Jurisdiction: United Kingdom

Commencement: 1st January 2024

Amends: Assimilated Regulation 2019/631 setting CO2 emission performance standards for new passenger cars and for new light commercial vehicles and Assimilated Regulation 2019/1242 setting CO2 emission performance standards for new heavy-duty vehicles
Mini Summary

The assimilated Regulation 2019/631 setting CO2 emission performance standards for new passenger cars and for new light commercial vehicles and Assimilated Regulation 2019/1242 setting CO2 emission performance standards for new heavy-duty vehicles sets CO2 emission performance standards for new heavy duty vehicles, with the intention of reducing emissions and combating global warming.

From 2025 manufacturers will be required to comply with their specific CO2 emissions target, or will be required to pay an excess CO2 emissions premium if it is not met.

This Regulation applies to new heavy-duty vehicles of categories N2* and N3* that meet the following characteristics:

  • rigid lorries with a 4×2 axle configuration and a technically acceptable maximum laden mass of more than 16 tonnes (T);
  • rigid lorries with a 6×2 axle configuration;
  • tractors with a 4×2 axle configuration and a technically acceptable maximum laden mass exceeding 16T; and
  • tractors with a 6×2 axle configuration.

It also applies to new heavy-duty vehicles of category N* that do not fall within the scope of Regulation (EU) 2019/631 setting CO2 emission performance standards for new passenger cars and for new light commercial vehicles and do not fit the characteristics for lorries listed above.

Vehicles that fit into the categories above are, for the purposes of this Regulation, considered new- heavy-duty vehicles for a 12 month period, starting from 1st July 2021, if they are registered in the UK for the first time in that period and have not been previously registered outside the UK.

A previous registration outside the UK made less than 3 months before registration in the UK is not recognised as a previous registration.

*Vehicles of category N and vehicles designed and constructed for the carriage of goods.

*N2 vehicles are vehicles designed and constructed for the carriage of goods and having a maximum mass not exceeding 3.5 tonnes.

*N3 vehicles are vehicles designed and constructed for the carriage of goods and having a maximum mass exceeding 12 tonnes.

Duties
Average specific CO2 emissions of a manufacturer

Starting from the 1st of July 2021, and in each subsequent reporting period, the average specific CO2 emissions, in grammes per tonne-kilometre (g/tkm)*, for the preceding reporting period for manufacturers will be set by the Secretary of State in accordance with Article 4.

*g/tkm is a measurement of specific CO2 emissions for freight transport.

Zero- and low-emission heavy-duty vehicles

Starting from 1 July 2021, and for each subsequent reporting period, the zero- and low-emission factor for the preceding reporting period shall be determined for each manufacturer will be set by the Secretary of State in accordance with Article 5. This is calculated by the Secretary of State taking into account the number and CO2 emissions of zero- and low-emission heavy-duty vehicles in the manufacturer’s fleet in a reporting period.

Specific CO2 emissions targets of a manufacturer

Starting from the 1st of July 2026, and in each subsequent reporting period, a specific CO2 emissions target for the preceding reporting period shall be determined for each manufacturer by the Secretary of State in accordance with Article 6.

Emission credits and emission debts

To determine a manufacturer’s compliance with its specific CO2 emissions targets in the reporting periods of the years 2025 to 2029, account shall be taken of its emission credits or emission debts determined in accordance with Article 7.

Emission credits can be acquired in the reporting years 2019 to 2029. However, the emission credits acquired in the reporting periods of the years 2019 to 2024 are only taken into account for the purpose of determining the manufacturer’s compliance with the specific CO2 emissions target of the reporting period of the year 2025.

Emission debts are only acquired in the reporting periods of the years 2025 to 2029 and the total emission debt of a manufacturer must not exceed the emission debt limit*.

Emission credits and debts acquired in the reporting periods of the years 2025 to 2028 can be carried-over from one reporting period to the next reporting period and any remaining emission debts shall be cleared in the reporting period of the year 2029.

*The emission debit limit is the maximum amount a manufacturer can be in debt which is capped at 5 % of the specific CO2 emissions target in the reporting period of the year 2025 multiplied by the number of heavy-duty vehicles of the manufacturer in that period.

Compliance with the specific CO2 emissions targets

If a manufacturer is found to have excess CO2 in any reporting period from 2025 onwards, an excess CO2 emission premium will be imposed on the manufacturer in the form of a fine, in accordance with Article 8.

Verification of the CO2 emissions of heavy-duty vehicles in-service

Manufacturers must ensure the CO2 emission and fuel consumption values recorded in the customer information file, referred to in Article 9(4) of Regulation (EU) 2017/2400 for the determination of CO2 emissions and fuel consumption of heavy-duty vehicles, correspond to the CO2 emissions from and fuel consumption of heavy-duty vehicles in-service.

 

Amendment

The Secretary of State can impose premiums on vehicle manufacturers for excess CO2 emissions. The manufacturer must be notified in writing where an excess CO2 emissions premium is imposed on them. The manufacturer has the right to appeal against the excess CO2 emissions premiums. Administrative fines can also be imposed on manufacturers where they do not report correct data on engine types for vehicles. This amendment has no direct relevance to environmental matters.

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Jurisdiction: United Kingdom

Commencement: 26th November 2021

Amends: UK Retained: Regulation (EU) 2019/631 setting CO2 emission performance standards for new passenger cars and for new light commercial vehicles

Mini Summary

The UK Retained: Regulation (EU) 2019/631 setting CO2 emission performance standards for new passenger cars and for new light commercial vehicles sets CO2 emissions performance requirements for manufacturers of new passenger cars and light commercial vehicles, and premiums to be paid if they are exceeded.

 

CO2 emissions performance requirements are set by the European Commission (EC) for new passenger cars* and new light commercial vehicles* in order to help achieve the European Union (EU) greenhouse gas emissions reduction target and the objectives of the Paris agreement (a global action plan to limit global warming to below 2°C above pre-industrial levels).

*New passenger cars are Category M1 vehicles which are registered in the EU for the first time and have not previously been registered outside of the EU. Category M1 means vehicles for the carriage of passengers with no more than 9 seats, including the driver’s seat, as defined in Annex II of Directive 2007/46/EC establishing a framework for the approval of motor vehicles and their trailers, and of systems, components and separate technical units intended for such vehicles.

*New light commercial vehicles are Category N1 vehicles with a mass not exceeding 2610kg and those type approved under Regulation (EC) 715/2007 which are registered in the EU for the first time and have not previously been registered outside of the EU. Category N1 means vehicles for the carriage of goods with a maximum mass of 3.5 tonnes. as defined in Annex II of Directive 2007/46/EC establishing a framework for the approval of motor vehicles and their trailers, and of systems, components and separate technical units intended for such vehicles.

Zero emissions category N vehicles with a mass exceeding 2480kg will be counted as light commercial vehicles from 1st January 2025, if the excess mass is due to the energy storage system.

If a vehicle has been registered outside of the EU for less than 3 months before it is registered in the EU, then it is will still be considered a ‘new’ vehicle.

The Regulation does not apply to special purpose vehicles, i.e. a vehicle intended to perform a function which requires special body arrangements and/or equipment. This category includes wheel-chair accessible vehicles, caravans, and ambulances, as defined by Part A of Annex II of Directive 2007/46/EC establishing a framework for the approval of motor vehicles and their trailers, and of systems, components and separate technical units intended for such vehicles.

Manufacturers responsible for fewer than 1000 new passenger cars or light commercial vehicles registered in the EU in the previous calendar year are not required to comply with certain requirements, including the requirement to meet specific emissions targets and pay excess emissions premium.

 

Amendment

Changes are made to set CO2 emission performance standards for new passenger cars and new light commercial vehicles for the period 2021-2024, so that UK CO2 targets are fully established, and relevant data can be collected. The new specific emissions targets that manufacturers must meet are outlined below.


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