Cleaner on Paper, Dirtier on the Road: Europe’s Car Subsidy Paradox

Cars are responsible for 12% of the total CO2 emissions in the European Union. As Europe introduces stricter rules on carbon emissions by at least 55% by 2030, the CO2 emissions of new cars are becoming an increasingly important part of car manufacturers' marketing strategies. Lower emissions often mean access to already congested city centres, lower circulation taxes and sometimes generous subsidies.

A thorough analysis of CO₂ emissions databases published by the European Environment Agency (EEA) shows the existing discrepancies between CO₂ emissions from internal combustion engine and plug-in hybrid car models, as measured in laboratory tests and in real-world conditions in France, Italy, and Romania between 2021 and 2023. Several of the best-selling cars in each country were among them, and some qualified for public subsidies aimed at supporting the transition to low-emission cars.

On the right: Image by Kim Hansen (Wikimedia Commons)