The two year programme called ‘Efficient-C’ has produced a hybrid diesel engine which emits 99g/km of carbon dioxide and can do 75mpg (in a Citroen Berlingo Multispace).
The engine meets the Department for Transport’s Ultra Low Carbon Car Challenge.
Dave Greenwood, Ricardo chief engineer and Efficient-C project leader, said: “The Efficient-C project has highlighted a range of future technologies which are capable of delivering ultra-low CO2 levels without compromising vehicle function and performance.”
Alain Klein, director of hybrid vehicles development at PSA Peugeot Citroen, said: “We are delighted with the results from this research project which demonstrates the potential for a step change in CO2 emissions reduction with a diesel parallel hybrid.
"The challenge now is for the motor industry and its suppliers to achieve the cost reductions required for the mass production of diesel hybrids to be considered.”