Groupe Renault - 2020 Universal Registration Document

117 GROUPE RENAULT I UNIVERSAL REGISTRATION DOCUMENT 2020 01 REGULATORY ENVIRONMENT GROUPE RENAULT GROUPE RENAULT: A COMPANY THAT ACTS RESPONSIBLY CORPORATE GOVERNANCE FINANCIAL STATEMENTS RENAULT AND ITS SHAREHOLDERS ANNUAL GENERAL MEETING OF RENAULT ON APRIL 23, 2021 ADDITIONAL INFORMATION Cybersecurity 1.6.1.3.3 Regulation 661/2009 also introduced vehicle cybersecurity requirements (all categories) through the adoption of the new Geneva regulation that governs this area. These requirements will become effective in July 2022 for newly approved vehicles and in July 2024 for all newly registered vehicles in the European Union. These new provisions require manufacturers to put in place a very well structured Cyber Security Management System to ensure traceability and transparency for all decisions and approvals in respect of the inspection authorities and require incorporation in vehicles of state-of-the-art technical solutions to limit cyber risks as soon as these are designed. Various countries, such as Japan, South Korea, Turkey and Israel, will adopt similar requirements with the same timelines. Autonomous and/or connected 1.6.1.3.4 vehicles Although not a compulsory feature, regulations for vehicles with driverless operation services should, in the initial stages, cover systems that help drivers to stay in lane, to drive in congested traffic and on highways (Advanced Lane Keeping Systems). Extensions to more ambitious use cases should become reality by 2030. "Driverless" vehicles are a special case that will undoubtedly be handled through testing carried out at the national level, and authorizations issued locally, for public transport and other uses. In parallel, the rules of the road would gradually have to be changed in order to authorize the use of these autonomous driving systems. Thus, the amendment of the Vienna Convention on Road Traffic, which was adopted in 2020 and will be formalized in 2021, paves the way for these developments. Connectivity is also a special case, insofar as it calls on a number of players outside the automotive sector. Prohibited substances and materials and 1.6.1.4 recycling The so-called "substances" regulation governs the registration of all substances and materials present in vehicles and sets out prohibitions and limitations of these substances and materials, with monitoring of each vehicle to avoid distribution on the market of harmful or prohibited products and facilitate recycling of end-of-life vehicles and their batteries. Global guidelines on regulatory substances and recycling are mainly set by the European Union. They include the European regulations REACH, POP (persistent organic pollutants), and biocidal products for substances, the F-GAS regulation and the Air Conditioning Systems Directive on greenhouse gas emissions for air conditioning system fluids, and the ELV and recyclability directives on end-of-life treatment of vehicles and recycling (minimum recyclability and recovery quotas and limits on certain substances or prohibition of certain hazardous materials in recycled materials), as well as the introduction of environmental performance obligations over the entire life cycle of vehicles. The European Commission’s Green Deal will prompt many changes to vehicle design in the coming five to 10 years. These changes are expected to result in a sharp increase in the number of banned substances, the extension of end-of-life treatment to large commercial vehicles, with requirements on the recycled plastic content of vehicles and stricter requirements for the performance, durability and recyclability of batteries, together with ethical rules on sourcing and, as for vehicles, requirements on the recycled content of batteries. Other countries such as China, Korea, and Japan could also adopt specific requirements for the emissions of materials present in vehicles to guarantee passenger cabin air quality. Stronger oversight 1.6.1.5 The unique legal environment in European Union Member States shows a general trend toward more stringent requirements and oversight of them by regulatory authorities, whether through stricter monitoring of approval tests, maintaining the performance of vehicles throughout their life via engine compliance inspections, maintaining the general condition of the rolling vehicle population via reinforced technical controls, enhanced verification of the compliance of production (COP) and monitoring the compliance of new vehicles put on the market. For example, through the new EU Regulation 2018/858, the European Union has decided to implement market oversight from September 2020 that consists of requiring each Member State of the European Union to conduct vehicle compliance inspections that include performance of approval tests on a sample of vehicles representative of their national market. Another purpose of market oversight is the monitoring of the functioning of technical services and approval authorities in each European Union Member State to detect and correct malfunctions in the European approval system.