Minutes of the Meeting
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1 PASSENGER CAR WORKING GROUP MEETING Thursday, 19 November 2009, 14:00 17:30 BIS Conference Centre, 1 Victoria Street, London, SW1H 0ET PCWG-M Minutes of the Meeting Present Andrew Kelly DfT Ben Lane Ecolane Blake Ludwig WAF Catherine Dove LowCVP Chris Brown LowCVP David Willoughby Zemotive Debbie Shields GM Declan O'Mahony Motability Greg Archer LowCVP (Chair) Ian Parsons BIS John Lippe Ford Jonathan Murray LowCVP Liz Girling DfT Naomi Harris CBI Neil Fulton Millbrook Paul Cooke VCA Peter Bourke PSA Rob Anderson - AEA Rob Walker SMMT Rupert Russell ComCar Sophie Ogunbiyi Toyota Stewart Whyte Fleet Audits Tim Shallcross IAM Trust Tom Callow Automotive PR Apologies Antonia Roberts Carplus Dave Yuill BIS Ian Bown Lubrizol Ian Dickinson Qdell/LHR Jason Reakes BMW Luke Herbert - JLR Mike Chapman UKPLG Mike Waters Arval Ray Heath R2 Powertrain Sheila Watson FIA Simon Best IAM Simon Graham Commercial Group Stephen Latham RMI Stewart Kempsell Shell 1. Welcome and apologies Attendees introduced themselves and the chair welcomed all participants. Apologies were noted. In absence of the PCWG Chair, Mike Waters, Greg Archer took the chair. 2. Minutes and Matters arising Some queries were raised regarding the minutes (PCWG-M-09-09) of September s PCWG meeting, particularly regarding section 7.2 Improved consumer information revision. It was agreed that the minutes be amended to better reflect agreed outcome of discussion. The relevant section now reads It was agreed to revise the TOR to focus the project, not on domestic policy and the car label, but on to European policy and collecting and extending the evidence base on how to present CO2 and fuel consumption data in ways easily understood by consumers, in anticipation of the review of the Labelling Directive. 3. LowCVP Update 3. 1 Activity Report Greg Archer GA provided highlights of paper 27 including: Launch of used car label
2 Green bus fund work continues including website finalised, running webinars on the fund structure and function. Meeting with HMT alongside REA and sustainable biofuels alliance. Sustainability Live collaborative event Base conference seminar within event. Reminder to sign-up as a member Running Trustee elections currently in order to nominate or vote, must be a signed up as owner-member 4. Government Update 4.1 DfT Update Andrew Kelly The new Office of Low Emission Vehicles was created in September and will take forward policies on ultra low carbon vehicles, whilst securing benefit for industry and based at the DfT s Marsham Street offices. There has been progress in signing up smaller retailers to energy efficiency agreement as part of the Renewable Energy Directive (RED). A second television advertisement as part of the Government s Act on CO2 campaign was released on 7 November together with those on the radio and in the print media. Transport focus has been on saving fuel costs by reducing travel by 5 miles per week. The campaign is being evaluated and was presented to Motorists Forum for feedback. A third advert will be released in January following the UN Copenhagen climate change conference. The new adverts which form part of the campaign can be seen at: Action: Secretariat to invite Act on CO2 team to present results of impact assessment of the campaign, when this becomes available. 4.2 BIS Update Ian Parsons Government response to the NAIGT report was published last week. The NAIGT s three principal recommendations were to: Establish a senior level joint industry/government Automotive Council to develop, guide and implement a long term strategic framework for the industry; Create a transformed business environment in the UK for the automotive industry; Coordinate R&D efforts to follow the industry-consensus technology roadmap that is a key part of the NAIGT report. As part of this establish a bold, large scale pilot-market to demonstrate, experiment and build the new low-carbon personal transportation system including its infrastructure. In response the Government has set up an Automotive Council to provide leadership for industry. Richard Parry-Jones and Lord Mandelson will co-chair the Council the first meeting of which will be held on10 December. A secretariat will exist at BIS within the Automotive Unit. A list is being drawn up of those organisations to be invited to be members of the AC drawn from a broad range of stakeholders. The Scrappage Scheme has proved successful and has therefore been extended with additional funding of 100m. SMMT figures show increase in monthly sales. Qualitative research has been undertaken showing buyers are predominately older and female. The average CO2 level of cars being bought is between 130g/km and
3 135g/km. Once the scheme is finished, research will be undertaken to assess its impact. The average age of cars being scrapped is 12.5 years. Action: Circulate GA calculations on reduction of CO2 thus far due to scrappage scheme as prepared for DECC Select Committee. 5. Van CO2 regulation Liz Girling European commission s van CO2 regulation has been published and has been modelled heavily on the car CO2 regulation. The UK Government is currently developing its position in response to the proposal. France, Italy and Germany are united in opposition to targets both near and long term. Most other member states have not particularly vocal on the issue as they do not have a domestic automotive sector. The EC is proposing that emissions be based on payload and footprint whilst some states favour gross vehicle mass. The UK government is planning a stakeholder event in December to garner opinions from those affected and a public consultation should be undertaken in the first half of next year. 5.1 SMMT response to van proposal Rob Walker RW gave a presentation on the UK industry response to the European Commission s proposed legislation on van CO2 as detailed in paper 29. Some attendees expressed concern at industry s assertion that the proposed targets could not be met. Industry representatives emphasises that there is a need for a multi-stage implementation as vehicles production is a multi-stage process. It was also noted that OEMs are seeking an equal playing field to that of a conventional van. 5.2 Van Best Practice Programme Robert Anderson - AEA Presentation on van best practice arose from DfT request to look at best practice for the sector details of which can be found in paper number 30. See also: 6 LowCVP s Strategy to 2013 LowCVP is currently looking at priorities over next 3 years 2010 to 13 and alongside this what work programmes should consider for the WG for next year. GA presented proposed strategy to the working group as detailed in paper 31. GA requested feedback from the group on if current mission still relevant, if the areas of focus are appropriate and what areas should PCWG focus on regarding work programme. Points raised were: Inclusion of education of the consumer and drivers Less focus as much on in-use. sustainability important so in-use is a factor. Keep tight definition of low carbon vehicles and fuels. should income stream focus be a priority concern expressed regarding presentation perception inclusion of programme aimed at an EV infrastructure roll-out In response to query from Rob W it was confirmed that vans may represent a better early adopter market for electrification. GA confirmed it was intended that the issue of diversifying funding was not a higher priority than other items and that funding was expected to increase along with the growth in membership. Process: Paper to board of trustees for meeting next Friday, laying out specific objectives, characteristics, strengths and limitations and what kinds of projects to be
4 undertaken. Comments from board will be considered by MC and through a series of workshops in December and January - Invitations to incorporated members only. 7 Labelling 7.1 Marketing Best Practice Guide update Chris Brown CB and JM have met with SMMT representatives on the next steps for the best practice guide. CB gave a short presentation on the status of the project as outlined in paper 32. The work is being taking forward together and being overseen by a steering committee involving LowCVP, ISBA, SMMT and two additional marketing representatives. The committee is to meet in early January to review the ISBA draft guide and look at ASA adjudications thus far as well as advertising survey work commissioned by LowCVP and undertaken by Ebiquity. Action: Blake Ludwig to look at possibility of involving other consumer groups and inform Secretariat accordingly. 7.2 Used car label update Chris Brown CB reported that the consumer launch of the used car fuel economy label take place on 2 November at the SMMT, following a trade launch in early August. Thanks from CB to PC/PS at VCA, Rob W and Steve Latham for assistance in progressing the label project. CB gave an overview of the media coverage of the launch and the label. At 11 November 2130 users were registered to participate in the initiative. CB also provided details of statistics compiled thus far and detailed in paper Accessibility of CO2 data on car website presentation of research results Ben Lane presented the results of work undertaken on CO2 information on OEM website which is elaborated in paper 38. He advised the Group that the survey would be completed by the end of November and the results be available in January. Action: Secretariat to circulate results once available 9 Work programme update 9.1 Van policy proposal Jonathan Murray The van proposal detailed in paper 34 has been part of work programme since beginning of year. The next steps are to created a sub-group to develop a detailed project brief and oversee the delivery of the project. Action: PCWG members to contact secretariat if wish to participate in the subgroup 9.2 Improved consumer information Chris Brown CB explained that four companies had been asked to submit proposals for the project, which will look at how consumers would like to see environmental data presented in advertising and marketing companies. The four companies are: Ecolane GfK More Associates R2 Powertrain Each had submitted proposals and these were about to be circulated to the members of the sub-group (as detailed in paper PCWG-P-09-35).
5 9.3 Car dealer survey review Jonathan Murray The car dealer survey has been conducted annually since The success of the label has brought new challenge. The Partnership is seeking to ensure that, if the survey is repeated, it is fit-for-purpose in 2010 particularly with regard to the following issues: Increasingly dealerships who are reported as not displaying the label are challenging the results and so a greater degree of evidence is required to substantiate the claim. The There is a continuing problem for the researchers in distinguishing new and pre-registered cars in the dealership resulting in a small bias in the survey to under-report the number of correctly labelled cars. The introduction of labels for used cars by HPI, Experian and the VCA has complicated the process of identifying what is a correctly labelled car. This will increase in the future. Small sample size for some brands or dealer groups and the targets for performance meant the results were very sensitive to a poor outcome in one dealership. Robert Walker of the SMMT has agreed to lead this project and work with the Secretariat to gain views of stakeholders. 9.4 Fleet Commitment Jonathan Murray JM reported that a sub-group of the PCWG had been formed since the last meeting and Arval, EST, Lex and Noyle Fleet Solutions have agreed to join. A draft project brief has been produced and the next step is to develop a detailed project plan and assign responsibilities. Other parties interested in participated were invited to contact the secretariat (secretariat@lowcvp.org.uk). 10. AOB There was no other business to report and the meeting was closed. Date of Next Meeting: Thursday, 21 January am to 1.30pm SMMT, Forbes House, Halkin Street, London, SW1X 7DS
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