Volvo boss not happy with allowances for e-fuels, ICE engines may continue for decades
AN EXPECTED united front on banning combustion engines in the EU by 2035 has not materialised with a number of countries, notably Germany, Italy, with a degree of support from some other European nations, declining to ratify the plan in its current form.
However, as reported recently in GoAutoNews, the ICE ban plan could already include an allowance for combustion engines using synthetic e-fuels to continue after unexpected last-minute objections prevented a final vote on the matter.
Ferrari and Porsche have taken the fight to their respective national governments in seeking exemptions to the ICE ban and Germany has been particularly vocal in its push for e-fuel considerations, pursuing exemptions for internal combustion engines that run on CO2-neutral fuels after 2035.
In a move seen in some quarters as a backward step, the EU has already offered Germany a declaration – with no guarantee of success – that would include the potential for e-fuels to play a role after the sale of ICE-powered new cars is outlawed by the bloc in 2035.
Porsche and Ferrari have formed an alliance against the proposal and are pushing, with government support, for e-fuelled engines to be exempt for use in their performance models.
Their proposal has met with stern criticism from Volvo CEO Jim Rowan who has said weakening the proposed ban is “a deeply worrying and disappointing development”.
Mr Rowan told publication Automotive News Europe, “The European Parliament confirmed this agreement on 14 February and member states were supposed to do the same in early March.”
“However, now a few of them are attempting to derail the process. This is a deeply worrying and disappointing development,” he said.
Mr Rowan said in a LinkedIn post that setting a zero-emission target for all new passenger cars and vans showed the EU’s “global climate leadership at a critical time for our planet and humanity”.
“Now is not the time for backtracking and blocking of science-based climate targets for our industry.
“Now is not the time to put domestic political interests ahead of the health and welfare of our planet and EU citizens, and indeed of future generations. Now is the time for strong, decisive and progressive policy and leadership,” said Mr Rowan.
But Volvo owner, Geely has a completely different take on combustion engines demonstrated by its recent agreement with Renault to continue manufacturing them into the foreseeable future along with the formation of a new dedicated ICE manufacturing company called Autobray.
Before the Geely/Renault agreement, Volvo and Geely had only recently (early 2022) formed the Autobray JV – which includes two powertrain production facilities in Sweden and China.
Volvo has since divested itself of all ICE powertrain production facilities to Autobray.
The company will continue to develop internal combustion engines, with all ICE operations, including production facilities and R&D centres transferred to Autobray. Its ICE operations include Volvo’s wholly owned subsidiary Powertrain Engineering Sweden, its Swedish engine-maker Skovde and its R&D team, plus its engine plant in China.
As reported last year GoAuto News, analytical firm Bernstein Group said that moves by Geely to consolidate ICE production globally shows there is still profit to be made from the ageing technology.
“As the world focuses on electric vehicles, this is an interesting move highlighting that ICE cars will still be produced for decades and illustrating a path for consolidation of the ICE side of the industry,” the group said in a statement previously.
The manoeuvres clear Volvo’s conscience relating to fossil fuel burning engines prompting Mr Rowan to say, “We are aware of our obligation to help protect the planet, we call on EU governments to show that they are too”.
On the other side of the argument, Porsche (and VW Group) CEO Oliver Blume said in an ANE report that “e-fuels should be exempted from the combustion engine ban adding that such an exemption would not slow down the automaker’s electric ramp-up”.
“If e-fuels are approved for the future, this will not lead to a change of Porsche’s strategy,” said Mr Blume during Porsche’s recent AGM press conference.
Meanwhile, in Japan, Toyota’s ‘hydrogen carbon neutral combustion engine’ plans ran into a speed bump with a hydrogen powered Toyota GR Corolla race car going up in flames.
The car caught fire during testing because of a leak in a hydrogen fuel line.
It was to be driven in a five-hour endurance race by Toyota President, Akio Toyoda as part of his push to promote clean-burning hydrogen combustion technologies as one route to achieving carbon neutrality but has been withdrawn.
Keyword: Sparks fly over possible EU ICE backdown