EU commissioner calls for 'break' from oil dependence

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By Martin Banks
- 22nd February 2012
We must adapt to a very different set of conditions

Siim Kallas

EU commissioner Siim Kallas says that Europeans should break their "almost complete dependence" on oil to fuel road transport systems.

Speaking in Brussels, the Estonian official said this is all the more important as oil was "likely" to become more scarce in years to come.

Addressing a conference, he said, "Our transport system has developed against a background of generally cheap oil, expanding infrastructure and limited environmental constraints.

"We must now adapt to a very different set of conditions."

He added, "Oil is likely to become scarcer in the years to come, demand remains strong and markets as volatile as ever – just look at how little it takes to send oil prices shooting higher with events in a country such as Libya.

"So reliable alternatives need to be in place."

Kallas, the commissioner for transport, was giving a keynote speech at a conference on the road freight industry organised by Goodyear Dunlop Europe.

The conference was presented with the results of a study by the company, called "The Road to 2020", which explores how efforts to cut waste and increase fuel economy can be more effective.

The company also carried out a survey of 400 fleet managers, with one in six saying they fear they will be priced out of business by 2020 due to increasing environmental regulation.

A further 40 per cent fear they do not have the available funds to invest in cleaner trucks.

A third of fleets have no plans in place to prepare for CO2 legislation expected to come into force in the next decade.

Opening the event, Kallas said that Europe "needs to modernise and transform" its transport system into a more "sustainable one".

The official said that a reduction of "at least" 60 per cent of greenhouse gas emissions by 2050 compared to 1990 levels was required from the transport sector.

Currently, one issue was the "hesitation" of customers to buy alternative fuel vehicles, he said.

He added, "The EU should take a leading role and work with member states and industry on a gradual build-up of charging and refuelling infrastructures in order to ensure the EU-wide free circulation of vehicles, vessels and aircraft powered by alternative fuels."

Kallas said the commission had already taken action to improve vehicle technology and to promote alternative fuel.

Another challenge, he told the conference, is "getting the price right".

"Transport charges and taxes should be restructured so that the overall burden for the sector should reflect the total costs of transport."

The commission vice president went on to say that people "need to change" their transport habits and combine road travel with "other modes" of transport.

"The challenges we face in moving towards sustainable mobility and transport are considerable, particularly in road transport. But I am confident we will be able to address them successfully if public and private sector work closely together."

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