2035 combustion ban moves forward after Germany and EU reach agreement on e-fuels
Following talks that carried late into Friday evening, representatives from both the EU and member state Germany have relayed that an agreement has been reached in the proposed 2035 ban of new combustion vehicle sales that will now include exceptions for e-fuels. After 2035, some combustion vehicles can still be sold, as long as they run entirely on carbon-neutral fuel alternatives.
We don’t feel the need to give you the full recap, because we’ve been updating this ongoing saga of the EU commission’s attempt to enact its 2035 ban on combustion cars almost bi-weekly at this point. That being said, we may have finally reached a bookend on the tale that appeases the Commission, pleases Germany, yet still leaves plenty of others upset.
Most recently, Germany’s distaste for the proposed 2035 ban of new combustion vehicle sales in the EU was gaining steam, with several allies joining the automotive powerhouse of a country in speaking out on the lack of clarity regarding carbon-neutral e-fuels.
Last October, the EU Commission thought this was already a done deal, until Germany got cold feet, so its members quickly began scrambling to reach an agreement to regain the country’s vital blessing of the ban.
Earlier this week, we learned that the EU Commission had drafted a proposal to appease the unhappy member states that included new terms for combustion vehicles using e-fuels, hearing that a deal could be done as early as this past Thursday.
Those talks carried over into Friday in Europe, but an agreement has been reached and the EU’s 2035 combustion ban can finally move forward to its final vote. That being said, additional provisions will still need to be provided to truly grasp how e-fuel vehicles can be sold without any risk of traditional fuel use.
EU’s 2035 ban gets green light following e-fuel provisions
According to the head of EU climate policy Frans Timmerman, the Commission has reached an agreement with Germany on the future use of e-fuels vehicles after the 2035 combustion ban takes effect. German transport minister Volker Wissing, who has been the ringleader in his country’s sudden change of heart regarding the ban, shared a similar sentiment on Twitter Friday:
The way is clear: Europe remains technology-neutral. Vehicles with combustion engines can also be newly registered after 2035 if they only use CO2-neutral fuel. We secure opportunities for Europe by retaining important options for climate-neutral and affordable mobility.
A new vote, which expected to take place this coming Tuesday in Brussels, should pass with Germany’s blessing, but we’ve heard that before. Other EU countries like Italy, who originally backed Germany’s call for e-fuel exceptions, want even more assurances from the EU Commission, but with Germany now back onboard the 2035 ban, those other countries aren’t a large enough minority to block the vote.
What’s interesting about the agreement is that the text of the original regulation will not change from last year. After the ministers sign off on it next week, the Commission plans to follow up with additional details on how to implement new provisions on e-fuel vehicles.
You can’t please everyone as they say, and environmental activists – already angered by Germany’s sudden change of heart toward the 2035 EU ban, are further enraged by the recent compromise for carbon-neutral vehicles. Arguments from organizations like Greenpeace state that these provisions distract from the broader goal of implementin fully-electric and ZERO-emissions vehicles – which truly feels like the inevitable path the world is on right now, even 12 years out from the EU’s 2035 combustion ban.
Even some Germans like Green member of European Parliament Michael Boss have spoken out:
The automotive sector has wholeheartedly embraced electric cars, rendering the previous debate on the matter absurd and damaging Germany’s credibility. It is now time to make reparations.
Let’s hope this is the last update regarding this story so the EU can get the 2035 combustion ban through its final vote and enacted into law. Next, we will have to see how those e-fuel provisions will work and how those automakers intend to build engines that operate carbon-neutrally without any chance of someone sneaking gas or diesel into them.
Electrek’s take
Now that we’ve (hopefully) reached a solution this whole ordeal in the EU, I feel like I can finally comment on it. As an environmentalist, EV enthusiast, and proponent of new technologies, I obviously side with the statements from Greenpeace and Michael Boss above.
To me, this whole debate feels like a grand waste of time and a mere drop in the bucket in relation to the future of mobility in both the EU and the world. If this is what it takes to get Germany back to Brussels with a vote of “aye,” fine. I understand why the EU Commission decided to bend on e-fuel exemptions.
The fact that the same agreed upon regulation on the EU’s 2035 combustion ban will remain intact is important, but I wonder how these promised e-fuel provisions will even work? These automakers that are so hellbent on allowing sales of carbon-neutral vehicles after 2035 may still have to develop entirely new engines that accept e-fuels, but not gas or diesel.
My question is, why not put all that money, research, and development into zero-emission vehicles? We’ve already reached critical mass in EV adoption, and we’ve seen the segment explode in recent years. How is the mobility landscape going to look 10+ years from now? Will anyone even be interested in an e-fuel vehicle in 2035, when they can get a BEV that hopefully has solid state batteries, some level of autonomy, and produces zero emissions for the same price, or even less?
I’m not a fortune teller, but that seems like an inevitable future with the way the industry is shifting and the speed at which EV technology is advancing. Maybe I’m dreaming, but if that is the outlook, why not fully lean in and try to lead that paradigm shift instead of clinging to technology that already feels obsolete compared to what’s currently being developed?
Regardless of the success or lack thereof e-fuel vehicles will have, I’m happy to hear the combustion ban is moving forward, and so should drivers in the EU. This is still a landmark regulation that sets a major precedent for ending carbon emissions on roads around the world.
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Wind energy powered 20% of all electricity consumed in Europe (19% in the EU) in 2024, and the EU has set a goal to grow this share to 34% by 2030 and more than 50% by 2050.
To stay on track, the EU needs to install 30 GW of new wind farms annually, but it only managed 13 GW in 2024 – 11.4 GW onshore and 1.4 GW offshore. This is what’s holding the EU back from achieving its wind growth goals.
Three big problems holding Europe’s wind power back
Europe’s wind power growth is stalling for three key reasons:
Permitting delays. Many governments haven’t implemented the EU’s new permitting rules, making it harder for projects to move forward.
Grid connection bottlenecks. Over 500 GW(!) of potential wind capacity is stuck in grid connection queues.
Slow electrification. Europe’s economy isn’t electrifying fast enough to drive demand for more renewable energy.
Brussels-based trade association WindEurope CEO Giles Dickson summed it up: “The EU must urgently tackle all three problems. More wind means cheaper power, which means increased competitiveness.”
Permitting: Germany sets the standard
Permitting remains a massive roadblock, despite new EU rules aimed at streamlining the process. In fact, the situation worsened in 2024 in many countries. The bright spot? Germany. By embracing the EU’s permitting rules — with measures like binding deadlines and treating wind energy as a public interest priority — Germany approved a record 15 GW of new onshore wind in 2024. That’s seven times more than five years ago.
If other governments follow Germany’s lead, Europe could unlock the full potential of wind energy and bolster energy security.
Grid connections: a growing crisis
Access to the electricity grid is now the biggest obstacle to deploying wind energy. And it’s not just about long queues — Europe’s grid infrastructure isn’t expanding fast enough to keep up with demand. A glaring example is Germany’s 900-megawatt (MW) Borkum Riffgrund 3 offshore wind farm. The turbines are ready to go, but the grid connection won’t be in place until 2026.
This issue isn’t isolated. Governments need to accelerate grid expansion if they’re serious about meeting renewable energy targets.
Electrification: falling behind
Wind energy’s growth is also tied to how quickly Europe electrifies its economy. Right now, electricity accounts for just 23% of the EU’s total energy consumption. That needs to jump to 61% by 2050 to align with climate goals. However, electrification efforts in key sectors like transportation, heating, and industry are moving too slowly.
European Commission president Ursula von der Leyen has tasked Energy Commissioner Dan Jørgensen with crafting an Electrification Action Plan. That can’t come soon enough.
More wind farms awarded, but challenges persist
On a positive note, governments across Europe awarded a record 37 GW of new wind capacity (29 GW in the EU) in 2024. But without faster permitting, better grid connections, and increased electrification, these awards won’t translate into the clean energy-producing wind farms Europe desperately needs.
Investments and corporate interest
Investments in wind energy totaled €31 billion in 2024, financing 19 GW of new capacity. While onshore wind investments remained strong at €24 billion, offshore wind funding saw a dip. Final investment decisions for offshore projects remain challenging due to slow permitting and grid delays.
Corporate consumers continue to show strong interest in wind energy. Half of all electricity contracted under Power Purchase Agreements (PPAs) in 2024 was wind. Dedicated wind PPAs were 4 GW out of a total of 12 GW of renewable PPAs.
Read more: Renewables could meet almost half of global electricity demand by 2030 – IEA
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In the Electrek Podcast, we discuss the most popular news in the world of sustainable transport and energy. In this week’s episode, we discuss the official unveiling of the new Tesla Model Y, Mazda 6e, Aptera solar car production-intent, and more.
The show is live every Friday at 4 p.m. ET on Electrek’s YouTube channel.
As a reminder, we’ll have an accompanying post, like this one, on the site with an embedded link to the live stream. Head to the YouTube channel to get your questions and comments in.
After the show ends at around 5 p.m. ET, the video will be archived on YouTube and the audio on all your favorite podcast apps:
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Here are a few of the articles that we will discuss during the podcast:
Here’s the live stream for today’s episode starting at 4:00 p.m. ET (or the video after 5 p.m. ET):
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The Chinese EV leader is launching a new flagship electric sedan. BYD’s new Han L EV leaked in China on Friday, revealing a potential Tesla Model S Plaid challenger.
What we know about the BYD Han L EV so far
We knew it was coming soon after BYD teased the Han L on social media a few days ago. Now, we are learning more about what to expect.
BYD’s new electric sedan appeared in China’s latest Ministry of Industry and Information Tech (MIIT) filing, a catalog of new vehicles that will soon be sold.
The filing revealed four versions, including two EV and two PHEV models. The Han L EV will be available in single- and dual-motor configurations. With a peak power of 580 kW (777 hp), the single-motor model packs more power than expected.
BYD’s dual-motor Han L gains an additional 230 kW (308 hp) front-mounted motor. As CnEVPost pointed out, the vehicle’s back has a “2.7S” badge, which suggests a 0 to 100 km/h (0 to 62 mph) sprint time of just 2.7 seconds.
To put that into perspective, the Tesla Model S Plaid can accelerate from 0 to 100 km in 2.1 seconds. In China, the Model S Plaid starts at RBM 814,900, or over $110,000. Speaking of Tesla, the EV leader just unveiled its highly anticipated Model Y “Juniper” refresh in China on Thursday. It starts at RMB 263,500 ($36,000).
BYD already sells the Han EV in China, starting at around RMB 200,000. However, the single front motor, with a peak power of 180 kW, is much less potent than the “L” model. The Han EV can accelerate from 0 to 100 km/h in 7.9 seconds.
At 5,050 mm long, 1,960 mm wide, and 1,505 mm tall with a wheelbase of 2,970 mm, BYD’s new Han L is roughly the size of the Model Y (4,970 mm long, 1,964 mm wide, 1,445 mm tall, wheelbase of 2,960 mm).
Other than that it will use a lithium iron phosphate (LFP) pack from BYD’s FinDreams unit, no other battery specs were revealed. Check back soon for the full rundown.
Source: CnEVPost, China MIIT
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