e-Fuels, EVs & EU Laws: What’s Happening In Europe & How Does It Affect The UAE & Other GCC Nations?

New internal combustion engine-powered vehicles can remain in production beyond 2035 if a proposed EU law is enforced. The European Union is planning to allow the production of ICE cars beyond 2035 only if it runs on e-fuel instead of normal petrol. This is big news for petrolheads as this new carbon-neutral synthetic fuel is a great alternative to electric mobility.

The global automotive industry is currently at the cusp of a revolution. Electric mobility is being touted as the saviour of the world and all manufacturers small and big are adopting strategies to make the transition to electric mobility. In fact, the EU enacted a law that requires all car manufacturers to have an EV-only lineup before 2035. This essentially bans petrol engines.

While this is good for the EV industry, it certainly is bad news for the petrolheads of the world. While petrolheads will miss the pleasure of driving a petrol-powered car, the problem, as it turns out, is a bit deeper than just that.

Yes, of course, range anxiety and availability of charging infrastructure are major concerns. However, this is something that will be continuously improved. The real issue lies with the way the Lithium, Cobalt, Nickel, and other materials inside the batteries are sourced. Tons of water is required to get a small amount of Lithium out of the ground. Cobalt mines are unregulated and child labour is a major concern. This is just scratching the surface.

Then there comes the issue of getting the mined resources to a factory, and this is done via ICE trucks and ships. Then the manufactured battery cells are also transported using internal combustion engines. When all this is put together, one would find that making an EV battery is quite unarguably taxing on the environment.

Of course, one can’t ignore the fact that a vast majority of the world’s electricity comes from fossil-fuel-powered power plants. The final and biggest problem is that everyone would have to eventually give up their petrol-powered car and buy a brand-new EV. This only warrants the usage of more precious natural resources. To counter these problems, scientists and researchers developed e-Fuels.

Simply put, it is petrol made in a factory and is carbon neutral because the factory only uses water and air to manufacture e-Fuel. The technology is currently in its infancy and produced in small quantities which makes it more expensive. However, once production is ramped up, it will become more practical.

e-Fuels are expected to replace conventional petrol and compete effectively with electric vehicles. e-Fuel can also be directly used in an existing petrol car without the need for any modifications to its drivetrain. However, the debate at the moment is to bring in a law that will enable its usage beyond 2035.

2035 is an important year for the automotive industry as it is the deadline for all car manufacturers in Europe to switch to electric mobility. This is a law that has already been passed. Now though, the EU is planning on drafting a new law that will allow cars powered by e-Fuel to be manufactured beyond that.

The very fact that the EU is debating this, is a cause for celebration for everyone who believes in e-Fuels as the saviour of both the combustion engine and the environment. In the UAE and all GCC nations, there currently is no such law enforcing a deadline to switch to EVs.

However, much to the dismay of enthusiasts in the UAE, switching to EVs and therefore being more environment-friendly is now the latest trend in the auto industry. The arrival of more affordable e-Fuels will allow motorists to be more environment-friendly and carbon-neutral even while driving a fire-breathing Lamborghini 6.5-litre V12 engine or that top-spec 5.7-litre V8 Land Cruiser.

A vast majority of car manufacturers have bases and factories located in one or more of the several EU nations and therefore, the EU laws indirectly direct what manufacturers develop in the long run. So, all eyes are on the EU and it remains to be seen if the planned e-Fuels law is actually enacted.