German auto industry calls on fuel suppliers for tougher climate targets | WSAU News/Talk 550 AM 99.9 FM

FRANKFURT (Reuters) – Germany must go further than European Union fuel guidelines if it wants to meet its 2045 climate-neutrality goal for road traffic, the VDA automotive association said on Wednesday.

The European Union’s Renewable Energy Directive (RED III), adopted at the end of last year, is not ambitious enough, the VDA said in a statement.

“Politicians have an obligation to create incentives to increase the use of renewable energy sources and thus guarantee and promote investments,” said Hildegard Mueller, President of the VDA.

The German car industry wants to make sure that CO2-neutral fuels such as biofuels and e-fuels reach the market in sufficient quantities to power the 40 million combustion engine vehicles that will continue to drive on the roads even if the government meets its target of 15 million electric cars by 2030.

The VDA fears that the 2030 targets do not provide enough incentive for the oil industry to invest in the production of climate-friendly fuels.

The EU targets a share of renewable energy of at least 29% by 2030, or a 14.5% reduction in greenhouse gas emissions compared to the emissions that would result from burning fossil fuels.

Germany, Europe’s largest economy, has already decided on a higher reduction rate of 25%. However, the VDA believes that it is necessary to reach 35%.

The EU regulation also provides for a 5.5% quota for biofuels and synthetic fuels, with a minimum share of synthetic fuels of 1%.

For the latter, the VDA recommends at least 5%.

Further interim targets should also be set to reduce greenhouse gas emissions by 60% by 2035, 90% by 2040 and 100% by 2045, the VDA said. “In the interests of climate protection, fossil fuels should no longer be allowed for sale at German petrol stations from 2045,” the association added.

(Reporting by Ilona Wissenbach; text by Miranda Murray; editing by Mark Heinrich)