European Union CO2 rules make no sense for Fiat chief

| Tue, 07/01/2008 - 03:59

Proposals from the European Union to reduce automobile CO2 emissions are a ''non-sense'' for Fiat CEO Sergio Marchionne.

In an interview published Monday by online Automotive News Europe magazine, the Fiat chief explained that the proposals made by the European Commission, the EU executive, would penalise the makers of compact cars which pollute less.

According to the plan, small cars would have to reduce CO2 emissions to less than 130 grams per kg by 2012, while makers of bigger cars would have a higher threshold.

For the smaller Fiat cars, the EC wants emissions to be reduced to 122 grams per kg.

''This is the same as asking a driver whose car goes only 110kph to help pay the fine of a car which goes 150kph where the speed limit is 130kph,'' Marchionne explained.

The Fiat chief said that all cars should be obliged to cut emissions of CO2 to 130 grams per kg and noted that the proposed fines for not respecting the 122 gram ceiling for small cars were enormous.

Marchionne also criticised the principle that fines will be determined according to the total number of cars produced because this would unjustly penalise automakers who produce on a large scale.

''I can accept that fines be levied for models which produce more pollution than allowed, but those which produce less than the limit should be exempted,'' he explained.