The Volkswagen emissions scandal, sometimes known as Dieselgate or Emissionsgate, began in September 2015, when the United States Environmental Protection Agency (EPA) issued a notice of violation of the Clean Air Act to German automaker Volkswagen Group. The agency had found that Volkswagen had intentionally programmed turbocharged direct injection (TDI) diesel engines to activate their emissions controls only during laboratory emissions testing, which caused the vehicles' NOx output to meet US standards during regulatory testing. However, the vehicles emitted up to 40 times more NOx in real-world driving. Volkswagen deployed this software in about 11 million cars worldwide, including 500,000 in the United States, in model years 2009 through 2015.
Background
Introduction In 2013, the International Council on Clean Transportation (ICCT) commissioned the West Virginia University Center for Alternative Fuels Engines and Emissions (WVU CAFEE) to test on-road emissions of diesel cars sold in the U.S. Researchers at WVU CAFEE, who conducted live road tests in California using a Japanese on-board emission testing system, detected additional nitrogen oxide (NOx) emissions from two out of three tested vehicles, both made by Volkswagen. In May 2014, ICCT published WVU CAFEE's findings and reported them to the California Air Resources Board (CARB) and the United States Environmental Protection Agency (EPA). In September 2015, the EPA announced that Volkswagen had violated the Clean Air Act by installing unlawful software into their diesel vehicles. Regulators in multiple countries began to investigate the automaker, and its stock price fell in value by a third in the days immediately after the news. Volkswagen Group CEO Martin Winterkorn resigned, and the head of brand development Heinz-Jakob Neusser, Audi research and development head Ulrich Hackenberg, and Porsche research and development head Wolfgang Hatz were suspended. Volkswagen announced plans in April 2016 to spend €16.2 billion (US$18.32 billion at April 2016 exchange rates) in relation to the scandal, and agreed in June 2016 to pay up to $14.7 billion to settle civil charges in the United States. In January 2017, Volkswagen pleaded guilty to criminal charges and signed an agreed Statement of Facts, which set out how the company's management asked engineers to develop the defeat devices, because its diesel models could not pass US emissions tests without them, and deliberately sought to conceal their use. In April 2017, a US federal judge ordered Volkswagen to pay a $2.8 billion criminal fine for "rigging diesel-powered vehicles to cheat on government emissions tests". Winterkorn was charged in the United States with fraud and conspiracy on 3 May 2018. As of 1 June 2020, the scandal had cost VW $33.3 billion in fines, penalties, financial settlements and buyback costs. Government and civil actions were taken in the U.S. and the European Union, where most of the affected vehicles were located. While these vehicles remained legal to drive in both regions, consumer groups and governments sought to ensure that Volkswagen had compensated affected owners, as it had been required to do in the United States. The scandal raised awareness over the higher levels of pollution emitted by all diesel-powered vehicles from a wide range of car makers, which under real-world driving conditions exceeded legal emission limits. A study conducted by ICCT and ADAC showed the biggest deviations from Volvo, Renault, Jeep, Hyundai, Citroën and Fiat, resulting in investigations opening into other diesel emissions scandals. A discussion was sparked on the topic of software-controlled machinery being generally prone to cheating, and a way out would be to open source the software for public scrutiny.
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