'Dieselgate' trial opens in Germany without ex-VW boss
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Like, at a community level, the average German citizen takes it upon themselves to speak out when they feel anyone is acting anti-socially. Which I admire!
But then Dieselgate, the Wirecard scandal, and a bunch of other non-nonsensical activities (immense coal energy industry, buying gas from Russia and general lack of large scale green policy) just seem so far removed from the Germany I know.
I really don't understand how something like Dieselgate can happen at the scale that it did. And Wirecard too - with BaFin even stepping in to harass the investigative journalists from the FT.
Is there something I am missing here?
Also, since 2008 the point is mostly moot. See Bad Banks.
And there we have politics. Let them crash and burn, or try for another turn, in the game of boom and bust?
What is to earn, who is to trust?
Nobody knows anymore. It's all yearn and lore.
We party of Merkel is great for "stability". But this stability also means everything bad will stay bad and stuff like policing lobbyism is not a priority for those politicians, because they are good enough to hide it and profit from it so much, that they don't want it to change at all. Worse, we even have one party FDP which is really small, but openly pushes against policing lobbyism and they are the second or third largest benefactor of huge lobby donations.
The powerful want to stay powerful. If you ask the normal citizen they would want things to change at least to make everything more right.
The third point is also quite critical. The biggest industry in Germany is car manufacturing. And because of this every change here might disrupt millions of people, potential voters, and harm the industry. The reason germany did not come up with a great Tesla competitor or even Tesla itself is because of that. Everything moves so slow in these companies, they depend on so many other companies to get you some part of your car and then in the end assemble it all, that any change will disrupt too much and gets killed before it can bud.
In both countries there is a marked willingness to do the right thing, but I'm struggling to remember corruption anywhere close to the size of what goes on there.
That being said, in fact in Germany, pedestrians cross an empty road at night on a red light fairly regularly. Or they just cross at random place, not through the pedestrian crossing despite that one being fairly close and being red. I have seen that both. And I have done both, no one told me anything.
"Well obviously they cared about losing their job, we need strong worker protections and unions."
"We just need a culture of calling people out on anti-social behavior, whether or not that specific transgression is already codified."
"We need strong regulations that penalize corner cutting."
But ... Germany is really good on all those points! So, if this kind of thing slips through there...
The individual low level employees are about as culpable for the emissions cheating as the muscle cells of a serial killer are for murdering someone. They hold no meaningful decision making power within the organization and operate according to the local incentive structure. The executives responsible for shaping the incentive structure are the ones who should be individually penalized. Market forces would help with this if illegal practices were appropriately costly.
The SW is done and millions of vehicles have the feature. Don't count on other engineer to spot the cheat because everyone has a specific area of expertise, and the software is closely related to the engine hardware. It is very difficult to understand the purpose of each piece of code.
Remember that at that time, noone was ever tried for cheating the exhaust norms and the compliance team only cared about financial fraud.
Yes: the fact that many other automakers all over the world were caught as well, but you only remember VW. And my guess is that for the ones that weren't caught it was just that: they weren't caught.
Basically, European politicians had created every tighter fuel and emissions standards that really couldn't be met (the leaner you burn the more NOx and other nasties, if you want to burn cleaner, you need a richer mixture). So enforcement of those standards was "wink wink, nudge, nudge", and everyone was in on it.
Except the pesky Americans.
Buying gas from Russia is sensible, see "Ostpolitik".
https://en.wikipedia.org/wiki/Ostpolitik
Phasing out nuclear and increasing coal is just nuts. Nuclear should, if anything, be expanded, but it's the third rail of German politics. The populace has been so brainwashed on this topic that logic just doesn't apply. Kinda like guns in the US.
The financial class in most countries sees itself as above the law. Cumex was worse in many ways, but what the banks have been doing in the US, Japan or the UK is hardly better. In fact, the US legal system officially declined to pursue HSBC's brazen money laundering, because going after the bank might lead to financial instability. Carte Blanche. And don't get me started on Goldman Sachs.
Heck, the moneyed classes in the UK took the country out of the EU, never mind the enormous economic, social and political damage, in order to avoid EU transparency laws.
VW wasn't the only having tweaked emissions, VW was the only one having clearly cheated. that's why they are remembered for it.
People always rely on some governmental authority. When it affects them, that is. Otherwise, no one gives a shit about anything.
It is also custom here to voice one's opinion in extreme precision or detail. "Hinterfragen" question things, criticise, always down to the details. Not in an emotional way but very in a very matter-of-fact sense.
So think of it from the perspective of "if the rule is that you don't cross on red, then why are you crossing on red? It's against the rule". It's not personal at all.
As long as you pay your taxes you're free to do whatever you want.
No one will help you, no one will get in your way.
The occasional cranky old guy calling the cops on a party is not representative of the whole society.
I'd make the argument that in these countries there are fewer of these incidents and that they become public at a higher rate, and that the public shame is greater than in countries like the US where we know it happens but there will never be any actual public dialog, let alone recourse. Mental exercise: If either of those scandals had happened in the US, what would have been the outcome? For comparison, notice the way that Monsanto managed to export their "trouble" over glyphosate to Bayer, where it escalated into a scandal.
It's like in Saudi Arabia, where of course nobody drinks alcohol, it's haram! But then the sheikhs have the craziest parties with hookers and 10k usd champagne etc.
No national government was interested in rigorously enforcing the regulations to the detriment of their own nation's industry.
This is a core issue with the political structure of the EU in general, and isn't even specific to cars.
The same for indicating lane changes, or turning of wheeled traffic.
With the exception of a few so called hidden champions german engineering is a myth now.
It can't be any different, because shareholder value and time to market rules,
the prekariat has neither time nor ability for deep thought,
which isn't tought anymore, or not as it once has been.
It's mostly all superficial pretense now.
Learning to forget, only to get some paper which says so.
But we can be fantastic fanboiz!
Cheers! :-)
edit: make that something like 80/20 or 90/10, or anything in between.
edit: also regional variations, as always, but the trend is there.
Everywhere.
So-called 'tech' is just as bad. A defeat device is so similar to the everyday silicon valley attitude it's hard to believe it didn't originate there. Move fast and break things? Building companies based on massive amounts of user data, then complaining you can't feasibly do manual content review? We can't build a society based on the assumption that engineers will act in the public's best interest.
As a tangent, VW was part of group of German manufacturers colluding in limiting Adblue tank capacity (I'd have too look up details). in order to maximize revenue, they also extended the refill periods to match inspection intervals. Basically so the OEMs could sell dirt chepa Adblue to customers. Now the smaller tanks were insufficient to treat emissions on the road without being refilled between inspections. Instead of mounting bigger tanks, VW decided, apparently, to just turn the system of while on the road. Clearly illegal because test cycle recognition is illegal. As opposed to using technical loop holes when road operations are concerned.
Under all other operating modes, the Adblue dosage was reduced to almost zero. That is clearly illegal. In addition to that, VW did some other stuff especially for the US market to meet California's emission requirements.
What everyone else did was playing with temperature windows, under all operating conditions to reduce Adblue and optimizing for other things. Not ullegla per-se, as these windows kinda used to be legal, but definitely violating the spirit of regulations. Some manufacturers exaggerated more than others. But only VW cheated as clearly, as bluntly, as long and at as large a scale. No amount of VW PR can change that.
"Supplier’s Role Shows Breadth of VW’s Deceit" https://www.nytimes.com/2017/02/01/business/bosch-vw-diesel-...
Not that it makes the cheating any less illegal, but I’m interested in the source of your analysis and why it differs from the model in the FR and the disassembly performed by that research group.
VW was the only one I know that was forced to tweak engine performance. IMHO the goal was optimize weight and cost, and engine design. Only VW seemed to have gone far enough to design engines that were technically barely, if at all, able to comply with emission requirements. So they resorted to cheating. Once that worked, it escalated to the point 11 million cars were affected. Kind a stupid if you ask me.
For emissions the only solution is in-situ testing over real-world operating conditions over a period of time. In other words real-user-testing of the vehicle as it will be used.
This would stop all such games immediately.
How much would this exacerbate / accelerate the challenges car companies face in complying with governmental MPG requirements?
If you’re not going to trust engineers, who are you going to place your trust in? Business men? Lawyers? Bureaucrats? Politicians?
If we’re looking at engineers as multi variable function optimizers, You’ll find that the field will be automated away in short order. And that will be one less group to trust.
Fact is, at any level, everyone has an assumption of trust for society. There are of course consequences to violating that trust. But then smart people find ways to insulate themselves from this consequences.
Regardless, the problems you speak of exist regardless of what professions exist. The real problem is how do you align incentives to align for better outcomes, and that is a hard problem to solve.
"The exhaust emissions scandal („Dieselgate“)"
https://media.ccc.de/v/32c3-7331-the_exhaust_emissions_scand...
Is there something I am missing?
"In this paper, we described two families of defeat devices used in the Bosch EDC17 ECU to circumvent US emission tests. The first family of defeat devices was used by Volkswagen and lies at the heart of the Volkswagen diesel emissions scandal. The second device appears in the diesel Fiat 500X automobile sold in Europe, and has not beed documented previously."
What I found fairly frustrating was seeing this angle only limited to VW (even when it became clear that many makers acted similarly) - but it also felt like a weird angle in general. Should we calculate deaths by pollution in general and treat them as murder? It would be an interesting reminder on what our technological society is built.
[1] https://en.wikipedia.org/wiki/Volkswagen_emissions_scandal#D...
[2] https://phys.org/news/2017-09-dieselgate-deaths-europe-year....
If a local government enacted a law for factories that they should all have fire sprinklers installed, to save x number of lives per year.
Then the a factory operator decides to pretend they installed sprinklers, but did not.
Shouldn't they be culpable for excess death?
I think it's similar here - the EU mandated a safety measure (a certain limit on NOx and particles), the car companies merely pretended to comply.
It sounds like a can of worms you definitely do not want to open. It's probably uncomputable. Sure, pollution may directly decrease people's life span. But having private cars, ambulances and helicopters being able to transfer people to specialized hospitals in emergencies directly saves lives. So does a generator providing emergency power for said hospital. Then there are n-th order effects of how our fossil-fuel-based civilization impact peoples' health and lifespans. It's likely impossible in practice to meaningfully untie all those interdependencies in order to put a meaningful body count on diesel engines. It's prohibitive to even do this on the margin.
On the other hand, a clear fact remains: diesel emissions are bad for peoples' health, and an engine that pollutes more is worse than one that pollutes less. It's an externality, just one that's hard to price on the margin.
So perhaps we should sidestep the problem and price in the externality in bulk. To the extent that a given type of pollution, in aggregate, causes health problems, we should tax it in proportion and funnel the funds into public healthcare.
Personally, both approaches suck, but only is most likely illegal. What pisses me of even more is the fact that VW waited, and German authorities with them, until VWs gray eminence Ferdinand Piech died. only to avoid asking how much he knew...
Always some out of touch chodes getting paid six figures to work from home telling the rest they should be taxed more for using a car or something stupid.
Side effects: cheaper ways of cleaning up pollution, and people making less pollution so their stuff is cheaper
Anything else is just cheating
Why not? If they all have to pay the same tax, they'll all start charging more. Same way they do if the price of pipe or lumber or gas goes up.
- Living in a high tax country
The rich always make sure they never pay for anything. That’s why they’re rich.
Should we treat them all as murder --- no. For the time being this would classify everyone as a murderer, so it's impractical.
Should we treat intentionally illegal pollution as murder --- yes.
How did we turn this health issue into a business one?
It also staggers me that a company can afford to pay $30B in fines and costs. Do you think the ATM can fit their bank balance on the screen (perhaps it can now!)
I'd btw. put blame also on introducing tax incentives for diesel cars in the first place. Without those this wouldn't have happened. And those were to prevent tax arbitrage between European countries :/.
[1] https://www.econstor.eu/bitstream/10419/200596/1/1668020459....
I don't think the VW Rabbit was actually a higher quality car in terms of reliability than the Ford Escort, and both were light years behind the Toyota Corolla.
I think different countries acquired their own stereotypes early in the industrial age: German perfectionism, Swiss precision, Italian style, American ingenuity, etc. Those ideas continue to be marketed after they have ceased to be relevant, at least to the original degree.
And granted, I know nothing about luxury / sports cars.
In germany it's not possible to have a criminal prosecution against a company. It's only possible to do it against the individual persons in that company who acted criminally.
Pretty stupid imho and one of the few things I'm jealous about the US.
It's also the reason why VW had to pay a huge fine in the US but not in Germany.
Actually germany can't do shit about it. They can only try to punish some employees IF they can prove they are guilty....
The former as a corrective action to help unwind any advantage gained in the market due to the illegal activity. This means, though, that fines need to actually claw back the ill gotten gains, not the small fraction they represent today. Right now, the fines are just another expense, assuming the company even gets caught.
Prosecuting the company properly might also ensure some measure of justice in cases where specific individuals' guilt is obscured by corporate structure and systems (intentionally or otherwise).
Prosecuting individuals who break the law in service of their employer (executive or not) isn't much different than prosecuting soldiers who commit war crimes -- obviously different in degree, but not in kind.
"I was just following orders" shouldn't be an acceptable defense in either case, though coercion and fear of reprisal should certainly be taken into account.
A stark difference between the EU and the US is that European companies have a harder time claiming their product is safe when it really isn't. For example, lead paint was banned in European countries long before the US.
VW had to pay 1 billion euro in germany.
Maybe that's not enough, but it definately is not the case that companies are not persecuted in any way at all in Germany.
I think this issue comes up all the time with individuals either being negligent or just plain incompetent and then when it all screws up, they just blame the previous management and move onto another similar job in another company. At what point is the individual liable and what point is it "tough luck VW, you have to pay for that crook of a CEO you employed"
It wasn't that long ago that I charged my Nissan Leaf at an Electrify America charger, paid for by VW, and VW seems to be moving forward with their electrification efforts. I'm not saying all is forgiven, but I'm ready to move on. If they actually release that Buzz electric van, we'll likely stand in line to buy one.
I normally avoid national stereotypes but these have been my experiences. Wirecard makes the EU diesel regulatory whipsawing of VW and other european firms such as Jaguar small beer though- fraud on a huge scale arguably largely enabled by EY...
Criminal law in Sweden allows both - if no specific reason exist for a psych evaluation of the accused, the person is assumed sane. That's the basic assumption.
If the person doesn't show up, a trial is often postponed once or so, but ultimately, if the accused doesn't show up, the trial can be held anyway if it is considered to be performed satisfactorily despite the absence.
That to me sounds like a good default.
To be more precise: it's possible to do a trial in absentia, but only if the maximum sentence is a financial penalty, reprimand, loss of driver's license and so on. Paragraph 232 Criminal Procedure Code (StPO).
According to the court's press statement[4] (in German) they decided that the plaintiff is not fit for trial but did not culpably cause this unfitness. The court decided to separate the trial and postponing it until the the plaintiff recovers. They explicitly did so to no longer postpone the trial against the other plaintiffs indefinitely.
[1]: https://www.gesetze-im-internet.de/englisch_stpo/englisch_st... [2]: https://www.gesetze-im-internet.de/englisch_stpo/englisch_st... [3]: https://www.gesetze-im-internet.de/englisch_stpo/englisch_st... [4]: https://www.gesetze-im-internet.de/englisch_stpo/englisch_st...
Edit: Actually, I can't say for sure whether he is insane or not.
I'm wondering why their engineers still agree to work for a company that actively conspires towards poisoning their children.
We're not talking about figures that were almost legal here, which maybe could justify a lab test, they were pumping out many times the amount that was allowed.
If someone is 50kg overweight we don't need a special procedure with a sensitive scale to decide that.
Unfortunately, this wouldn't work very well as a certification test, as it would require standardization. But, as a failsafe in addition to a standardized test plan, I think this would be great - basically "we'll give you the procedural test you know and love, and we'll drive 100 normal road miles with more lenient thresholds in place. Fail either and you don't get a certification."
Any remediation from Dieselgate that doesn't include structural changes like improved testing means the auto industry has won.
I'm not sure anything will come of that because I find the idea of a doctor cooperating with such a scheme rather farfetched, but in the case of Weinstein it probably shouldn't be ruled out a-priori.
Lord knows what sort of magic they stick into 'Energy Star' appliances.
I had a phase a few years back where I monitored all my appliances and office stuff to see how much solar I needed and I found the energy star ratings to be more or less correct with my appliances except for my moms Samsung stove
It doesn't, as long as the car still has tires and brakes.
>hydrogen cars are only half as efficient. If an electric car converts 86% of the energy originally harnessed by a wind turbine into moving the vehicle forward, the hydrogen car has access to only about 45%.
Source: https://www.bloomberg.com/opinion/articles/2020-11-09/how-hy...
Energy generation is the main source of pollution for an EV over its whole lifetime. So, an FCEV is far worse than EV (however you produce your hydrogen).