The Hindu Business Line : Government support required, says JLR

Mumbai, Nov 24 Jaguar Land Rover (JLR), which has been in the news for seeking £1 billion from the UK Government, has confirmed that it is in the midst of an £800-million programme for developing eco-friendly technology. This is part of a four-year emission reduction project ending 2012.

JLR, now in the fold of the Tatas, did not directly confirm the Sunday Times report but maintained that Government intervention was needed to improve liquidity and investment in carbon reduction technology. The report had stated that JLR was seeking £1 billion from the UK Government.

“JLR supports both the UK and European industry position that Government intervention is required to improve liquidity in the supply chain and support continued investment in carbon reduction technology as well as stimulating consumer demand.

“The French, German, US, Australian and Chinese are all considering industry support packages,” Mr Don Hume, Director Corporate and Government Affairs, JLR, said in a press statement issued here on Monday.

“The automotive industry is facing unprecedented trading conditions as a direct fallout of the banking crisis and turbulence in financial markets and we are of course keeping Government apprised of the impact on our business. We are not going to comment on speculation on the content of confidential discussions with government,” the statement continues.

JLR has embarked on a four-year emission reduction project in the context of the European Union directive which aims at bringing down CO2 levels in all vehicles to 130-160 gm /km by 2012 and eventually to 120 gm /km by 2020.

Eco-tech

“We are in the middle of an £800-million programme for developing eco-friendly technology. Under this programme, the first vehicle with the stop-start technology, based on Land Rover Freelander platform, is being introduced in the UK market. The next stages are developing hybrid platforms, lightweight technology and greater efficiency gearboxes,” Mr Hume told Business Line over telephone from London.

On the target of 120 g CO2/km by 2020, Mr Hume said, “It is unlikely that this would be possible for manufacturers across the board. We are hoping for some flexibility from the European Union. Some of our vehicles may not meet the target though we are trying to achieve this with the Land Rover LRX which demonstrates some eco-friendly technologies.”

He added that JLR expected to achieve 20 per cent improvement on its vehicles by 2012. At present, the average CO2 emission of Land Rover is around 180 gm/km while it is 170 gm for Jaguar.