EU has launched new guidelines for financial incentives to promote Energy efficient vehicles (Regulation (EC) No 715/2007).
In 2009 EU presented a directive for promoting “clean and energy efficient road transport vehicles” (Directive 2009/33/EC). The directive gives a scale for the environmental cost for society. The spirit was to harmonize the environmental definition in Europe in order to realize a critical mass of environmentally sane vehicles (rather than having lots of local definitions with diverging demand).
Figure: When applying the directive (Directive 2009/33/EC) to Volvo buses the environmental cost for society is as pictured.
The new regulation takes off from cars, however the directive now state:
“Guidelines for all vehicles encompassing incentives granted in all forms
Guidelines will be applicable to cars, vans, buses, trucks as well as two- and three-wheelers and quadricycles.”
If a European country is to apply incentives for environmentally sane technology the same scale applies as for the directive from 2009.
The logical consequence is that the value for society is roughly €95 000 and society benefit €140 000 from introducing a plug-in hybrid relative a diesel bus.
The environmental cost for introducing gas or biogas buses is higher than for diesel, due to the significantly higher energy use.
Now, the new regulation (Regulation (EC) No 715/2007) gives a common scale for incentives and funding of environmental buses in the future.
The Volvo Bus decision not to offer diesel buses without hybridization in the low floor city segment for Euro VI is thus logical from an environmental standpoint.