September 22, 2020

The German government finalizes measures to solve the crisis of diesel cars | Economy

The German government finalizes measures to solve the crisis of diesel cars | Economy



The German government was preparing on Monday night to announce the measures that will boost around the diesel cars, measures that will affect millions of owners of old vehicles very polluting, which will cost an expensive bill to the manufacturers who cheated in the polluting emissions system the so-called Dieselelgate

Chancellor Angela Merkel and three ministers (Transport, Environment and Finance) and the leaders of the parliamentary groups of the three parties that form the grand coalition government (CDU, CSU and SPD) met at the Chancellery headquarters to approve a package of measures. They try to find a solution to the decisions of several German courts, which threaten to ban the most polluting diesel vehicles in several cities of the country, in total almost 1.4 million vehicles.

After several meetings between representatives of the Government and the automotive industry that have taken place in recent weeks, the parties have reached an agreement that includes the renewal of the fleet of pollutant diesel cars and the updating of the hardware that regulates the emission of polluting gases, a measure that would be financed by the industry and, in part, by the owners.

According to newspaper information Bild am Sonntag, the Government and the industry would have reached an agreement related to the exchange premiums for the oldest diesel cars. According to the newspaper, which does not cite sources, the industry would have offered premiums of between 3,000 and 10,000 euros, an offer that has the support of Chancellor Merkel, who opted for a radical renewal of the fleet of polluting cars.

In exchange for premiums, car owners could change their old diesel car with Euro 4 and Euro 5 emission standards, for more modern diesel or gasoline vehicles. Volkswagen, for example, is willing to pay between 4,000 and 10,000 euros for a polluting car. The amount of the premium depends on the value of the car that the customer wants to buy. Daimler, for its part, offers a premium of between 3,000 and 10,000 euros and BMW a single premium of 6,000 euros.

This agreement, however, would only apply to 14 cities where the Federal Environment Agency has measured nitrogen oxide emissions (NO2 of more than 50 micrograms per cubic meter of air, as is the case in Munich, Stuttgart, Cologne and Hamburg). Others such as Berlin and Frankfurt have not been included in the list.

Other measures contemplated in the Government's plan, dubbed the "Mobility Program for the reduction of NO2" and which favors drivers wishing to keep their cars, is the renewal of the hardware of the oldest diesel engines, a controversial solution because of the high cost involved in modernization.

During the negotiations, the industry would have committed to finance up to 80% the modernization of hardware, an average of 3,000 euros per car. It is not yet clear who will pay the remaining 20%, although the government document indicates that this percentage would have to be paid by users.

"We must try, in the interest of the customers and also of the automobile companies, a renewal of the fleet. This should be the main element of the negotiations, "said Chancellor Merkel, last Thursday, when unofficially announcing the possible outcome of the meeting.

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