Responsible Corporations? Dieselgate.

Summary: ‘Dieselgate’ is the scandal that made world headlines when, in the USA in 2015, Volkswagen were discovered to have installed defeat devices in the pollution control software of their diesel cars. Although the cars conformed to emission standards in laboratory tests, on the road, in actual driving conditions, emissions were off the chart. VW were forced to buy back vehicles from American customers – resulting in ‘VW graveyards’ of new cars across the US. Compensation and fines amounted to over {dollar}20 billion. But the scandal has far more important ramifications outside the USA, where less than 2% of vehicles are diesel-powered. Diesel is a technology originating in Europe, where there are millions of cars – and the implications for air pollution are far more serious. As one campaigner says: ‘People don’t see the victims, but they’re there.’ And the fault, it seems, is not just with Volkswagen. French manufacturers PSA Group (owners of the Peugeot and Citroën brands) and Renault are also in the spotlight. Dieselgate is a sobering case study in the way corporations will cynically look to use any trick – at the expense of its customers and public health – to maintain profits and market share.