Unpacking Stellantis’s allocation scheme and why.

[BOHICA]

Interesting read but it looks like they are paying the price for past decisions…

 

https://cleantechnica.com/2023/06/20/unpacking-the-stellantis-no-ice-for-you-story/

 Apparently, Stellantis notified its dealers in April that CARB states are enforcing tougher greenhouse gas standards retroactively to the 2021 model year. Those standards are separate from the zero emission sales minimums that begin in 2026. Stellantis told Automotive News it changed how internal combustion and plug-in inventory is allocated because the company is not part of the 2020 agreement that CARB reached with five automakers that applies to the 2021–2026 model years.

 

Shortly after Stellantis was formed in January 2021, it asked officials in California about joining that group but was told new members were not to be accepted. The automakers that signed the framework — Ford, BMW, Honda, Volkswagen, and Volvo — are allowed to meet the standards with their nationwide average, while Stellantis and others must do so with just the vehicles sold in CARB states.

Skullduggery In High Places

Readers may recall that at that time, the federal government was under the influence of an avowed climate denier who installed a cabal of fossil fuel loving chimpanzees at the EPA. Their mission was to work tirelessly to torpedo California’s long-standing ability to set its own emissions standards. The other major US automaker, whose initials are GM, strongly supported the move to punish California (no, Mary Barra, we haven’t forgotten your company’s treachery), and Chrysler, before it became part of Stellantis, was also inclined to support the attack on CARB. So, it’s little wonder that when Stellantis came knocking, it found the door to the clubhouse was closed and locked.

 

The Takeaway

The bottom line here is that while Stellantis may be peering into the future and trying to anticipate how the CARB rules will operate in the years to come, what the company is really concerned about is the penalties it will be hit with if it does not comply with the CARB rules today, not tomorrow. It can’t spread its exposure over all 50 states the way Ford, BMW, Honda, Volkswagen, and Volvo can, and so it must sell more cars that meet the CARB rules in those 14 CARB states. The part that is most galling is the money Stellantis loses goes right into the pockets of Tesla and Rivian, who have CARB credits to sell because none of the vehicles they manufacture have infernal combustion engines.