The Big Spring Clean

Dear Reader,

Spring is the time for having a major clear-out after the cold winter weather and for taking a positive look at the year ahead. This is not always easy, because previous years have been characterized by a feeling of disillusionment, but we have at least seen small steps in the right direction. For example, hydrogen is finally featuring in serious political discussions. It is true that the pace of expansion is far too slow and no one yet knows where the small amounts of green hydrogen will actually be used. Nevertheless a start has been made.

In addition, everyone is beginning to realize that the vehicles currently on our roads must be included in any solution for achieving our climate targets. They will run on fossil fuels that will progressively be blended with synthetic fuels. The proportion of synthetic fuels will gradually be increased until they eventually replace gasoline and diesel. According to EU plans, the proportion of non-fossil, non-biological fuels will be 5.7 % by 2030. This is an encouraging target, despite the fact that the quantities of hydrogen that will be needed to achieve it cannot currently be produced in the EU.

Hydrotreated vegetable oil or HVO can also be used as a biofuel and could make a massive contribution to reducing the CO₂ emissions of existing vehicles. Various sources claim that the reduction could be as much as 90 %. However, the palm oil used in the production of this diesel substitute lays it open to legitimate criticism. In 2023, the situation will change, because the use of palm oil is no longer permitted for biofuels used in Germany. Major manufacturers have already moved over to other oils and residue materials in their production processes and many vehicle producers have approved the use of the alternative fuel in their engines.

Of course, electric vehicles are still being heavily promoted, but a certain amount of realism is also entering into the equation. For example, VW has reassessed its future projects, invested in its main production facility in Wolfsburg (Germany) and abandoned the idea that it will be possible to sell BEVs for less than 20,000 euros. This will not exactly boost sales of electric vehicles, but it is at least honest.

If we can sort out the problems with our supply chains and bring the added value back to Europe, 2023 could be a pleasant year.

I hope you enjoy this issue of MTZ.

Marc Ziegler

Deputy Editor in Chief