NGV Global

Energy and Climate are Hot: NGVs are Not … but they could be!

Welcome to the final of a four part discussion and analysis on legislative and regulatory initiatives being undertaken by European Union policy makers, written especially for NGV Global. (Links to Parts 1, 2 and 3 at end of article)

PART 4

Euro VI Heavy Duty Emissions Regulations: Positive Changes for NGVs (COM 2007/851 final, 21/12/2007)

The NGV industry scored an important victory when a non-methane hydrocarbon (NMHC) standard was included by the European Commission in the latest proposed Euro VI heavy-duty vehicle emissions regulations (Meeting of the Motor Vehicles Emissions Group — MVEG — 6 November 2007).  Previous versions of Euro VI proposals omitted the NMHC, which was vigorously advocated at meetings of MVEG, in private conversations with Commission principals, and in the NGV industry response to Euro VI public consultation in September 2007.  The earlier lobbying efforts, at that time undertaken by ENGVA, and continued by Clean Fuels Consulting from October 2007 on behalf of the International Association for NGVs (IANGV) have proven, to this point, successful regarding hopes for the inclusion of an NMHC standard.

As it currently stands, positive ignition engines (i.e. heavy-duty, spark ignited engines running on natural gas — or LPG) must meet an NMHC of 160 mg/kWh.  For compression ignition engines (i.e. diesel cycle engines) the Total Hydrocarbon (THC) limit value is 160 mg/kWh (using the European Test Cycle – ETC).  There is no THC limit value included for positive ignition engines; just the NMHC. (There also is a limit value for methane at 500 mg/kWh.)  This differs significantly from the light duty vehicle Euro 5/6, which includes both an NMHC and THC, which has not been the preference of the NGV industry. (The document can be downloaded from http://ec.europa.eu/enterprise/automotive/mveg_meetings/meeting98/euro_vi_proposal.pdf; and see Annex I,Table 1)
 
The other position advocated by the NGV industry was the inclusion of an Environmentally Enhanced Vehicle standard for Euro VI, as has existed in heavy duty regulations as a target standard since 1999, as advocated successfully by ENGVA.  An EEV has not been included in the current version of Euro VI and it is not likely to move further in the Directive.  There is support outside of the EURO VI, however, to create a ‘clean fuel vehicle’ label, something that Malcolm Harbour, MEP UK has been advocating.  Mr. Harbour was a principal in the Cars 21 Group, which organised auto industry and related stakeholders to create favorable legislation and regulations that are environmentally friendly but also achievable by the European vehicle manufacturers.

Also being advocated in the Euro VI regulations has been a definition of ‘dual fuel’ natural gas/diesel engines.  Although a specific ‘dual fuel’ definition was not included, despite the industry efforts, the latest definition of alternative fuels in the regulations seems to be flexible enough to support further efforts by dual fuel advocates to bring their products to individual European country markets, although not adequate to achieve European-wide type approval.  The new Euro VI definition says:  ‘Alternative fuel vehicle’ means a vehicle designed to be capable of running on at least (emphasis added) one type of fuel that is either gaseous at atmospheric temperature and pressure, or substantially non-mineral oil derived. 

At this time the exact schedule of the final disposition of the Euro VI regulations remains ‘under consideration.’

Promotion of Clean & Efficient Road Transport Vehicles Directive (COM 2007/817 final, 19.12.2007)

The European Commission issued a directive in December 2007 that will require public authorities, or their agents, to purchase vehicles that include in the purchasing criteria consideration the lifetime costs of energy consumption, CO2 emissions and other emissions.  The concept is to advocate a specific methodology that is deemed to be fuel neutral for all road vehicles – light, medium and heavy duty vehicles – in order to promote clean and energy efficient vehicles. The Directive also includes public transport vehicles either purchased directly by public entities or provided by lease. The Directive mandates member states to implement the methodology (or modified methods with the same intention and characteristics) by 1 January 2012. 

According to the Commission, this Directive:

• Is technology neutral;
• Monetizes the actual pollutant emission without requiring additional standard setting (i.e. such as an environmentally enhanced vehicle standard);
• May help overcome the lack of knowledge as a barrier and increase the public purchasing of clean vehicles;
• Provides additional incentives for alternative fuels and biofuels to existing measures on CO2 reduction;
• Provides an incentive for private fleet and vehicle operators by setting a ‘clean fuel’ example by governments;
• Does not prohibit the choice of retrofitted vehicles upgraded for higher environmental performance.

There are a number of challenges that must be considered within the new Directive.

• Value of energy included must be untaxed.  It is not specified if the energy cost would be over the lifetime of the vehicle or based upon one moment in time. 
• It will be very difficult to calculate vehicles that run on ‘flexible’ quantities of fuel blends, such as ethanol in gasoline, which may be from zero to 85% ethanol.  The same would apply for dual-fuel natural gas/diesel vehicles. For bi-fuel NGVs some assumptions have to be made as to what proportion of time the vehicle will run on natural gas or its primary fuel source.
• The cost of CO2 is included but not for other global warming gases, including NOx and methane. 

Within the European Union total procurement accounts for 16% of the gross domestic product. Total annual vehicle purchases that could be affected by this Directive would include: 110,000 passenger cars; 110,000 light commercial vehicles; 35,000 trucks/lories; and 17,000 buses.  This accounts for about 1% of car purchases, 6% for vans and lories/trucks, about one third of the buses.

Summary

There are substantial opportunities for NGVs within the large body of legislative and regulatory initiatives now being undertaken by the European Union policy makers.  Continued vigilance and active participation in the policy making process in Brussels will be required to ensure that NGVs are well-represented, and that a fair and balanced legislative and  regulatory environment can be created and maintained in order to enhance the European market opportunities for natural gas vehicles.