TOWARDS SUSTAINABILITY
The UK Automotive Sector
Sixth Data Annual 2004 Report
® Content 1. Chief Executive’s Statement and 10. SOCIAL PERFORMANCE 21 Signatories 3 10.1 Employee Profiles and 2. Location Map 4 Development 21 3. Data and Report Coverage 5 10.2 Health and Safety 22 4. Executive Summary and Key Indicators 6 10.3 Training 23 5. Sector Profile 7 10.4 Staff Turnover 23
6. PRODUCT – Environmental Performance 11. STAKEHOLDER AND COMMUNITY
6.1 Average New Car CO2 Emissions 8 ENGAGEMENT 24 6.2 Sales of Alternatively Fuelled Vehicles 9 6.3 UK Average New Car Fuel Economy 10 12. SECTOR ISSUES – SUSTAINABILITY MOBILITY 6.4 CO2 Trends by Vehicle Excise Duty (VED) band 11 12.1 Air Quality 26 6.5 Tailpipe Emissions 11 12.2 Road Space Utilisation 28 6.6 Vehicle Recycling 12 12.3 Safety 30
6.7 Vehicle Weights 12 12.4 CO2 32 12.5 Sustainable Mobility – Virtuous 7. PRODUCTION AND DISTRIBUTION and Conflict 34 ENVIRONMENTAL INPUTS 13 7.1 Signatories‘ Energy Use 14 7.2 Signatories’ Water Use 14 ENVIRONMENTAL OUTPUTS 15
7.3 Signatories’ CO2 Emissions 16 7.4 Signatories’ VOC Emissions 16 7.5 Signatories’ Waste to Landfill 17 FURTHER CONTACT 7.6 Signatories’ Recycling and Recovery 17 Environment Group The Society of Motor Manufacturers and 8. ECONOMIC PERFORMANCE 18 Traders Limited 8.1 UK Economy 18 Forbes House Halkin Street 8.2 Production Indicators 18 London 8.3 Investment 19 SW1X 7DS 8.4 Employment 19 UK
Telephone: +44 (0)20 7344 9200 9. SUPPLY CHAIN 20 E-mail: [email protected] 9.1 Supply Chain Efficiency 20 Website: www.smmt.co.uk 9.2 Global Supply Chain 20 PAGE 2 1. Chief Executive Statement and Signatories
The entry into administration of both MG The signatories in this process are: Rover and Powertrain in March 2005 is an • Audi obvious loss to the UK automotive sector. It represents a reduction of about seven per • Bentley Motors cent in capacity in the context of this report. It • BMW Group highlights the need to maintain a sustainable, • Ford Motor Company Limited productive viable vehicle manufacturing base • GKN Driveline Limited in the UK, irrespective of the ultimate brand ownership. • Honda UK Manufacturing Limited • Jaguar Cars Limited For sustainability, 2004 was a year of • Land Rover UK Limited continued progress as well as some • LDV Limited concerns, which are highlighted in this report. • Nissan Motor Manufacturing (UK) Limited and Nissan Technology Progress on the environmental front means Centre Europe the UK automotive sector as represented in • Perkins Engines this report is using less energy and water than ever before. Its output of volatile organic • PSA Peugeot Citroën Automobiles UK Limited compounds (VOC’s) and CO2 from manufacturing is lower than ever before and • Rolls-Royce Motor Cars Limited it is recycling and recovering more waste • SEAT than before. • Skoda Auto • Toyota GB plc and Toyota Motor For thousands of people the sector is a safe, Manufacturing UK Limited enjoyable and rewarding place to work. • Vauxhall Motors Limited The industry has undertaken considerable • Volvo Cars UK Limited work in 2004 on progressing stakeholder • Volkswagen Group UK Limited engagement on sustainable mobility issues. • Volkswagen Commercial Vehicles Conscious of the impact of its products during the use phase, work has been started to analyse and assess the most productive Excluded from the Sixth Annual Report ways to progress this agenda. This is signatory's data are: outlined in the latter stage of the report. • MG Rover • Powertrain
Christopher Macgowan, Chief Executive, SMMT PAGE 3 2. Location Map
Location of Major Sites Included in Data Reports
Vehicle Production Engine and Major Component’s Production Central Logistics Research and Testing
Table 1.0 Worldwide Car Assembly ('000s units)
2003 2004 2004 Change ranking 2004 on 2003 Japan 8,478 8,720 1 242 Germany 5,145 5,192 2 47 USA 4,510 4,227 3 -283 France 3,220 3,227 4 7 Korea 2,768 3,123 5 355 Spain 2,399 2,403 6 4 China 2,019 2,316 7 297 Brazil 1,505 1,756 8 251 UK 1,658 1,647 9 -11 Canada 1,340 1,335 10 -5
Source: SMMT
Major sites for indicative purposes only
PAGE 4 3. Data and Report Coverage
SMMT Data • Established in 1902 This report is for 2004, it is intended as trend data, where there are known data • Over 500 members, comprising: issues we highlight them. • Vehicle manufacturers Report format • Vehicle importers Data in the report is quoted in a number • Component suppliers of ways: •Research • Whole industry data (WI) •Design • All car sales in the United Kingdom (AC) • Engineering and testing • Project support, business and product • SMMT members data (SMMT) improvement: • Signatories to the Sustainability Report, • Industry Forum supply subdivided into: • Automotive Academy - training • All signatories (AS) • Foresight Vehicles Programme - • Vehicle manufacturing signatories (VMS) technology • Annual report launched in 2000, detailing: Throughout the report we refer to the Strategy Commitment and we comment • Historical data in terms of the Strategy Achievement for • Trend analysis 2004. Sustainability Working Group Traffic Light This group provides the direction for the For the Sixth Annual Report we have report and the inclusion of new data. It used a ‘traffic light’ system to indicate: meets regularly and agrees the main issues the sector should address, as well GREEN PROGRESS as meeting stakeholders. Any members of ORANGE STATIC SMMT are welcome to join the group. RED CONCERN During 2005, MG Rover and Powertrain both entered into administration. This This report follows the format of the signatories’ report of 2004 data does not Global Reporting Initiative (GRI) include production from either of these sustainability reporting guidelines. companies. (www.globalreporting.org) However, graph data in the report includes a bar that indicates the absolute levels on the basis of the inclusion of MG Rover and Powertrain data for 2003. PAGE 5 4. Executive Summary and Key Indicators
Table 4.0 Key Performance Indicators 2003 2004 Change REPRESENTATION
Number of signatories (AS) 22 20 -2 CONCERN
Economic Performance (Sector) (WI) Automotive manufacturing sector turnover (£ billion) 46 47.3 +1.3 PROGRESS
Total number of cars and CVs produced (UK) (WI) (million) 1.84 1.86 +0.02 PROGRESS
Total new car registrations (UK) (AC) (million) 2.58 2.57 -0.01 CONCERN
Economic Performance (Signatories) Signatories’ combined turnover (£ billion) (AS) 39.16 34.64 - 4.52 CONCERN
Total number of vehicles produced by signatories (AS) (million) 1.73 1.61 -0.12 CONCERN
Product Environmental Performance Average new car CO2 emissions (g/km) (AC) 172.1 171.4 -0.7 PROGRESS
Average new car fuel economy (miles per gallon) (AC) 37.7 37.9 +0.2 PROGRESS
Company Operational Performance (Signatories) Total combined energy use (GWh) (AS) 6,126 4,072 -2,054 PROGRESS
Energy used per vehicle produced (MWh/unit) (VMS) 2.8 2.5 -0.3 PROGRESS
Total combined water use (000m3) (AS) 8,404 7,037 -1,367 PROGRESS
Water use per vehicle produced (m 3 /unit) (VMS) 3.4 3.4 0 STATIC
Total combined CO2 equivalents (tonnes) (AS) 1,679,832 1,447,900 -231,932 PROGRESS
CO 2 equivalents per vehicle produced (tonnes/unit) (VMS) 0.7 0.7 0 STATIC
Total combined emissions of VOCs (tonnes) (AS) 7,337 5,480 -1,857 PROGRESS
VOC emissions per vehicle produced (kg/unit) (VMS) 4.1 3.5 -0.6 PROGRESS
Total combined waste to landfill (tonnes) (AS) 56,743 52,842 -3,901 PROGRESS
Waste to landfill per vehicle produced (kg/unit) (VMS) 17.9 19.8 1.9 CONCERN
Social Performance (Signatories) 87,625 76,327 -11,298 CONCERN Signatories’ combined number of employees (AS) 710 491 -219 PROGRESS Signatories' lost-time incidents (AS) 3.8 2.9 -0.9 CONCERN Signatories' average number of training days 6.10 8.65 +2.55 CONCERN Signatories’ average staff turnover (%) (AS)
PAGE 6 4. Executive Summary and Key Indicators cont.
Signatories: 2004 data for this report does not include MG Rover and Powertrain, hence the decline in turnover and production.
Product: Average CO2 emissions from new cars declined in 2004, but by a smaller amount than in previous years. The change in sector profile contributed to the slower rate of reduction. Operational Performance: Progress in nearly all areas continues. Waste to landfill was affected by major re-engineering at one site. Social: The number of employees continues to decline. Improvements in health and safety are very welcome. Training levels appear to have declined in 2004. Staff turnover increased, but remains very low by comparison with other sectors.
5. Sector Profile
Table 5.0 Sector Fact Sheet 1999 2000 2001 2002 2003 2004
Automotive manufacturing sector turnover (WI) (£ billion) 44.2 42.5 42.2 44.6 a 46.0 a 47.3 Share of total manufacturing turnover (UK turnover) (%) 9.6 9.1 9.2 a 9.9 a 10.3 a 10.1 Total Net Capital Investment (WI) (£ billion) 2.13 2.08 2.25 1.3 a 1.2 a 1.4 Automotive sector value added (WI) (£ billion) 7.7 7.8 9.0 a 8.8 a 8.6 a 8.9 Total employees directly dependent on the automotive sector (WI) 863,000 a 847,000 a 835,000 a 838,000 a 816,000 a 806,000 Value of exports (WI) (£ billion) 19.1 19.8 18.0 20.9 21.9 a 22.5 Percentage of total UK export (%) 11.5 10.5 9.5 11.2 11.6 a 11.8 Sector value added share of UK GDP (%) 3.9 3.4 3.8 a 3.7 a 3.6 a 3.7 UK sector share of global passenger car production (%) 4.5 4.0 3.7 3.9 3.9 3.7 Number of UK volume passenger car manufacturers (WI) - 9 9 9 9 9 b Number of UK commercial vehicle (CV) manufacturers (WI) - 10 10 9 9 9 Number of cars and CVs produced (million) 2.02 1.81 1.68 1.82 1.84 1.86 New car registrations (AC) (million) 2.19 2.22 2.45 2.56 2.58 2.57 Cars and light CVs on the road (million) 29.5 29.9 30.5 31.3 31.9 32.4 a Economic data has been reviewed in the light of national statistics and revised where indicated. b MG Rover remained in production during 2004, though data is not included in this report.
• Economic progress largely static. • Number of employees continues to fall. • Industry is vital to export success. • Share of global production static. • Number of vehicles produced (cars and light vans) increased slightly. • Car registrations declined slightly. PAGE 7 6. Product Environmental Performance
STRATEGY COMMITMENT: to continue to improve fuel efficiency.
EU COMMITMENT: to reduce CO2 emissions from new cars by 25 per cent between 1995 and 2008 across Europe.
STRATEGY ACHIEVEMENT: decline in new car CO2 emission levels continued in 2004, but at a slower rate due in part to weaker consumer demand in the smaller car segments.
6.1 Average New Car CO2 Emissions
189.9 188.4 190.0 185.0 185.0 181.0 180.0 177.7 174.2 172.1 175.0 171.4 170.0 Emissions g/km Emissions 2
CO 165.0
160.0 1997 1998 1999 2000 2001 2002 2003 2004
• The average new car sold in the UK in 2004 emitted 171.4 g/km of CO2, nearly ten per cent below the 1997 figure.
• The proportion of cars sold with a CO2 emission figure of less than 140 g/km continues to increase, reaching 15.5 per cent in 2004, up from 14.9 per cent in 2003. • The supermini sector (Fiesta, Corsa, Punto, Polo, Clio etc.), the largest in the UK, had
an average new car CO2 emission figure of 147 in 2004.
• Although the average CO2 emission levels of new cars sold in the UK continues to improve, the rate of improvement has slowed in recent years and a substantial increase in the demand for fuel-efficient vehicles will be required if the 2008 target is to be achieved.
PAGE 8 6.2 Sales of Alternatively Fuelled Vehicles (AFVs)
Table 6.2 AFV Sales 2000 2001 2002 2003 2004 Petrol/Gas 94 971 2,473 3,185 1,756 Petrol/Electric Hybrid 263 719 339 1,079 2,462 Electric Only 0 0 35 2 0 Total AFV 357 1,690 2,847 4,266 4,218 Market Share 0.02 0.07 0.11 0.17 0.16
4,500 4,000 1 3,500 3,000 Electric only 2,500 2,000 Petrol/electric 1,500 hybrid 1,000 Petrol/gas 625
Sales of new vehicles 500 0 2000 2001 2002 2003 2004
For every one AFV vehicle sold, 625 conventional powered vehicles are sold. Market position In 2004: • Sales of alternatively fuelled vehicles remain low, accounting for less than one in every 625 sold in 2004. • Market share of alternatively fuelled vehicles fell in 2004. • Hybrid (petrol/electric) vehicles have grown at the expense of liquefied petroleum gas (LPG). • Sales of LPG vehicles have declined as a result of fuel duty changes.
Grant Mechanisms Late in 2004 the government announced the European Commission was undertaking a review of the ‘PowerShift’ and ‘CleanUp’ grants to encourage the take-up of environmentally friendly technology. Any grants for AFVs is therefore unlikely in 2005.
PAGE 9 6.3 UK Average New Car Fuel Economy 40.0 37.1 37.7 37.8 36.4 38.0 35.0 35.6 36.0 34.5 34.0 32.0 30.0 28.0 26.0 24.0 22.0 20.0 Fuel economy (miles per gallon) 1998 1999 2000 2001 2002 2003 2004
• There was a small improvement in the average miles per gallon (MPG) for new cars sold in the UK from 37.7 MPG in 2003 to 37.8 in 2004. • Source SMMT and DfT data.
The Diesel Story • The number of diesel-powered cars sold in the UK increased by 138 per cent between 1997 and 2004. • The diesel share of the new car sales increased to 32.5 per cent in 2004, up from 27.3 per cent in 2003. • Quieter and more responsive vehicles, reduced service intervals, wider model availability and lower running costs have all increased the attraction of diesel vehicles. • Diesel engines cost considerably more to produce than their petrol counterparts, they work at higher operating pressures and are more sophisticated. • Diesel penetration is forecast to reach 38 per cent by 2006, but is not forecast to grow much beyond 40 per cent, given the present duty level on diesel fuel. • Diesel penetration in Europe averaged 49 per cent in 2004, with some countries as high as 70 per cent. • Newly proposed emissions regulations (Euro 5) are at present being discussed. • As a consequence of the new standards, particulate filters for diesel engines are likely to become a requirement.
PAGE 10 6.4 CO2 Trends by Vehicle Excise Duty (VED) Band
100.0 90.0 80.0 F 70.0 E 60.0 D 50.0 C 40.0 30.0 B 20.0 A Per cent market share 10.0 0.0 1997 1998 1999 2000 2001 2002 2003 2004
Table 6.4 VED Bands label g/km A less than 100 Tracking the Trends B 101 - 120 • The graph above shows the trends in C 121 - 150 new car CO emissions in relation to the D 151 - 165 2 E 166 - 185 current vehicle excise duty (VED) bands. F 186 plus • These reflect the new colour-coded bands the label was introduced in September 2005.
6.5Tailpipe Emissions
STRATEGY COMMITMENT: to continue to research, develop and bring cleaner technologies to the market to improve tailpipe emission standards.
STRATEGY ACHIEVEMENT: manufacturers continuously work to research, develop and introduce improvements in tailpipe emissions.
• Euro 4 emissions standards for cars became compulsory for newly introduced models from 1 January 2005, and or all models from 1 January 2006. • Euro 5 standards are now in the latter stage of consultation. • Manufacturers will continue to invest to achieve Euro 5 air quality standards, but at
the same time reduce CO2 emissions. These principles create complex technology. • Improvements to air quality through exhaust gas treatment will pose a dilemma in
CO2 reduction levels and costs. PAGE 11 6.6 Vehicle Recycling
STRATEGY COMMITMENT: to continue to facilitate efforts to improve the level of material recovery from end-of-life-vehicles (ELVs)
STRATEGY ACHIEVEMENT: continued compliance with regulation and development and research in other areas; future success is sensitive to commodity prices.
The following developments in vehicle recycling took place in 2004: • The final stages of legislation for the End of Life of Vehicles Directive. • The establishment of ‘take-back’ networks in the UK. • Regulatory target of a minimum of 85 per cent (by weight) recycling. • Healthy scrap values maintain strong markets for waste steel and a buoyant steel and automotive scrapping industry. • Discussions began on progression toward 95 per cent recycling targets. 6.7 Vehicle Weights
Index of Gross Vehicle Weight 300
280 A - MINI
260 B - SUPER MINI
240 C - LOWER MEDIUM
220 D - UPPER MEDIUM
200 E - EXECUTIVE
180 F - LUXURY SALOON
Index (1999 mini segment = 100) segment mini (1999 Index 160 G - SPECIALIST SPORTS
140 H - DUAL- PURPOSE
120 I - MULTI- PURPOSE
100 1999 2000 2001 2002 2003 2004 The Overall Weighted Index of Gross Vehicle Weight: 1999 100 2004 109 PAGE 12 7. Production and Distribution – Environmental Inputs
Table 7.0 A Signatories and the environment 1999 2000 2001 2002 2003 2004
Number of signatories 11 18 18 24 22 19 Number of manufacturing sites covered by SMMT's sustainability strategy 40 44 45 43 38 32 Number of manufacturing sites with a certified Environmental Management System 26 (65%) 35 (79%) 37 (82%) 35 (81%) 33 (87%) 32 (100%) Number of companies having minimum environmental standards applying to UK- - 11 (65%) 12 (67%) 12 (52%) 13 (59%) 10 (52%) based suppliers
STRATEGY COMMITMENT: to continue to control and reduce the environmental impact of company operations.
STRATEGY ACHIEVEMENT: the reduction in impact on the environment of company operations continues across nearly all key sectors, except waste to landfill, where a dramatic decline in 2003 was not quite matched in 2004.
MG Rover and Powertrain: in the attached graphs we indicate by a bar ( ) the absolute level that would have been achieved if data for 2003 for these two companies is added to signatories’ 2004 data.
TABLE 7.0 Inputs 1999 2000 2001 2002 2003 2004
Total combined energy use (GWh) (AS) 6,110 7,013 6,857 6,540 a 6,126 5,337 Energy use per employee (kWh) (AS) 64,175 70,108 71,166 74,685 69,912 69,923 Energy use per £1million turnover (kWh) (AS) 303,828 309,717 281,036 186,943 156,419 154,062 Energy use per vehicle produced (MWh/unit) (VMS) 3.1 3.9 4.3 4 2.8 2.5 Total combined water use ('000m3) (AS) - 9,620 10,105 9,108 8,404 7,037 Water use per employee (m3) (AS) - 96.2 104.9 101.8 95.9 92.2 Water use per £1million turnover (m3) (AS) - 457 414 255 215 203 Water use per vehicle produced (m 3 ) (VMS) - 5.36.25.63.43.4 a Revised from 6,681. Energy Use • Energy use continues to decline both in absolute and per unit terms. • The sector has grappled with EU Emission Trading Scheme (ETS) Phase One, and has been able to show reductions. • The manufacturing element of the sector, as opposed to the retailing and tertiary element demonstrates more significant reductions. • Manufacturers in the UK are players in the EU ETS and the Climate Change Levy (CCL). Water Use • Water use continues to decline in absolute terms and unit measures remain stable. • Since 2000 the amount of water use per vehicle produced has declined by more than 35 per cent. PAGE 13 7.17.1 Signatories’ Combined Energy Use
8,000 5,000 4,500 7,000 4,000 6,000 3,500 5,000 3,000 4,000 2,500
3,000 2,000 1,500 2,000 1,000 perkWh vehicle(line) 1,000 500 Combined energy (GW/h) use (bars) 0 0 • All signatories1999 saw a 2000 decline in 2001energy use 2002 in 2004. 2003 2004 • Energy use per vehicle is now over 40 per cent lower than in 2001. • Total energy usage declined, but this mainly reflected the MG Rover Powertrain impact.
7.2 Signatories’ Combined Water Use 12,000 7
10,000 6 ) (bars) 3 5 8,000 4 6,000 3
4,000 (line) vehicle per 2 3 m
2,000 1
Combined water use (000m 0 0 1999 2000 2001 2002 2003 2004
• Water use per vehicle remained static. • Absolute water use declined by eight per cent, taking into consideration signatories not included in 2004 data.
PAGE 14 7. Production and Distribution – Environmental Outputs
TABLE 7.3 Outputs 1999 2000 2001 2002 2003 2004
a Total Combined CO2 equivalent (tonnes) (AS) 1,821,586 2,182,926 2,149,771 1,954,295 1,679,832 1,447,900
CO2 equivalent per employee (tonnes) (AS) 19.3 21.8 22.3 23.9 19.2 19.0
CO2 equivalent (tonnes) per £1million turnover (AS) 90.6 95.3 88.1 59.9 42.9 41.8
CO 2 equivalent per vehicle produced (tonnes) (VMS) 1.1 1.1 1.3 1.2 0.7 0.7
Total Combined Emissions of VOC (kg) (AS) 4,018,951 7,136,682 6,926,340 6,240,100 7,336,780 5,479,870 Emissions of VOC per employee (kg) (AS) 42.2 71.3 71.9 69.7 83.7 71.8 Emissions of VOC per £1million turnover (kg) (AS) 199.8 339.0 284.0 174.6 187.4 158.2 Emissions of VOC per vehicle produced (kg) (VMS) 2.9 4.4 4.6 4.2 4.1 3.5
Total Combined Waste to landfill (tonnes) (AS) 54,954 80,399 121,207 70,897 56,743 52,842 Waste to landfill per employee (tonnes)(AS) 0.60.81.30.80.6 0.7 Waste to landfill per £1million turnover (tonnes) (AS) 2.73.74.92.01.4 1.5 Waste to landfill per vehicle produced (kg) (VMS) - 40.3 66.4 40.5 17.9 19.8
Total Combined Packaging waste for recovery (tonnes) (AS) 10,900 20,272 16,768 17,053 15,038 16,809 Packaging waste for recovery per employee (tonnes) (AS) 0.11 0.2 0.17 0.3 0.2 0.2 Packaging waste (tonnes) for recovery per £1million turnover (tonnes) 0.50.90.70.70.4 0.5 Packaging waste (kg) for recovery per vehicle produced (VMS) 5.610.58.48 6.5 7.9
Total Combined Packaging waste for recycling (tonnes) (AS) 1,802 5,058 6,344 5,801 12,587 16,003 Packaging waste for recycling per employee (kg) (AS) 18.9 50.5 65.8 61.4 143.6 209.7 Packaging waste for recycling per £1million turnover (kg) (AS) 89.6 240 260 153 321.4 462.0 Packaging waste for recycling per vehicle produced (kg) (VMS) 1.1 2.5 3.5 2.8 5.1 8.5 a Revised from 2,142,706.
CO2 Output
•CO2 generated from manufacturing, retailing and tertiary operations declined for the fifth successive year in a row.
•CO2 generated per vehicle produced remains static at 0.7 tonnes per vehicle, nearly half of that recorded in 2001. Volatile Organic Compounds (VOCs) • More progressive decline per vehicle is encouraging. Waste to Landfill • Increased per vehicle by ten per cent over a very low 2003 figure. Recovery and Recycling • Recycling and recovery obligations of packaging waste for the sector are now in excess of 16,000 tonnes per annum nearly double the obligation of 1999.
PAGE 15 7.3 Signatories’ Combined CO2 Emissions 2,500,000 1.4
1.2 2,000,000 1
1,500,000 0.8
1,000,000 0.6 0.4 equivalent per vehicle
500,000 2 equivalent (tonnes) (bars) 0.2 2 produced (tonnes) (line) CO
CO 0 0 199920002001200220032004
•CO2 output per vehicle produced remained unchanged at 0.7 per tonne. • For the typical new car this represents just over 4,000 km (2,500 miles) of driving. • This data is for the final car assembly process and does not include transportation of materials or finished product.
• Total output of CO2 from signatories fell by 230,000 tonnes, or over 45,000 tonnes including the MG Rover Powertrain impact.
•CO2 output per vehicle produced has reduced by 45 per cent since 2001. 7.4 Signatories’ Combined VOC Emissions
8,000,000 5
7,000,000 4.5 4 6,000,000 3.5 5,000,000 3 4,000,000 2.5
3,000,000 2 1.5 2,000,000 1 kg per vehicle (line)
VOC emissionsVOC (kgs) (bars) 1,000,000 0.5 0 0 1999 2000 2001 2002 2003 2004 • Variable performance across signatories in absolute terms, roughly half increasing, half decreasing. • Decline in the level of VOCs per vehicle produced is encouraging. • Absolute levels decline even after consideration given to MG Rover and Powertrain. PAGE 16 7.5 Signatories’ Combined Waste to Landfill
140,000 70
120,000 60
100,000 50
80,000 40
60,000 30
40,000 20 kg per vehicle (line)
20,000 10 Waste to Landfill (tonnes) (bars) (tonnes) Landfill to Waste 0 0 1999 2000 2001 2002 2003 2004 • For the most part the progress made in 2003 has been maintained in 2004. • Some site-specific increases related to redevelopment projects. • Total waste to landfill increased by 500 tonnes, when consideration is given to MG Rover and Powertrain.
7.6 Recycling and Recovery
Packaging Obligations • Reported figures are on target for recycling and recovery for the signatories. • Total signatory waste recycling and recovery obligations are now 32,811 tonnes. • Recycling obligation targets have increased eight fold since 1999. Actual Recycling and Recovery Recycling • We asked signatories to report on actual levels of recycling in 2004. • Returns were received from 12 signatories. • The tonnes recycled numbered over 145,000 tonnes (please note some signatories include metal recycling in this figure). Recovery • We asked signatories to indicate material re-used on site. • Only four signatories gave returns. • The figure amounted to over 3,000 tonnes.
PAGE 17 8. Economic Performance
STRATEGY COMMITMENT: to continue to seek economic growth and secure competitiveness in the global environment.
STRATEGY ACHIEVEMENT: the UK remains a focus of automotive production, design and research excellence. The entry into administration of MG Rover and Powertrain in 2005 will impact on but not significantly reduce the strength of the industry.
8.1 UK Economy
Table 8.0 Contribution to UK Economy 1999 2000 2001 2002 2003 2004
Value of UK Automotive Exports (£ billion) (WI) 19.1 19.8 18 20.9 a 21.9 a 22.5 Expenditure on Business R&D (£ million)(WI) 1,145 929 930 960 955 955 Sector share of total GDP at market price (%) (WI) 0.8 0.8 0.9 0.9 0.8 0.8
a Eonomic data has been reviewed in the light of national statistics and revised where indicated. • Data for 2004 remains static, with the sector representing just less than one per cent of GDP. • The value of exports increased by just under three per cent in 2005.
8.2 Production Indicators
Table 8.2 Economic Indicators 1999 2000 2001 2002 2003 2004
UK automotive manufacturing sector turnover (£ billion) (WI) 44.2 42.5 42.6 a 44.6 a 46.0 a 47.3 a Signatories combined turnover (£ billion) (AS) 20.1 21.0 24.4 35.7 39.2 34.6 Total UK number of new cars produced (AC) 1,786,623 1,641,317 1,492,146 1,629,744 1,657,558 1,646,881 Total UK number of new CVs produced 185,905 172,442 192,872 191,267 188,871 209,293 Total UK number of new vehicles produced 1,972,528 1,813,759 1,685,018 1,821,011 1,846,429 1,856,174
Total number of new vehicles produced by signatories 1,572,642 1,470,659 1,441,794 1,731,894 1,614,981 Total number of new car registrations (AC) 2,197,615 2,221,647 2,458,769 2,563,631 2,579,050 2,567,269 Total number of new CV registrations 288,100 298,043 313,411 322,258 363,687 389,923 Total number of new vehicle registrations 2,485,715 2,519,690 2,772,180 2,885,889 2,942,737 2,957,192
a Economic data has been reviewed in the light of national statistics and revised where indicated.
• All car production of 1,646,750 includes MG Rover. • Signatory total of 1,614,981, does not include MG Rover, but does include some van production. • MG Rover production in 2003 was 132,789. • Car and commercial vehicle production in 2004 increased by less than one per cent on 2003. PAGE 18 8.3 Investment
Table 8.3 Investments 1999 2000 2001 2002 2003 2004
Auto manufacturing sector net capital investment (£ billion) 2.13 2.08 2.23 1.3 a 1.2 a 1.4 Inward direct investment into automotive manufacturing (£ billion) 3.48 2.73 -0.85 -0.23 535 535 Expenditure on business research and development (£ billion) 1.14 0.93 0.96 a 1.0 a 1.25 a 1.26 Signatories combined UK investments - £1.28bn £1.22bn £1.52bn £1.80bn ND a Economic data has been reviewed in the light of national statistics and revised where indicated. ND No data for 2004.
• Investment was static, but at a consistently lower level than in the first three reporting years. • Research and development investment increased slightly in 2004.
8.4 Employment
STRATEGY COMMITMENT: to continue to secure and enhance employment opportunities where appropriate
STRATEGY ACHIEVEMENT: signatories work hard to make the sector a sustainable place to work and to increase diversity and skills. The closure of MG Rover and Powertrain in 2005 will lead to a decline in sector employment of 6,200 direct jobs and some in the component sector.
Table 8.4 Employment Indicators 1999 2000 2001 2002 2003 2004 Number of jobs dependent on the sector 863,000 847,000 835,000 838,000 816,000 806,000 · Automotive manufacturing 260,000 250,000 a 237,000 a 232,000 a 225,000 a 218,000 · Automotive supply and use 608,000 a 597,000 a 598,000 a 606,000 a 591,000 a 588,000 Signatories total combined employees (AS) 95,214 100,036 96,357 89,455 87,625 76,327 b a Economic data has been reviewed in the light of national statistics and revised where indicated. b 82,425 if MG Rover and Powertrain 2003 numbers included.
• MG Rover and Powertrain (reported as employing 6,200 in 2003) account for about 50 per cent of the 11,000 decline in signatory employees. • Total employment in the sector continues to decline, but vehicle production is slightly up. • The sustainability dilemma of economic benefit versus employment level is present, with industry needing to match the best productivity in the world, with low fixed costs. PAGE 19 9 Supply Chain
9.1 Supply Chain Efficiency
STRATEGY COMMITMENT: to support Industry Forum and work to enhance supply chain efficiency.
STRATEGY ACHIEVEMENT: signatories continue to drive quality through the supply chain and, where practical, continue to develop the use of alternative modes of transport, in their logistics networks.
Industry Forum www.industryforum.co.uk
Industry Forum works together with the automotive industry to create tangible results in manufacturing processes its aims being to achieve a sustainable world leading competitiveness in the UK-based vehicle and components industry.
To put this work into context:
• Some 70 per cent of the cost of every vehicle is bought in, firs- tier suppliers are important.
• Second and third-tier suppliers are equally important because 60 to 70 per cent of the cost of each product supplied by the first-tier is also bought in.
• Therefore for the long term success of the manufacturing process in the UK, effective supply chain management is fundamental.
9.2 Global Supply Chain
• For 2004 we asked signatories to report on the extent to which their supply chain is global. • Most signatories do not collect this data, and those that do are only just starting to collate this information. • Our objective remains to ascertain the distance from which components are sourced to assess the contribution to sustainability of the industry. • We are aware of the global nature of components manufacturing and look to provide an indicator for this.
PAGE 20 10. Social Performance
STRATEGY COMMITMENT: continue to improve the skills, facilities and opportunities available for employees
STRATEGY ACHIEVEMENT: difficult to quantify fully, but low staff turnover, flexible working policies, high levels of training, good health and safety and high quality of staff facilities all indicate some success
10.1 Employee Profiles and Development Employee profile • In 2004 just over nine per cent of the workforce were female; no change from 2003. Flexible Working • Flexible working arrangements are being introduced by more signatories and to a greater degree to attract and retain employees: • One signatory saw a 33 per cent increase in the take-up of flexible working. • Two other signatories have introduced a sabbatical leave programme. Employee support • Child care, counselling and drug screening are all increasingly offered to employees. • One signatory introduced a 24-hour employee help line in 2004. • Drug and alcohol policies are being revised and updated. • Testing for drugs and alcohol are now in place at some signatories. Trade Union Partnership • To help make the UK a world-class manufacturing base consultation is taking place with trade unions to establish how this can be achieved. Other examples of employee development • Support for employees in the process of adopting children through additional leave. • Development of ‘smoking-free’ sites and encouragement to employees to give up smoking. • Programmes to involve employees’ families in workplace activities. • Plans for ‘carers’ leave for those employees looking after elderly relatives, for example. • Companies have programmes involving non-UK based staff, demonstrating the exchange and inter-relationship of global partnerships and human resources. PAGE 21 10.2 Health and Safety
There have been significant improvements in health and safety performance in 2004. Lost-time incidents saw a reduction in all but two signatories.
Table 10.3 Reported 2002 2003 2004 Change 2004 Lost-Time Incidents on 2003 Number of incidents 669 710 491 30% reduction
Data for 2004 • More than 200 fewer lost-time incidents reported in 2004. • The figure is still over 180 when the loss of MG Rover as a signatory is taken into account. Targets Most signatories have either: • Percentage reduction on previous rate or, • Target reductions of between ten and 40 per cent, these are being met. • Reductions of up to 60 per cent in some types of incident.
• Actual rate per day or per hour targets • Frequency, incident and severity actual targets, in terms of days or per 1,000 employees. Rehabilitation for work • Occupational health facilities, for free use by employees. • Return-to-work programmes. Awareness Campaigns • Asthma awareness. • Monthly bulletins, including HSE competitions. • Site meetings on safety, and health issues. • The ‘safety challenge’ - employees generating funds for local charity through accident reduction, this is an initiative by one signatory. • Safety awards; best international practise workshops. • Major schemes for contractors. • Major health screening programmes.
PAGE 22 10.3 Training
Training is vital to the industry and although the number of training days declined in 2004, major training programmes are a part of every day operations.
Table 10.4 Training 2003 2004 Change 2004 on 2003 Total number of training days a 241,549 128,709 -112,840 Average number of training days per employee 3.8 2.9 -0.9
a For reporting signatories.
Automotive Academy www.automotiveacademy.co.uk • Full-time team set up in July 2004. • Supported financially by the Department for Trade and Industry, run/owned by SMMT. • Worldwide training for manufacturers and components suppliers. • Regional spokes. NVQ • Committed to NVQs and training for staff through this process. Other training developments during 2004 • Stress management training. • Personal development reviews have been updated, tracking both formal and informal training for individuals. • Developments in performance management training were highlighted by a number of signatories. • Support for e-learning as a new training tool.
10.4 Staff Turnover
Although staff turnover has increased, at less than ten per cent it remains very low in the context of other sectors.
Table 10.5 Staff Turnover 2003 2004 Change 2004 on 2003 Per cent staff turnover a 6.1 8.7 2.6
a For reporting signatories This data does not include MG Rover and Powertrain. PAGE 23 11. Stakeholder and Community Engagement
STRATEGY COMMITMENT: continue to engage positively with external stakeholders
STRATEGY ACHIEVEMENT: further developing success in engaging with many stakeholders
National Stakeholder Engagement • Low Carbon Vehicle Partnership, development of the colour coded fuel economy label. • Transport 2000, Worldwide Fund for Nature. • Business in the Community. • UK Climate Impacts Programme. • CARE – automotive recycling. • National Society for Clean Air – Cleaner Transport Forum. Regional Stakeholder Engagement • During 2004 the SMMT joined Sustainability West Midlands (SWM) to support sustainability in the region and enable engagement with a wide range of stakeholders Company Stakeholder and Community Engagement • Members are directly involved in national, regional and local projects. These include hospitals and schools (with visits and engineering clubs). • One signatory allows each employee to set aside up to 16 hours per year to spend in community projects. • Other examples of stakeholder involvement include: • Business in the Community Hospitals and NSPCC • Plant tours Princes Trust • Forum for the Future Born Free Foundation • Groundwork Red Cross • Future Forests
PAGE 24 12. Sector Issues – Sustainable Mobility
During recent years the Annual SMMT Sustainability Report has sought to address the issue of sustainable mobility. During 2004 the Society and its members decided that more work should be undertaken on this important issue. It was decided to focus on four key areas: • Air Quality • Improving Road Space Utilisation • Road Safety • Carbon Dioxide Emissions From Road Transport. These four key issues are considered fundamental to the development of sustainable road transport. The strategy adopted for further work was to ‘mind map’ all the factors that can contribute to improvements in each of these four key areas by all stakeholders. The maps therefore highlight: Key objectives for improvement in the four sustainable mobility issues A summary of these key objectives is based on : • Managing demand • Vehicle and fuel technology • Driver performance • Infrastructure technology and management • Vehicle choice • Use controls Strategy and Strategy Enablers have then been linked to these objectives Process The process was to develop the maps, initially internally, and then where appropriate to introduce them to stakeholders for early discussion and reaction during the development stage where amendments were incorporated. Complexity and Areas of Responsibility The concept behind the maps is to illustrate the complexity of these four key issues and to illustrate areas of responsibility. The next stage will be to understand the correctness of this approach and the ability of groups and organisations to accept this. Levers and Effectiveness and Quantification The maps lend themselves to further in-depth work. It is the intention of SMMT to look at leverage, ‘which strategies have the greatest impact’. This may include work to account for quantified policy and strategy success. Feedback The maps are in a developmental stage and we would welcome any feedback on the maps themselves or on the processes to develop them.
PAGE 25 12.1 Air Quality DfT Department for Transport
EURO European Regulation Directive The mind maps are intended to address Companies not only the issue of new vehicles, but Co’s also the wider issue of the ‘parc’,- all the vehicles on the road. LAs Local Authorities Hence durability of emissions equipment is a strategy enabler for T’ury Treasury
improvement in air quality. Department for Food Environment DEFRA and Rural Affairs Considerable work has been
undertaken on air quality and cost and DTI Department for Trade and Industry cost benefit analysis. The mind map will focus such work. Media Media and Press
One of the objectives of the mind map HA Highways Agency is to provide an easily understood reference point to which industry, Police Police government and stakeholders can relate. Con Consultants
Me Individuals
ACAD Automobile Club of Germany
NGO Non-Governmental Organisations
TAs Traffic Authorities
RDA Regional Development Agency
Vehicle and Operator Services VOSA Agency
VCA Vehicle Certification Agency
ODPM Office of the Deputy Prime Minister
BWB British Waterways Board
EST Energy Savings Trust
PAGE 26 ACAD DEFRA 8.1 Other transport and non transport emissions and relationship to Air Quality OTHER 7. Inter- 8.1.1 Understanding managing and the relationship with other sources of pollution relationship to to relationship poor Air Quality other sources of MANAGEMENT PLANS LOCAL AIR QUALITY LOCAL DfT Me VCA 7.1 Choose High Air Quality Vehicle CHOICE VEHICLE 7.1.2 and Labelling Information 7.1.1 Grants and benefits Selection 7. Vehicle 7. Vehicle NGO DSA VOSA 6.1.1 Driving style. 6.1.2 of Maintenance vehicles 6.1.3 Use of alternative modes 6.1 Driver behaviour and attitude DRIVER DfT VOSA 6. Driver Education PERFORMANCE 5.1.2 In service requirements (MOT) 5.1 Monitor and enforcement air existing quality standards LAs Co’s 5.1.1 roadside checks and and enforcement 5. Monitoring LAs TAs USE CONTROLS 4.3 Vehicle exclusion zones 4.3.1 Low Emission Zones (LEZ) – city wide vehicle group specific 4.3.2 Low Emission Schemes (LES) – project based schemes, vehicle specific 4.3.3 Link to Congestion Zones 4.2 Traffic bans 4.2.1 Pedestrianisation 4.2.2 Time sensitive traffic bans HA road space use space road Quality through Quality 4. Managing Air 4.1.1 Controlling traffic flow to Air Improve Quality LAs IMPROVING IMPROVING 4.1 Traffic flow control INFRASTRUCTURE DfT T’ury Improving Quality Air 3.1.2 Early adoption, take schemes up DfT T’ury parc to to parc Quality the vehicle improve Air Air improve THE FLEET CHANGING 3.1.1 Early Scrappage Schemes 3. Addressing 3. Addressing 3.1 Managethe of profile age vehicle UK the parc DEFRA ACAD T’ury IMPACT OF OF IMPACT AUTOMOTIVE SECTOR 2. Fuel DfT 2.1 Fuel Development 2.1.1 Development of existing fuels 2.1.2 Development of biofuels 2.1.3 Alternative fuels 2.1.4 Hydrogen Development EURO 1.2 Durability Standards 1.2.1 Increased durability of emissions control equipment VEHICLE AND FUEL TECHNOLOGYVEHICLEFUEL AND EURO Quality through through Quality Hybrids 1.1.4 Stop/Start 1. To improve Air Air improve 1. To 1.1.1 ExhaustAfter Treatment 1.1.2 Engine Management 1.1.3 Additional Exhaust/Engine treatment 1.1.4 NewEngine and development - - engine systems vehicle technology 1.1 Engines and Emission Equipment AIR QUALITY AIR QUALITY OBJECTIVE STRATEGY STRATEGY ENABLERS
PAGE 27 DfT Department for Transport 12.2 Road Space Utilisation EURO European Regulation Directive
Companies Congestion is created by the demand Co’s for road space exceeding supply. The
supply of road space can be improved LAs Local Authorities by technology; in vehicle and at the
roadside and through information to the T’ury Treasury driver. Department for Food Environment DEFRA Demand for travel is a complex formula and Rural Affairs of value cost and opportunity. DTI Department for Trade and Industry The Department for Transport (DfT) ‘Making Smarter Choices Work’ report and publication in 2004 highlights a Media Media and Press number of strategies to inform and change the way we understand the HA Highways Agency need and way in which we travel. Police Police
Con Consultants
Me Individuals
ACAD Automobile Club of Germany
NGO Non-Governmental Organisations
TAs Traffic Authorities
RDA Regional Development Agency
Vehicle and Operator Services VOSA Agency
DSA Driving Standards Agency
VCA Vehicle Certification Agency
ODPM Office of the Deputy Prime Minister
BWB British Waterways Board
EST Energy Savings Trust
PAGE 28 Me DSA 5.2.1 Responsible Car Use 5.1 Co’s Driver Me Me Education DRIVER DRIVER PERFORMANCE 5.1.1 Understan ding modal choice 5.1.2 Changing travel patterns LAs T’ury LAs T’ury Co’s 4. Driver improvement Driver 4. T’ury 4.2 Market Market Me Employing Employing NGO Mechanisms 4.2.1 Tolls 4.2.2 Congestion Charging 4.2.3 ChargingUser 4.2.4 Parking Cost 4.2.5 Fuel Cost 4.2.6 Costs Vehicle use 4.1 DfT Vehicle Utilisation 3. Controlling Controlling 3. USE CONTROLS 4.1..1 Car Sharing 4.1.2 Car Pooling SPACE SPACE RDA LAs ODPM 3.4.1 Integrated planning 3.4..2 Housing strategy NGO 3.4 Co’s LAs Spatial Planning Improved Improved 3.3.1 Company Transport Plans 3.3.2 School Transport Plans 3.3.3 Event Planning 3.3 Co’s TAs LAs Co’s Media patterns. varying and varying and Demand Spacing, Demand managing journey journey managing space 3.2.1 Home-working 3.2.2 and Tele-working video conferencing 3.2.3 Sustainable logistics 3.2.4 choices Lifestyle locally, shop (e.g. walk more) DfT MANAGING DEMAND MANAGING 3.2 LAs Encouraging Encouraging BW B HA LAs alternatives to travel Co’s Co’s Co’s 3.1 2. Managing and reducing demand for road Managingfor 2. demand and reducing DfT of alternative part journeys 3.1.1 train Increased use 3.1.2 bus Increased use 3.1.3 Increased cycling 3.1.4 Park and Ride Scheme 3.1.5 Short Sea Shipping (freight) 3.1.6 Inland Waterways Improving road spaceutilisation Increasing the use use the Increasing transport for all or for transport NGO Media Co’s LAs 2.2 Better HA Management Infrastructure 2.2.1 Incident Response: Breakdown Accident Weather Wide load Bridge Strike 2.2.2 Maintenance Road 2.2.3 Parking Enforcement DfT Co DfT DfT LAs LAs Police Co’s Co’s 2.1 HA Design IMPROVING INFRASTRUCTURE IMPROVING Better Infrastructure Infrastructure Better ROAD ROAD road technology 2.1.1 DesignRoad 2.1.2 New Roads 2.1.3 Intelligent Road Systems 2.1.4 Signage 2.1.5 Parking provision and design 2.1.6 Calming 2.1.7 Speed Limits 2.1.8 Tolling Collection 2.1.9 LinkFixed Provision 1. Reducing congestion through vehicle and congestion and through vehicle 1. Reducing VEHICLE Design. 1.1 and 1.2 TECHNOLOGY 1.2 (design) 1.2 1.2.1 Smaller, space cars efficient Improve Vehicle Vehicle Improve Technology and IMPACT IMPACT OF AUTOM OTIVE SECTOR 1.1 (technology) 1.1.1 Congestion Avoidance Information 1.1.2 time Real Navigation data 1.1.3 Reliability Vehicle E-calling 1.1.4 Full in car ITS OBJECTIVE TARGETS STRATEGY ENABLERS
STRATEGY PAGE 29 DfT Department for Transport 12.3 Safety EURO European Regulation Directive
Companies The trend for reduction in road traffic Co’s accidents continues for some types of incidents, but not for others. As the LAs Local Authorities level of traffic increases, managing road safety is an important issue. Driver T’ury Treasury performance and technology, and Department for Food Environment DEFRA technology linked to infrastructure are and Rural Affairs becoming increasingly important. DTI Department for Trade and Industry
Media Media and Press
HA Highways Agency
Police Police
Con Consultants
Me Individuals
ACAD Automobile Club of Germany
NGO Non-Governmental Organisations
TAs Traffic Authorities
RDA Regional Development Agency
Vehicle and Operator Services VOSA Agency
DSA Driving Standards Agency
VCA Vehicle Certification Agency
ODPM Office of the Deputy Prime Minister
BWB British Waterways Board
EST Energy Savings Trust
PAGE 30 Me CHOICE Selection VEHICLE 9. Vehicle 9.1 Vehicle type and options 8.1.2 8.1.2 and Labelling Information DfT DSA VOSA 8. Driver Education 8.1.1 Driving style. 8.1.2 Maintenance of vehicles 8.1 Driver and behaviour attitude LAs HA Police 7.1.1 police patrols 7.1.2 cameras satellite 7.1.3 tracking 7.1 Greater traffic enforcement ROLE OF THE TRAFFIC COMMISSIONERS ? COMMISSIONERS TRAFFIC THE OF ROLE Enforcement 7. Raise traffic DRIVER PERFORMANCE DRIVER Co’s TAs policy company insurance 6. Change 6.1 Develop insurance industry relationship with stakeholders 6.1.1 Insurance links licence 6.1.2as “pay you drive” insurance EURO HA VOSA 5.2.1 Drivers Hours 5.2.2 Tachographs 5.2.3 Over weight/height 5.2 Use Regulation traffic traffic 5. Improve management LAs Police HA NGO USE CONTROLS 5.1 managing flows traffic safety for 5.1.1 Variable limits speed 5.1.2 permanent limits speed 5.1.3 In vehicle information DfT Con HA LAs vehicle to vehicle to 4.1.1 Segregating flows. traffic 4.1.2 road design improvement. Surfaces, bends, camber 4.1.3 junction design 4.1.4 Eurorap 4.1 Roaddesign improvement vehicle interface 4. Improvingthe Improving Road Safety Road Improving EURO LAs cyclist 3.1.1 pavement road relationship 3.1.2 Pavement cycleway relationship interface 3.1 Road design in relation to pats andcycle ways pedestrian pedestrian 3. Improving 3. Improving IMPROVING INFRASTRUCTURE the vehicle to DfT Con HA size Media 2.1 Understand ing vehicle to vehicle crash safety IMPACT OF AUTOM OTIVE SECTOR type and 2.1.1 vehicle class segregation only “lorry lanes” 2. Vehicle 2. Vehicle Con EURO 1.2.1 1.2.1 Pedestrian protection Braking 1.2.2 technology Vehicle 1.2.3 Radar 1.2 passive design features S A F E T Y S A F E T Y and design VEHICLE TECHNOLOGYVEHICLE Safety through 1.1.1 Airbags 1.1.2 Seatbelts 1.1.3 Crash bars 1.1.4 In car design 1. Improving Road vehicle technology vehicle technology 1.1 Active design features OBJECTIVE STRATEGY STRATEGY ENABLERS PAGE 31 DfT Department for Transport
EURO European Regulation Directive 12.4 CO2 Companies Co’s For passenger cars, through voluntary agreements with industry the focus on LAs Local Authorities CO2 emission reduction is on new vehicle technology. For wider road T’ury Treasury transport, including cars demand
management and use controls also Department for Food Environment DEFRA offer opportunities to reduce the and Rural Affairs
absolute levels of CO2 emissions generated by road transport. DTI Department for Trade and Industry
A greater understanding of the levers Media Media and Press impacting on this scenario are
particularly important in this context. HA Highways Agency
Police Police
Con Consultants
Me Individuals
ACAD Automobile Club of Germany
NGO Non-Governmental Organisations
TAs Traffic Authorities
RDA Regional Development Agency
Vehicle and Operator Services VOSA Agency
DSA Driving Standards Agency
VCA Vehicle Certification Agency
ODPM Office of the Deputy Prime Minister
BWB British Waterways Board
EST Energy Savings Trust
PAGE 32 EST DfT Me VCA CHOICE Selection VEHICLE VEHICLE 8. Vehicle 8.1 Promote a carbon low choice 8.1.2 and Labelling Information 8.1.1 Grants and benefits DSA Media 7. Driver 7. Driver Education 7.1.2 Educating driver DRIVER 7.1 Driver and choice behaviour PERFORMANCE LAs policy T’ury pricing 6.1.1 Road pricing 6.1.2 FuelDuty 6.1.3 Company Taxation Car 6.1.4 Vehicle Duty Excise 6.1.5 Car Parking Tax 6.1.6 Congestion Charging 6. Fiscal and USE 6.1 price control of transport CONTROL Co’s 5.2.1 Home/work builds 5.2.2 Out of town shopping development curtailment 5.2 Reduce to need the travel in the shop/work/ho interface me for road road for transport 5. Manage the demand DEMAND MANAGING MANAGING Co’s Me LAs Me Co’s Emissions DfT 2 5.1 Reduce and or re- schedule the demand for road transport 5.1.1 workplace 5.1.1 workplace travel planning 5.1.2 School travel plans 5.1.3 Personalised travel planning 5.1.4 Public transport information and marketing 5.1.5 Travel awareness campaigns 5.1.6 Car Sharing 5.1.7 clubs Car 5.1.8 Teleworking 5.1.9 Teleconferencing 5.1.10 Home Shopping planning HA THROUGH Managing CO Managing 4. Improve spatial 4. Improve MANAGEMENT INFRASTRUCTURE 4.1 Managing /Smoothin g traffic flows 4.2 Speed managem to ent reduce emissions DfT parc the Vehicle Vehicle the 3. Changing 3.1.1 Consumer education 3.1.2 Grants incentives and 3.1.3 Early scrappage schemes 3.1.4 early uptake schemes THE FLEET CHANGING 3.1 a Encourage more to change efficient fuel vehicles IMPACT OF IMPACT AUTOMOTIVE SECTOR Co’s DTI 2. Fuel 2. Fuel T’ury Development 2 2 2.1 Development of alternative fuels 2.1.1 Technology and fiscal support 2.1.2 Distribution networks 2.1.3 Availability 2.1.4 Energy strategy 2 design CO CO EURO technology and through vehicle vehicle through Stop/Start engine 1. Improving CO Hybrids VEHICLE AND FUEL ANDVEHICLE TECHNOLOGY 1.1.1 New Engine development and on existing technology 1.1.2 Adaptation of and extension engine new technology - - systems 1.1 Engines and Emission Equipment
OBJECTIVE STRATEGY STRATEGY ENABLERS PAGE 33 12.5 Sustainable Mobility – Virtuous and Conflict
The virtuous circle of Raising Air Quality Improving Road Space sustainable mobility 1 Utilisation issues 1. Generating smoother traffic flows
2. Reduce CO2 through less stop/start and constant traffic speeds 4 1 2 4 3. Improve air quality at optimum engine operating parameters 3 4. Reduce accidents
Reducing CO Improving Road Safety 2 2 Emissions
The conflicts of sustainable mobility issues Raising Air Quality Improving Road Space Utilisation 1. The air quality/CO2 reduction conflict 2. Traffic calming can
create increases in CO2 and reductions in air quality through more 3 1 stop/start motoring 2 3. Improving road space utilisation through road user charging may create an increase in off-peak demand on some routes or longer Improving Road Safety Reducing CO2 journeys to avoid 2 Emissions charges 4 4. Improving road safety increases vehicle weight
PAGE 34 Further Contacts Signatory Name Web site The Society of Motor Audi www.volkswagen-environment.de Manufacturers and Traders Bentley Motors www.bentleymotors.com BMW Group www.bmwgroup.com Forbes House Ford Motor Company www.ford.com Halkin Street GKN Driveline www.gknplc.com Honda UK Manufacturing www.mfg.honda.co.uk London Jaguar Cars www.jaguar.com SW1X 7DS Land Rover UK www.landrover.com LDV www.ldv.com UK www.nissan.co.uk and www.nissan- Nissan Telephone: global.com Perkins Engines www.caterpillar.com +44 (0)20 7344 9200 PSA Peugeot Citroën www.sustainability.psa-peugeot- E-mail: Automobiles citroen.com Rolls-Royce Motor Cars www.rolls-roycemotorcars.com sustainability @smmt.co.uk SEAT www.volkswagen-environment.de Skoda Auto www.volkswagen-environment.de Toyota www.toyotauk.com and www.toyota.co.jp Website: Vauxhall Motors www.vauxhall.co.uk Volvo Car UK www.volvocars.co.uk www.smmt.co.uk/sustainability Volkswagen Group www.volkswagen-environment.de Volkswagen Commercial www.volkswagen-environment.de Vehicles Look for links to 'about us' or 'company' to be directed to sustainability and environmental information.
Organisation Web site Auto Industry www.autoindustry.co.uk Automotive Academy www.automotiveacademy.co.uk Published by: Department for Food Environment and Rural Affairs (DEFRA) www.defra.gov.uk/environment/sustainable The Society of Motor Department for Transport (DfT) www.dft.gov.uk Manufacturers and Traders Department of Trade and Industry (DTI) www.dti.gov.uk/sustainability/ Limited, October 2005. SMMT EC Sustainable Development www.europa.eu.int/comm/sustainable and the SMMT logo are Energy Savings Trust www.transportenergy.org.uk Environment Agency www.environment-agency.gov.uk registered trademarks of SMMT European Environment Agency www.eea.eu.int Ltd. Foresight Vehicle Programme www.foresightvehicle.org.uk LowCVP www.lowcvp.org.uk © All rights reserved Royal Society for the Prevention of Accidents www.rospa.org.uk Sector Skills Council for the Printed on Revive made from 100 Automotive Sector www.automotive-skills.org.uk per cent waste paper. No SMMT www.smmt.co.uk chlorine or chlorine compounds Sustainable Development Research Network www.sd-research.org.uk are used in the paper’s The Carbon Trust www.thecarbontrust.co.uk production. The paper is also free The Sustainable Development Commission www.sd-commission.org.uk of OBAs (optical brightening The World Business Council for agents) Sustainable Development (WBCSD) www.wbcsd.org UK Climate Change Impact Images from Programme www.ukcip.org.uk www.dreamstime.com UK Commission for Integrated Transport www.cfit.gov.uk UK GOV SITE www.sustainable-development.gov.uk UN Division for Sustainable Development www.un.org/esa/sustdev United Kingdom Petroleum Industries Association (UKPIA) www.ukpia.com Vehicle Certification Agency (VCA) www.vca.gov.uk PAGE 35