After Year Of Cheating The System, Volkswagen Wants To End Diesel Subsidies In Germany

After Year Of Cheating The System, Volkswagen Wants To End Diesel Subsidies In Germany

The chief executive of Volkswagen said on Sunday that the German government should consider phasing out the subsidies that encourage Europeans to buy diesel cars, a startling change of position by the company largely responsible for diesel’s popularity in Europe.

“We should question the logic and purpose of diesel subsidies,” Matthias Müller, the chief executive of Volkswagen, said in an interview with the German newspaper Handelsblatt. “The money can be invested more sensibly to promote more environmentally friendly technologies.”


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atc98092atc98092 - 12/11/2017 2:57:02 PM
+2 Boost
Look out! There must be some pigs flying somewhere! :)


TheSteveTheSteve - 12/11/2017 4:13:28 PM
+2 Boost
Hmmmm. When VW was selling "clean diesel", they were totally cool with the diesel subsidies. Now that they've been caught red-handed with Dieselgate and related scandals, and they've lost credibility as ethical diesel vehicle manufacturers, they want to remove diesel subsidies. Is anyone surprised by this VW proposition?


TomMTomM - 12/11/2017 7:36:16 PM
+2 Boost
Since there are already so many diesel cars on the road in Europe because of the price of Fuel - ANY change in that would have to happen over a long time - as it would create the worst problems for the people who can least afford it.

Worse - since the trucking Industry depends on Diesel fuel at a low price - I cannot see any BIG change in price without MAJOR problems for them and we have already seen what the trucking industry can do when diesel prices went up a relatively small amount two years ago. (compared to the amount they would be when taxed)

However - I do not believe it was diesel subsidies - it was gasoline taxes that did not carry over to diesel that created this situation.

AS has happened in the past - though - is that technology does not stand still - and there will continue to be improvements in ICE engines of gas and diesel that will make them the choice of many people for a much longer time than is suggested. Especially - I can see ICE engined Hybrids being the vehicle of choice - over EVS - where the charging infrastructure or range becomes an economic issue. This is one case where I might suggest that a Rotary engine might finally find a niche - being physically smaller - and being used as a range enhancer means less changes in RPMs.


TheSteveTheSteve - 12/11/2017 8:24:54 PM
+2 Boost
^^^
TomM: Agreed. I'm really curious to see how this all unfolds. Will ICE makers come up with significant improvements, like what HCCI promises? Will hybrids be the new thing? Will EVs suddenly breakthrough the range barrier and cost with a new battery technology? We're in rapidly-evolving times. It's anybody's guess. Interesting times, indeed.


malba2367malba2367 - 12/11/2017 4:40:56 PM
0 Boost
DIesel is not and was never a good technology for passenger cars. The ONLY reason they became so popular in Europe was due to fuel subsidies making them more cost effective to operate. At best this was based on the erroneous idea that diesel fueled vehicles due to better MPG would reduce emissions (now known to be false)and at worst a collusion between European governments and automakers to push a technology that would give them a edge over the asian automakers. The writing is on the wall...the company that staked a huge portion of their reputation on "clean diesel" is quickly moving in another direction.
It is pretty obvious as this point that the entire German auto industry (including Bosch, Siemens and Continental) operate as a cartel...it won't be long before other members of the industry start moving away from diesel as well.


TheSteveTheSteve - 12/11/2017 7:46:06 PM
+3 Boost
According to readily available information:

1. A diesel engine gets better MPG than an equivalent gasoline engine.

2. A diesel engine delivers more torque, sooner, than an equivalent gasoline engine. This translates into usable power and acceleration.

3. Diesel engines last a looooong time, especially where heavy loads are concerned.

4. A modern diesel engine in a passenger vehicle, equipped with properly operating and legal DPF (diesel particulate filter) and DEF (Diesel Exhaust Fluid injection system, also called a Urea Injection System), creates no smoke/soot, no stink, much lower CO2 than an equivalent gasoline engine, and negligible NOx emissions.

5. The price of diesel fuel (at the commodity level) tracks well to heating oil prices. It’s about 10% higher than Regular Unleaded gasoline. However, by the time it gets to the retail level, due to supply and demand, that delta can vary considerably. When comparing a diesel engine with its better MPG and pump fuel price in the US to an equivalent gasoline engine with lower MPG and higher premium unleaded fuel price (usually subsidized), the fuel cost per mile often ends up being cheaper for diesel than the equivalent gasoline engine.

According to my real-world fuel tracking of my own Audi Q5 3.0L diesel SUV, I’ve saved between 36.9% and 40.4% in real-world cost per mile in the past 2.5 years as compared to the 2.0L gasoline engine (requires premium gas). That works out to about $2,300 more in my pocket. I get such good fuel economy that some people refuse to believe it’s possible (37.22 US MPG average, 46.12 US MPG on my last 3,100 mile all-highway road trip, round-trip).

This post is *NOT* my assertion that everyone should run out and get a diesel vehicle. It just debunks many of the US-based, anti-diesel biases. As always, do what works best for you.



MDarringerMDarringer - 12/12/2017 8:19:26 AM
-1 Boost
@TheSteve #3 is most decidedly NOT true with passenger cars. Trucks yes, but there is a lot of overhauling that goes on with diesel semis.


malba2367malba2367 - 12/12/2017 5:32:48 PM
+2 Boost
Diesel engines are not more reliable than well built petrol engines for passenger cars. If my primary goal was reliability I would take a Naturally aspirated V6 from Honda or Toyota all day long over a turbodiesel with DPF and urea injection. You may save some money on Fuel, but that is negated by the cost of more expensive oil changes, the cost of urea fluid and if you ever need a DPF replacement you are in the red compared to buying a gasoline car.

Diesels are a good choice in 2500 and 3500 pickup trucks..but thats not what we are discussing here.


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