Sci&Tech History

In 1998, the European Union and the European auto industry association ACEA came to a voluntary agreement to reduce carbon dioxide (CO₂) emissions (SAM, 2005). The agreement seeks to achieve an average of 140g/km of CO₂ in 2008 collectively by the members of the association. Having achieved only 160 g/km in 2005, European Federation for Transport and Environment (T&E) argues that ACEA is failing their commitments. What T&E argued may true as the agreement assessed in association level, but as an independent entity Fiat Auto has reached the 2008 goal, three year in advance (achieving 139 g/km), Citroen 144 g/km and Renault 149 g/km in 2005.

Absence of incentive (and disincentive) in fostering car makers to reduce CO₂ emissions indicates poor management. As an entity that principally defined by the market-driven activities, technical change in car engine can not be separated from production (involve research and development) cost, market price, branding i.e: environment friendly image, and legal aspect. When an agreement or mandatory is addressed to association level, car makers who have not reach the target can rely on their relative. Still the companies who have achieved the target can gain beneficiary from it branding.

Environment issues can be tracked back since Industrial Revolution. Emergence of great factories and consumption of immense quantities of coal and other fossil fuels gave rise to unprecedented air pollution and the large volume of industrial chemical discharges added to the growing load of untreated human waste (Fleming, 2006). As a reaction, environmentalism grew out of the amenity movement to prevent bad impact of industrialization, growth of cities, worsening air and water pollution. The movement took effect globally. In the early 1990’s European Council began investigating methods for reducing CO₂ emissions from cars as broader strategy to reduce greenhouse gas emissions that contribute to global climate change which become foundation of ACEA agreement.

In one hand, car industries to develop ‘environment friendly’ technologies imply their openness to environmental issues. In the other hand, it also implies negotiation with nature and market. Rather use private car, it is better to use public transportation. Negotiation also seen when car makers reduce CO2 emissions by shifting their machine to diesel rather make radical change that need a huge R&D budget.

Is these a matter of time? Or does environment and economy can walk in a same direction?

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