUT can be demanded by procurers at the tender stage  Values defined by engine energy output (g/kWh)**  Therefore NOT a suitable basis for method 3 allowed under the CVD

EMISSIONS & ENERGY EFFICIENCY DATA REQUIRED FROM MANUFACTURERS Toxic pollutants (NO x, NMHC & particulates)  The specific values of each pollutant measured during the type approval tests are recorded in the CoC.  Until the development of a real-driving emissions test, these do not provide a reliable basis for assessing the actual lifetime environmental impacts of different vehicles.  All vehicles must also meet a specific Euro standard for such emissions - compliance with a particular Euro standard is therefore the most important basis for procurement decision making

CLEAN POWER FOR TRANSPORT To promote a market breakthrough of alternative fuels  Short term aim: to promote a market breakthrough of alternative fuels  Long term aim: drive substitution of oil as an energy source in all modes of transport  Main pillar of the strategy – Proposed Directive on deployment of alternative fuels infrastructure. Presentations and video recordings from the Clean Fleets event in Stockholm, which focused on infrastructure for EVs

NATIONAL LEGISLATION E.G. Transposition of legislation on CO 2 emissions and fuel consumption:  E.g. Clean Fleets partners Bremen raised the concern that the way that CO 2 labelling of cars has been introduced in Germany (comparative, depending on vehicle size) may encourage people to go for unnecessarily large cars

SUMMARY OF RELATED LEGISLATION  There is a mixture of European level legislation supporting cleaner vehicles  It is not enough to rely on legislation CO 2 emissions limits or even Euro Standards to be compliant with the CVD  Some national legislation can support the procurement of clean, energy efficient vehicles whereas some can have the opposite effect to its original intention