With the entry into force of the Kyoto Protocol in 2005, a greater push could be observed at the international level to integrate climate change policy more deeply into other policy areas. At the EU level, this led to a major shift in regulatory approach from 2006 by narrowing down the air pollution agenda and focusing primarily on the reduction of CO2 emissions as a major greenhouse gas. This move was seen as necessary to satisfy several immediate objectives of the EU. The obvious decision in terms of delivering the policy objectives was to focus on transport policy and, in particular, road transport. 20 and 鈭?鈥卲ercent by 2030 and decrease by 54-67鈥卲ercent by 2050. An important reason was also to make the EU car industry more competitive on the American and Asian markets where car manufacturers invested heavily in developing low鈥恈arbon vehicles. In order to satisfy these key goals, the EU had to move away from its earlier approach and focus exclusively on policies and laws that would lead to the reduction of CO2 emissions. This new regulatory approach was not perceived as incompatible with the attainment of urban air quality objectives.
This is best evidenced by the impact assessments accompanying several major legislative measures. To enable this regulatory shift, the EU needed to secure the agreement of Member States. The lack of attention to other environmental objectives was further evidenced by the EU's approach to encourage involvement of national governments. Attainment of the 鈥榠mperious interest鈥? as Merton puts it, of reducing CO2 emissions was also contingent on Member States acting in a similar direction. The focus on the immediate reduction of CO2 emissions also offered attractive future opportunities for the car industry. The main focus of research and technological improvements for car manufacturers has been investment in diesel technology over the years.92 See C Berggren et al, 鈥楬ybrids, Diesel or Both? The Forgotten Technological Competition for Sustainable Solutions in the Global Automotive Industry鈥?(2009) 9 International Journal of Automotive Technology and Management; Wiesenthal et al (n 89); VW, 鈥楢nnual Report, Driving Ideas鈥?(28 September 2008) . This was regarded as a preferable option in addressing the regulatory pressures within the climate change agenda for several reasons.
Volkswagen also will pay off customers' loans if they owe more than their car is worth due to rapid depreciation. Owners will have the option of having VW retire loans up to 130 percent of the cars' value before the scandal. Owners can still decline Volkswagen's offer and sue the company on their own. The company has to buy back or repair 85 percent of the vehicles by June 30, 2019, or pay even more money into an environmental trust fund. Elizabeth Cabraser, lead attorney for consumers who sued the company, said the agreement holds Volkswagen accountable to consumers and to the environment. Cabraser said plaintiffs are also pursuing a case against German auto supplier Bosch, which supplied engine control computers for VW diesels. 18.2 billion to cover the cost of the global scandal, which includes a total of 11 million vehicles worldwide. Volkswagen AG CEO Matthias Mueller said Tuesday in a statement.
The scandal erupted in September when U.S. German automaker had fitted many of its cars with software to fool emissions tests. The company, which knew the EPA's testing routine, was finally caught by the International Council on Clean Transportation, which hired West Virginia University to test a VW in real roads conditions. The EPA has since changed its testing to include on-road tailpipe checks. Krisher and Durbin reported from Detroit. Jason Keyser in Chicago and Sudhin Thanawala in San Francisco contributed. Elizabeth Cabraser, the lead attorney for consumers who sued Volkswagen, poses in her office Tuesday, June 28, 2016, in San Francisco. 15.3 billion to settle consumer lawsuits and government allegations that it cheated on emissions tests in what lawyers are calling the largest auto-related class-action settlement in U.S. She said the agreement holds Volkswagen accountable to consumers and to the environment. California Attorney General Kamala Harris announces a settlement with Volkswagen during a news conference Tuesday, June 28, 2016, in San Francisco.