BIOFUELS: BLENDING, COMPATIBILITY & LABELLING

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BIOFUELS: BLENDING, COMPATIBILITY & LABELLING CARS 21 - Working Group 1 14 February 2012 Luca Pascotto Director Mobility FIA,

Key Point Consumers should be at the heart of discussions on the future of the automotive industry if we want to strengthen the demand side for innovation

Outline 1. Biofuels and Co2 consumption 2. E10: lesson learnt? 3. Conclusion

1. BIOFUELS & CO2 CONSUMPTION Influence of ethanol share on fuel consumption and CO2 emissions (based on ADAC measuring results on Opel Agila) gasoline E5 E10 Fuel consumption 4,71 l/100km 4,78 l/100km 4,85 l/100km Cons. increase 0% 1,5% 3,0% TTW CO 2 emiss. 112,7 g/km 111,6 g/km 110,6 g/km WTT CO 2 emiss 21,30 g/km 20,03 g/km 18,71 g/km WTW CO 2 emiss 134,0 g/km 131,7 g/km 129,3 g/km WTW CO 2 red 0% -1,7% -3,5% WTT values according on today s standard ethanol production in Germany (wheat graines and lignite lighting) ADAC Technik Zentrum in Landsberg is the test centre of the European FIA Automobile clubs

Influence of ethanol share on fuel consumption and CO2 emissions (based on ADAC measuring results on Opel Agila) gasoline E5 E10 Fuel consumption 4,71 l/100km 4,78 l/100km 4,85 l/100km Cons. increase 0% 1,5% 3,0% TTW CO 2 emiss 112,7 g/km 111,6 g/km 110,6 g/km WTT CO 2 emiss 21,30 g/km 17,39 g/km 13,36 g/km WTW CO 2 emiss 134,0 g/km 129,0 g/km 123,9 g/km WTW CO 2 red 0% -3,7% -7,5% WTT values according on ethanol production based on wheat graines and straw (LOGEN process, under research)

E10? what it is? E10: It fights climate change and destroys our environment; it saves CO2 emissions and costs more money Millions of vehicles cannot run on the new fuel Motorists got confused: really help the environment? really my car run with this new fuels?

2. E10: LESSON LEARNT? E10 introduced in Germany in Jan 2011 From a technical point of view 90% of all registered cars could run with E10...BUT 85% of German car holders did not refuel their cars with E10 (ADAC survey, April 2011)

Reasons for not choosing E10 (%) Not convinced on environmental benefit 39 I m afraid E10 could damage my car 20 E10 means additional fuel consumption 10 My car can t run on E10 (technical point of view) 8 I m not sure whether my car runs with E10 4 Inconsistent information by manufactures and dealers 4 0 10 20 30 40 ADAC, online survey - April 2011

In Finland The new 95-octane E10 petrol is sold everywhere in the country since spring 2011 The conventional 95-oct petrol is not at all anymore available, as the new E10 petrol replaced it and no transition period was given Motorist did not want to fill the new E10 petrol, but instead they filled the 98-octane petrol, even with higher cost at pomps. The new E10 is marked at the petrol pumps by 95 E10 and the 98-octane petrol (with 5 % ethanol content) is marked by 98 E5.

CONSUMERS CAN REJECT INNOVATIONS Lack of consistent information Opportunity to remove traditional fuel, which was the cheapest one? And what about those vehicles not technically ready? Transparency on the price-pomp: the difference between E10 and Super E5 increased up to 8 cent

3. Conclusion Consumer information are the key towards a global approach to automotive innovation and CO2 reduction Before promoting a new service or product it is essential the development, production and dissemination of consumer information to all aspects (benefit; pro & cons; practicalities; impact on costs)

Reach better homogeneity in the labelling of fuels at pump: this would increase confidence and recognition in consumers When introducing changes in a product or a service a transition period should be given The food versus fuel conflict is not helping: a certification of biofuels which allows verification of sustainable production of these products maybe could help (eg. Conservation of biodiversity; Sustainable use of water resources)

People are interested in being more environmental about their fuels and also promoting an alternative source of fuel. We need to support this process THANK YOU FOR YOUR ATTENTION