Capgemini_research-and-insights_THE-CHALLENGE-OF-CO2-OPTIMIZATION-FOR-AUTOMOTIVE-OEMS-IN-THE-EU

THE CHALLENGE OF CO2 OPTIMIZATION FOR AUTOMOTIVE OEMS IN THE EU

Over the past year, CO2 emissions have become the undisputed environmental challenge of the automobile industry. Car manufacturers have always been reluctant to take the lead on this issue, their performance being limited to the strict compliance with the laws in force. Contrary to passive safety, CO2 emissions have not been seen as sufficiently distinctive from a customer standpoint to motivate some manufacturers to go far beyond the enforced rules.

Environmental constraints are steadily increasing on automotive sales with the entry into force in 2020 of the obligation for each manufacturer not to exceed 95g CO2/km on average for all registered vehicles and to pay a penalty equivalent to 95 EUR per vehicle sold for each gram of CO2 above the limit. Regulation has been further tightened with the EU target to reduce emissions in 2030 by at least 37.5% compared to 2020, which implies reducing them to less than 60g CO2/km. A distinction is made between passenger cars (PCs) and light commercial vehicles (LCVs). For the latter, the 2020 CO2 target is set at 147g CO2/km with a decrease of 37.5% by 2030 to 92g CO2/km.

Capgemini Engineering is proposing a complementary approach to the existing planning and tracking processes by implementing a hierarchical optimization tool at the heart of the production planning process and proposing production adjustments to precisely reach the CO2 emissions target. By taking into account historical ordering and registration timing patterns, the production forecast and the sales forecast are synchronized and consistent, making the CO2 year-end landing more predictable. In addition, coupling industrial and sales constraints enables automakers to identify both the deadlocks and opportunities for improvement.