Automakers Agreement to Reduce GHG EmissionsOn April 5, 2005, the Government of Canada and the Canadian automotive industry signed a major agreement on climate change. Under this Memorandum of Understanding (MOU), the Canadian automotive industry will take actions to voluntarily reduce greenhouse gas (GHG) emissions of new vehicles in Canada so that by 2010, annual emissions reductions will reach 5.3 megatonnes (Mt). Details of the MOUThis agreement calls on the automotive industry to cut GHG emissions from light-duty vehicles (cars, minivans, sport utility vehicles and pick-up trucks) so that by 2010, annual emissions reductions will reach 5.3 Mt. While carbon dioxide (CO2) is the primary GHG produced from fossil fuel use in vehicles, this MOU recognizes that vehicles also produce several other greenhouse gases, such as methane, nitrous oxide and hydrofluorocarbons. This agreement targets all of these gases, which are smaller in quantity than CO2 but are more potent in terms of climate change. This approach allows the industry to use the most appropriate and cost-effective means to reduce GHG emissions associated with vehicle use. To meet this reduction target, the automotive industry has committed to significantly reduce GHG emissions from vehicles through the introduction of advanced technologies. While the MOU is in effect until 2010, the introduction of the enhanced technologies it would foster will lead to growing reductions in greenhouse gas emissions after 2010 as new vehicles replace older ones in the vehicle stock. April 2005 News Release Memorandum of Understanding Joint Government/Industry Monitoring CommitteeA key part of this agreement is the establishment of a joint government/industry committee (known as the Joint GHG MOU Committee) to track and report on progress to the target. The Committee consists of eight members in total, with four representatives each from government and industry and its work is primarily technical in nature. Information on the work of the committee, including progress updates and reports, will be available to the public as it is released. As provided in the MOU, the Committee was formed in June 2005, within 60 days from signing the MOU. The Committee also tabled a Terms of Reference and Operational Plan in early October 2005, as stipulated in the MOU. Communications and DeliverablesThe Communications Plan includes key deliverables, including the release of updates and reports to ensure clear communication to the public on the progress of the MOU and the activities of the Joint GHG MOU Committee. Key Deliverables
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