FOOL ME ONCE SHAME ON YOU; FOOL ME TWICE SHAME ON ME

VW SHAMED  TWICE SHAME FOR EMISSION CHEATING

Thus far Volkswagen AG, Audi AG and Volkswagen Group of America, Inc. and Volkswagen (VW) as a whole has gone through the mill for the EPA emissions scandal that broke on the 18 September 2015. They have suffered massive third-quarter financial losses. Legal injunctions have compelled them to recall 11 million vehicles fitted with the now notorious 2.0L TDI engine. They are obliged to repair them entirely at their own cost which could take at least two years. They had to set aside some 7 billion Euros as restitution and compensation to VAG vehicles owners whose vehicles will, as a result of the "cheat device", have  diminished performance and poorer fuel economy. They fired their heads of Research and Development and launched an internal investigation into the “rogue software engineers” responsible for fitment of "cheat device". They have even instated a new CEO, Matthias Mueller, the former  boss of Porsche to the helm, to steer them out of the arse mousse  that Volkswagen find themselves sinking into deeper day by day.

The largest Automobile manufacturer in the World.

As if this isn't enough,  US’s Environmental Protection Agency (EPA) just notified Volkswagen Aktiengesellschaft of a second breach of clean air legislation. On the 2nd  November 2015, the EPA issued them with a second notice of violation (NOV) of the Clean Air Act. This NOV alleges that VW developed and installed defeat mechanisms in model years 2014 through 2016 VW, Audi and Porsche light duty diesel vehicles equipped with 3.0 liter V6 TDI engines. The harmful nitrogen oxide (NOx) emissions produced by diesel engines fitted in the 2014 VW Touareg, the 2015 Porsche Cayenne, and the 2016 Audi A6 Quattro, A7 Quattro, A8, A8L, and Q5, appear to exceed the EPA’s standard by at least nine times. 

3.0 Liter V6 TDI Engine

In their own defence VW emphatically denied the charges of fitting the “cheat device” into its luxury brand of vehicles. However the following day  VW admitted that certain “unexplained inconsistencies” had been found during the testing process for CO2 emissions. VW added that approximately 800,000 vehicles are currently thought to be involved, most of them sold in Europe.  But some of the vehicles now involved have petrol engines, implying that the scale of the second  installment of the emission scandal could be much greater than initially assumed. 

Suddenly the “credibility” of the “rogue software engineers” argument just fades into obscurity. It is just to outlandish, flimsy and too incredulous now that Porsche and other luxury brand of vehicles are also involved. This boils down to down-right systematic manipulation and rigging of emissions test data by VW in order to gain themselves and unfair and an illegal  competitive advantage over its competitors. These latest developments just tarnished Volkswagen’s reputation and future sales even further, perhaps irreparably.  But to regain any sort of confidence and trust from both customers and investors, Volkswagen would have to make some radical changes to its management  and come clean. 

Considering that for the first time Toyota sales has overtaken that of VW.  And that Volkswagen  will forfeit all its CAFE (Corporate Average Fuel Economy)  carbon credits, and have to pay the taxation difference between the lower vehicle tax that  VW’s customers have unwittingly paid and what was actually due. Besides  getting grilled at COP 21 on the 7- 8 December 2015 for fooling the rest of the world twice.  And to add insult to injury, VW sales across all models, including petrol engines sales dropped by almost 10% since October 2015. Credit ratings agencies Moody’s and S&P have downgraded VW and three other major ratings agencies have VW on negative watch considering further downgrades. What a  deal breaker!