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PRIMER ON AUTO EMISSIONS IN CANADA

Canada’s Clean Air Act – Key Facts Concerning Auto Emissions in Canada.

Toronto, ON – 2006-10-18

Key Facts Concerning Auto Emissions in Canada

New cars and light duty trucks contribute less than 1% of Canada’s total smog and greenhouse gas emissions in any year.
Smog-related emissions from new vehicles have been cut by 99% since the removal of lead from gasoline in the 1970s.
In 2005, Canada’s Auto sector signed an agreement with targets and reporting to reduce greenhouse gases by 5.3 million tonnes by 2010.
Beyond 2010, harmonized standards are key if Canada is to maintain the benefits of scale for production, technology and affordable vehicle prices.
Responsible strategies include cleaner and alternate fuels, consumer incentives and accelerated retirement of 20-year-old plus vehicles.


New Model Vehicles = Less than 1% of Canada’s Smog and GHG Emissions

As we focus on new vehicle emissions, context is important. According to the Canadian government, all the cars and light duty trucks on the road in Canada today contribute approximately 9.5% of total Canadian smog-forming emissions. New vehicles represent just 8% of Canada’s total on-road fleet in any year. With advancements in catalytic converters and related technologies, new model vehicles are some 10 times cleaner than the average on-road vehicle. New model vehicles today therefore represent just 0.1% of total Canadian smog-forming emissions in any year (9.5% of total x 8% new x 1/10 of average =0.1%).

The Canadian government also indicates that all cars and light duty trucks on our roads contribute approximately 12% of total Canadian greenhouse gas emissions. As new model cars and light duty trucks make up just 8% of the total on-road fleet in any year, it follows that new vehicles contribute approximately 1% of total Canadian greenhouse gas emissions (12% of total x 8% new = 1%). Even if every new vehicle sold in Canada could somehow be rendered emission-free, more than 99% of Canada’s smog and GHG sources would remain.

The auto industry has achieved dramatic reductions in smog forming emissions. Smog emissions from new vehicles sold in Canada have been reduced by over 99% since the elimination of lead from gasoline in the 1970s. Today, burning one cord of wood produces more smog-related emissions than driving a new SUV around the earth’s circumference 35 times. In fact, cars and light duty trucks are one of the only Canadian sources of smog emissions forecast to significantly reduce over the next decade.

Greenhouse gas reduction has also been an industry priority. In 2005, Canada’s auto industry was the only sector to sign an agreement with the federal government to reduce greenhouse gases – by 5.3 million tones from cars and light duty trucks by 2010, with targets and reporting on progress. The industry has since introduced more than 70 new fuel saving technologies into Canada as companies compete to provide fuel efficient vehicles for consumers who seek to reduce fuel costs and lower GHG emissions. Technologies such as cylinder deactivation, hybridization, improved transmissions, alternate fuel capability, light weight materials and many more are now widely available.


Auto Standards and the Integrated Canada / US Auto Industry

The auto industry is one of the most regulated industries in the world today and has lived up to and surpassed numerous voluntary agreements. In Canada, emissions from cars and light duty trucks are regulated under the Canadian Environmental Protection Act in a manner consistent with US regulations - the most stringent national standards in the world. Canadian vehicle fuel economy standards (CAFC standards) are also consistent with US federal Corporate Average Fuel Economy (CAFE) standards. Together with the 2005 Auto GHG reduction agreement, these standards provide for significant reductions while respecting the need for harmonization across our integrated North American auto industry. By contrast, Canada does not have a nationally regulated standard for fuel quality or provision/support for alternative fuels.

Effective auto standards must also comprehend the integrated nature of the Canada / U.S. auto industry and be both technically and economically feasible. Since the Auto Pact of the 1960s, the integration of the Canada / U.S. auto sector has provided Canada’s industry with enormous economies of scale for the planning, design, development, certification, testing, sourcing and manufacturing of vehicles. It is neither desirable nor feasible for Canada to decouple from our integrated industry and adopt unique standards governing just 10% of the North American market. By maintaining consistent auto-related standards for safety, emissions and other aspects, Canada maintains local production, auto supply, the best available environmental technology and affordable vehicle prices.

Responsible Strategies To Accelerate Vehicle Emission Reductions

While the industry sells approximately 1.5 million vehicles annually in Canada, more than 1 million 20-year-old vehicles remain on Canada’s roads, with average smog-forming emissions some 37-times higher than comparable new technology vehicles.  Providing consumers with new incentives to accelerate the retirement of older, higher-emitting vehicles provides a far greater opportunity to accelerate emissions reductions.
Other strategies to accelerate progress include provision of cleaner or alternative fuels such as E85 ethanol, improved driving and vehicle maintenance education and incentives for Canadians to purchase the most effective new fuel conserving automotive technologies.

Beyond 2010, a range of policy tools is required rather than exclusively regulatory approaches. Vehicle emissions are, and will continue to be, a by-product of interdependent factors: vehicles, technology, fuels and consumer behaviour. An integrated approach and policy is required to maintain progress.

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