Volkswagen has reached an agreement, in principal, with the United States government to fix 570,000 diesel-powered cars that are fitted with a defeat device.
Owners of Volkswagen 2.0-liter diesel vehicles are being offered the choice to sell their vehicle back to the company or to have a fix implemented that will bring the cars into legal pollution limits. Those who have a VW diesel vehicle leased will be able to immediately cancel the agreement.
The agreement also includes two different compensation funds. The first is for the “substantial compensation” of affected owners, though Volkswagen has yet to give a specific dollar amount.
The second fund is for the “appropriate remediation efforts” against the excess NOx emissions that these VW vehicles put into the air. Volkswagen will also be required to dedicate funding to “green automotive technology.”
In the affected cars, Volkswagen installed a defeat device to intentionally trick emissions tests. On public roads the cars were emitting up to 40 percent more NOx than allowed.
Volkswagen issued the following statement following the hearing: “Volkswagen is committed to earning back the trust of its customers, dealers, regulators and the American public. These agreements in principle are an important step on the road to making things right. As noted today in court, customers in the United States do not need to take any action at this time.”
Negotiations over the fix for an additional 85,000 3.0-liter diesel engines, found in Audi and Porsche SUVs, is still ongoing.
The final paperwork outlining the settlement must be filed on or before June 21st, while the next preliminary court hearing will take place on July 26.
[Source: Road and Track]
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