GEAR DISCUSSION PAPER Roadmap On Highly Automated

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EUROPEAN COMMISSIONDirectorate-General for Internal Market, Industry, Entrepreneurship and SMEsGEAR 2030 DISCUSSION PAPERRoadmap on Highly Automated vehiclesRecent developments in vehicle automation technology (e.g. automatic braking,Lane keeping systems) are moving us closer to increasingly automated vehicles. Thisdevelopment complements the parallel development of connectivity in vehicles.Automated and connected vehicles raise cross-cutting issues involving differentdepartments within the Commission and Member States. The different issues onautomated and connected vehicles mean that we will need to work closely with otherDGs (mainly DG CONECT, DG GROW, DG FISMA, DG JUST, DG MOVE, DG RTD or) ina coherent manner at EU level.This is why some stakeholders have explicitly requested to consider an EU roadmapon highly automated vehicles in the framework of the GEAR 2030 (ex-CARS 2020high level group) putting together all the automotive stakeholders (e.g. car industry,IT industry, insurers, interest groups etc) and policy makers (Ministers,Commissioners). It is important for Europe to overcome silos to be a competitiveplayer on automated and connected vehicles.This note first presents the main challenges and opportunities for highly automatedvehicles and then suggests a way forward for the GEAR 2030 roadmap.1.AUTOMATED VEHICLES: AN EVOLUTION THAT COULD MAKE A REVOLUTIONAutomated vehicles should come step by step. While the term “driverless” is oftenused, the reality is that entirely removing the need for a driver is a longer term goalfor most vehicle types (See Annex 1) as the technical challenges for fully automatedvehicles in any traffic conditions are still very high for manufacturers.The concept of “automated vehicles” is also often associated with “connectedvehicles”. However the two concepts are different. On the one hand, partiallyautomated vehicles are already available on the market and are able to sense theirenvironment without necessarily being connected to a network, a road infrastructureor to other vehicles. On the other hand, connected vehicles available on the market(internet surfing, info traffic, GPS, ecall, vehicle-to-vehicle and vehicle-toinfrastructure short-range communication, etc.) do not carry out driving tasks forthe driver (like automated vehicles). Contrary to automated vehicles, connectedvehicles do need an interoperable communication network that, depending on theapplication, can either be a dedicated network (see C-ITS platform from DG MOVE)or can use a commercially available network like the cellular communicationnetwork.All in all, the development of connected vehicles and automated vehicles will followparallel routes which will have to converge to make full use of all the potentialbenefits of fully autonomous/driverless cars (see Annex 2) and therefore need coordination.1

The impact of automated and connected vehicles could be huge. It could help todrastically reduce road fatalities as 90% of road accidents come from human error.New transport services could also be provided especially when the vehicle isprovided with connectivity in addition to automation, e.g traffic safety relatedwarnings, traffic management, car sharing, new possibilities for elderly people orimpaired people. Drivers can expect more individual comfort and convenience whichis likely to be the major motivation for upcoming automated driving. In the longterm, automation could have a revolutionary impact on travel behavior and urbandevelopment. It could also result in new business models, such as shared mobilitywhich could lead to a strong decrease of vehicles on our roads. Connected andautomated vehicles also bring new challenges for regulators concerning road safety,security, traffic law, access to data, protection of personal data, financing, etc whichneed to be adressed.The competitiveness issue shall not be forgotten. Car manufacturers are competingin a worldwide race toward vehicle automation and connectivity with newcomersfrom the IT sector (e.g. Google, Apple, Tesla). The value is being reshuffled acrossthe value chains. According to some studies, 30 to 40 per cent of the value in theautomotive value chain will pass through digital platforms, in the near future. Whilstthe market behaviour of digital platform providers is subject to the existingcompetition policy instruments, it will be important to assess in addition what rolethe EU could have in ensuring the free flow of data and undistorted access to therelevant platforms. Dependence on a reliable IT infrastructure and its maintenanceadds complexity to the value chain, and is an important issue to consider in order torealise the expected benefits of automation.2.THE GEAR 2030 ROADMAP WILL PROVIDE A COHERENT EU FRAMEWORK FORAUTOMATED VEHICLESThe work has already started on automated vehicles within the different Commissiondepartments (especially on research, data, standardisation and vehicle approval).However a coherent approach on the industrial deployment of connected andautomated vehicles is missing. This is the purpose of the GEAR 2030 roadmap. Thisroadmap should cover:a. A shared vision of increasingly automated vehicles which should comestep by step focusing first on very well defined and safe trafficconditions, e.g. automated driving on motorways with no crossroads,and including connectivity aspects as appropriate along the way (SeeAnnex 1). The shared vision should also address issues of societalacceptance early on, in an inclusive process.b. A list of actions covering:1) the review of the existing legal and policyframework for highly automated and connected driving 2) Coordinatedresearch, innovation, large scale tests and other financing tools 3)international co-operation action and competitiveness.As part of the shared vision, automation requires a broader view beyond the vehicleaspect, including the requirements for the physical and digital road infrastructure,links to connectivity aspects and traffic management and aspects linked to the roadusers, not least the road safety dimension. The societal (e.g. driver acceptance, dataissues, interaction driver/vehicle/other users, ethical issues, environmental issues,social inclusion) and economic issues (impact on economic activities) should also belooked at. The needs at European level should be identified.At this stage, no big legal obstacle can be identified in the EU legislation (see Annex2) for upcoming partially automated vehicles (‘level 3’ BAST levels). For higher levelsof automation and for car connectivity, EU legislation changes may be needed (e.g.traffic rules, connectivity, driving licence, road worthiness, liability framework, road2

signs, insurance, theft and cybersecurity, privacy and data protection, complianceassessment, etc). Existing platforms shall be used where relevant. For example itwas that relevant connectivity aspects presently being discussed by the “C-ITSplatform” will feed into the GEAR 2030 process. DG CNECTs policy areas related toconnectivity such as spectrum management, mobile broadband coverage, 5G, cybersecurity, net neutrality, roaming, are also relevant for connected and automateddriving. The Digital Single Market in particular is aiming to provide a data frameworkwhich will be relevant for connected mobility in general.A lot has been done in the past on feasibility tests on automated vehicles in labconditions and on test tracks (see Annex 3). The Commission has co-funded a largenumber of research projects in the areas of connectivity, advanced driver assistancesystems and automated driving through the multi-annual framework programmesfor research and development.It is now time to gain experience on real traffic conditions with large scale testing onEU roads. The experience from some Member States shall be used (e.g. FranceGermany, Netherlands, UK, Sweden) and test data should be exchanged. In Horizon2020 the Commission will be expanding the funding for research on connected andautomated driving. "Automated Road Transport" is seen as a key priority in theHorizon 2020 Transport Research programme with a budget of more than114 million euros (more details in Annex 3). There is a strong need for a coordinatedapproach and priority setting for funding research, demonstration and deploymentactivities at European and National levels in order to maximise synergies and avoidfragmentation between different programmes (e.g. Horizon 2020, Connecting Europefacility).Other financing tools could be mobilized such as the Junker plan, Galileo services orimportant projects of common European interest (IPCEI), etc. One of the concretepotential IPCEI projects initiated by members of the KETs High-Level Group relatesto Connected & Automated Driving1. EU GNSS (EGNOS & GALILEO) could be animportant technology component to enable both automated and connected vehicles,repeating the fruitful work done with e-Call. In particular, GNSS could significantlyassist in improving road management, which will be beneficial both in economic andenvironmental terms, but also for road safety.On international issues, a framework exists at the United Nations (UNECE). The workshall continue on vehicle approval and on traffic rules. Bilateral relations with Japanand the USA could also be used. International cooperation can also be of hugebenefit for research. There are great opportunities to use world-wide knowledge totackle the challenges of connected, automated road transport and share expertise,data and facilities. For example, the Commission intends to "twin" EU-fundedprojects with similar ones funded by the US Department of Transportation.On competiveness, we have to ensure that the international work serves the EUinterests. Also there is a need to develop our understanding on the economic andsocial impact of the rise of automated vehicles and digital platforms in the Europeanautomotive value chain. In particular, the Strategic Policy Forum on DigitalTransformation is working on a report to analyse the transformation of theautomotive value chain, the shift of value along the value-chain, new businessopportunities, the role of B2B digital industrial platforms, the uptake of big datasolutions and competition issues.To carry out the work, GEAR 2030 will need the support of a dedicated workinggroup on automated vehicles. Some detailed discussion will be needed and it is notpossible to tackle all the issues above in the High level group. It is also the intention13Final report 'KETs: Time to Act', High-Level Group on Key Enabling Technologies, June 2015, p.63

of the Commission services to rely on existing frameworks (e.g. UNECE, C-ITSplatform) for some of the issues.4

Annex 1: Level of Automation - Timeline for automated /connected vehiclesBast/VDA classification:ACC: Automatic Cruise controlFCW: Forward collision warningLDW: Lane departure warningLKA: Line keeping assist5

ConnectedTimelines for automated /connected vehicles (source: NetherlandsFully automated6

Annex 2: Preliminary review of the EU legislationThis preliminary review of the EU legislation is based the review carried out by theUK for the testing of autonomous vehicles in the UK and published on 11 system/uploads/attachment he main elements (adpated to the EU context) are as follows:I -LARGE SCALE TESTING OF HIGHLY AUTOMATED VEHICLES:The applicable legislation is mainly national (traffic rules). Derogations to the‘normal’ traffic rules are generally possible. The 1968 Vienna convention oninternational traffic applied by most EU Member States allows to have specificnational rules. In most of the cases a trained test driver will be required to monitorthe operations (as it was the case for the ‘Google car’ in the US) as well as an eventdata recorder.II- UPCOMING INCREASINGLY AUTOMATED VEHICLESRoad safety, traffic rules, driver behaviour and other users, driving licence,Legislation:National traffic rules1968 Vienna Convention on international road traffic (Member states)Directive 2006/126/EC on driving licence (DG MOVE)In most of the Member States, the driver behaviour is covered by traffic rules, civiland criminal law, in particular for ensuring road safety. Generally road users owe aduty of care to other road users and will be liable in negligence if breach of that dutycauses damage. The current law is based on the assumption that when a vehicle isused on the roads there is a natural person who is the driver of that vehicle.Therefore as long as a driver is present in the car, he will be considered responsiblefor the safe operation of the test vehicle whilst on public roads. The traffic rules ofMember States will need to be updated in due course to take into account the use ofhighly automated vehicles on the roads. It may be necessary to wait until experiencehas been gained with these vehicles and possibly research has been conducted intothe interactions between such vehicles and other road users.The 1968 Vienna Convention on Road Traffic as well as it predecessor the 1949Geneva Convention on Road Traffic are international treaties designed to facilitateinternational road traffic and enhance road safety. The convention sets minimumstandards that shall be recognized recognised by all the Contracting Parties forinternational traffic: common principles for traffic rules, distinguishing sign of thestate of registration (country codes), recognition of the technical conditions forvehicles, recognition of driving licences. The main obligation is to accept foreigndrivers/vehicles which are in conformity with the convention. The Convention doesnot prevent Contracting parties to test fully automated vehicles through specificnational traffic rules. In addition, the Vienna Convention was recently amended toallow the international traffic of partially automated vehicles (a similar amendmentto the Geneva Convention is being prepared). The discussion on further amendmentsto remove obstacles to fully automated vehicles is on-going.Automation technology is intended to partially or completely replace the driver; thishas created a new situation, where the requirements for car automation systemsoverlap with the rules for driver behaviour. Close coordination is therefore neededbetween the work on the two, until now separate domains, of road traffic legislation:the vehicle and the driver.7

Directive 2006/126/EC sets out minimum requirements for driving licences and issupplemented by national legisaltion. This framework does not prevent newautomated systems to come into the market. However, it will be important to ensuredrivers have an understanding of the limitations of automated vehicles and thesituations in which they may need to take back control of the car. The scenario inwhich automated vehicles are interacting with conventional cars does not, at firstglance, raise any additional competence requirements for their drivers. It seemsreasonable to assume that automated systems will be optimised to reactappropriately to other vehicles.For automated vehicles to be used in freight or passenger transport, it could alsobecome necessary to update Directive 2003/59/EC on training and initialqualifications of professional drivers.Insurance, liability and defectsLegislation:Directive 2009/103/EC (‘Motor Insurance Directive’ -DG FISMA) andnational rulesProduct Liability Directive 85/374/EEC (DG GROW) and national rulesDirective 2009/103/EC obliges the use of all vehicles in the EU to be insured againstthird party liability and sets minimum thresholds for personal injury and propertydamage cover. In the case of highly automated vehicles being operatedautonomously, the question arises whether a compulsory insurance coverrequirement on manufacturers for their liabilities would be needed.Product liability is covered by Directive 85/374/EEC and national rules. It isanticipated that at least in the short run the legal position for liability in relation tofeatures on vehicles which incorporate higher levels of automation would not besignificantly different to those presently assisting the driver. In case of accident,each of the parties involved (manufacturer, driver, etc) may be found to be civilly(or in some cases criminally) liable to a greater or lesser extent depending on theexact circumstances of the situation. A judge would assess whether each party isliable in law and the extent to which their fault had contributed to the loss. He willhave to consider the criteria for determining liability. Due to the number ofparticipants there is also the question whether each individual is liable or whetherthere should be a kind of joint liability, perhaps depending on contributions to therisk which materialised in the damage. Other questions relate to the reason and legalnature of liability: Can there be at all a somehow fault-based liability approach ifactions are determined by software and algorithms? Should liability be based on aprinciple that somebody running an autonomous system has created a risk andshould therefore be liable for possible damage when this risk has materialised?Should liability be strict? Should there be caps or the possibility to take into accountexternal factors? Should liability be coupled with a - possibly mandatory - insurancesolution? As an answer to these questions, there is a strong case for event recorders(‘black boxes’) to establish the exact circumstances and liabilities in case of anaccident. Devices that would be fitted to the vehicle during production would fallunder the European type approval system.Questions about liability become even more pertinent for completely autonomoussystems like self-driving cars. It is worth noting that the Commission's Digital SingleMarket strategy recognises the importance of clarifying liability issues for the roll-outof Internet of Things (IoT) which is relevant in the context of connected and evenmore automated cars2. Liability and compensation issues concerning the processing28There is a need to clarify liability issues in the context of IoT, in particular extra-contractual liability.For example in case of bodily injury, death, damage to property and other type of losses, identifyingthe primary cause of the damage, establishing the causation link and finally establishing the liabilitybetween various participants in the IoT ecosystem (i.e. between product manufacturers, sensor

of personal data are provided for in the EU Data Protection Directive 95/46/EC 3 andfurther detailed in the proposed General Data Protection Regulation4. Further, to thisthe Commission committed to launch in 2016 a Free flow of data initiative (FFD) toaddress inter alia liability issues in relation to IoT technologies together withemerging issues of non-personal 'data ownership', interoperability, (re)usability andaccess to data, with a view to remove possible barriers that prevent the free flow ofdata in the Member States5. In this context DG JUST will launch a major study incooperation with DG CNECT and DG GROW to analyse emerging issues linked to FFD,in particular possible restrictions also stemming from contractual arrangements, andalso to carry out an analysis of various legal issues arising in the context of the IoT(e.g. non-contractual and contractual liability, contract law implications relating tomachine-to-machine-to contracts, etc.). The data gathered from the study will feedinto the FFD initiative, scheduled for Q3 2016.Whilst the question of legal liability for defects may remain as it is currently at leastfor the short run, the question of what legally constitutes a ‘defect’ in a vehicle maybe much more difficult to resolve due to the increasingly complexity of automatedvehicles. As automated vehicles gain market share, issues concerning liability anddefects may need to be monitored to ensure that existing legislation is workingcorrectly to protect consumers and the general public.Vehicle approval legisla

EUROPEAN COMMISSION Directorate-General for Internal Market, Industry, Entrepreneurship and SMEs 1 GEAR 2030 DISCUSSION PAPER Roadmap on Highly Automated vehicles Recent developments in vehicle automation technology (e.g. automatic braking, . automated driving. "Automated Road

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