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The Australian Government under Anthony Albanese will implement a compulsory limit on cars’ pollution.


How Anthony Albanese’s government wants to change the car you drive forever: pollution cap tightened to boost electric vehicle adoption

  • Australia will introduce a fuel efficiency standard
  • It placed a limit on pollution from petrol and diesel vehicles
  • It is likely to boost sales of electric and low-emission cars

Australian drivers are expected to see more electric cars flood into the country after the federal government pledged to introduce a policy forcing automakers to launch more of their greenest vehicles locally.

A new fuel efficiency standard will limit pollution from gasoline and diesel vehicles and will encourage imports of more zero- and low-emission cars that the government estimates could save motorists $519 in annual fuel costs.

A draft of the policy is expected by the end of the year, following consultations with industry and civil society groups.

Energy Secretary Chris Bowen and Transport Secretary Catherine King announced the pledge on Wednesday as part of the government’s response to the National Strategy for Electric Vehicles, which attracted more than 500 submissions last year.

Mr Bowen said Australia’s lack of a fuel efficiency standard meant fewer electric cars had been put on the market in Australia and that cars in the country used an average of 40 per cent more fuel than in Europe, 20 per cent more than in the US, and 15 percent more fuel than in Europe. percent more than New Zealand cars.

The Albanian government will set a new fuel efficiency standard by the end of this year to limit pollution from petrol and diesel vehicles (pictured, Prime Minister Anthony Albanese)

“This strategy delivers on our promise to give Australians more choice to drive cars that are cleaner and cheaper to drive,” said Mr Bowen.

“Fuel efficiency standards are an important step forward for our country.”

The limit on vehicle CO2 emissions only applies to new vehicles and does not affect cars already on Australian roads.

Australia is one of only four wealthy countries with no fuel efficiency standard alongside Russia, Turkey and Indonesia.

Ms King said introducing the policy in Australia would help the local car market catch up with progress in the rest of the world.

“It will send a strong signal to the global automotive industry that when it comes to transportation technology, Australia will no longer settle for less,” said Ms King.

More than 85 percent of all cars sold in the world are subject to fuel efficiency standards. It’s time Australians got the same choice.’

Electric vehicles accounted for 3.8 percent of all new car sales in Australia by 2022, compared to 23 percent of car sales in Europe and 29 percent in China, according to research firm Canalys.

Lindsay Soutar, senior campaigner for Greenpeace Australia, said the group welcomed the government’s commitment to a fuel economy standard but warned it would “have to withstand pressure from car manufacturers” in setting the policy’s emissions cap .

The upcoming pollution limit is likely to increase sales of electric (above) and low-emission vehicles in Australia

The upcoming pollution limit is likely to increase sales of electric (above) and low-emission vehicles in Australia

“From here on, the task will be to implement strong standards in line with major markets such as New Zealand and the (European Union), avoiding dodgy loopholes and credits that weaken the integrity of the scheme,” she said.

“Government should look after Australian households and the climate, not big car manufacturers.”

Tony Weber, CEO of the Federal Chamber of Automotive Industries representing 68 car brands, said the group supported the introduction of a fuel efficiency standard for ‘light vehicles’.

“Australia needs an ambitious but achievable fuel efficiency standard so that carmakers can compete for the limited amount of zero- and low-emission products currently available on the global market,” he said.


Does Australia need new rules to limit car pollution and supply more electric vehicles?

It was the question at the center of the federal government’s National Electric Vehicle Strategy consultation and the answer, according to 212 group submissions, was an overwhelming “yes.”

More than seven in ten organizations supported a fuel efficiency standard in Australia and none opposed it.

On Wednesday, the federal government committed to introducing the standard in Australia, with a draft to be drawn up by the end of the year.

But what is this policy, what could it do, and what have similar rules achieved abroad?

Simply put, a fuel efficiency standard sets a limit on the average pollution from a car manufacturer’s fleet.

According to this policy, car brands should balance sales of highly polluting vehicles, such as petrol and diesel cars and SUVs, with sales of low and zero-emission vehicles, such as electric and hybrid cars.

Manufacturers who do not meet their CO2 emission ceiling risk financial fines.

While the standards are intended to encourage automakers to reduce pollution from all vehicles in their fleet, they also incentivize brands to bring more environmentally friendly cars to a country.

Behyad Jafari, CEO of the Electric Vehicle Council, said Australia’s lack of a fuel efficiency standard has meant buyers missed out on electric cars sold in other countries that did have policies.

“Technology continues to improve and electric vehicles around the world are available in more segments, such as cars and more SUVs or cheaper electric vehicles, but often they are just not being brought to Australia,” he told AAP.

“What we can see pretty clearly now is that all major markets (have a standard).”

Fuel economy standards cover more than 80 percent of vehicles sold worldwide, and Australia, Russia, Turkey and Indonesia are the only four wealthy countries without the policy.

New Zealand introduced its fuel efficiency standard this year – a move that has seen electric vehicle sales in the country rise from four per cent in January 2022 to 22 per cent in March this year.

The introduction of an Australian fuel efficiency standard is also supported by the Federal Chamber of Automotive Industries, which represents 68 car brands in the country, although chief executive Tony Weber said the pollution limits set by the government should be achievable.

“Australia needs an ambitious but achievable fuel efficiency standard,” he said.

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