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Peak motoring body calls for Australian vehicle emissions target

Australia’s car companies are calling on the Federal Government to introduce emissions mandates.


The Federal Chamber of Automotive Industries (FCAI) has again called on the Australian Government to create an emissions reduction target specifically for passenger vehicles.

The peak body represents all of the major car companies operating locally, and says the nation now needs an emissions target specifically for light vehicles.

The renewed pressure comes in the wake of the Australian Government signing onto the 2015 Paris Climate Protection Agreement this week.

FCAI Chief Executive Tony Weber said passenger vehicles are responsible for around 10 per cent of emissions from the transport sector, but stopped short of calling for an outright ban on internal-combustion engine vehicles.

“Our members recognise the need to combat climate change,” Weber said in a statement today.

“In the absence of federal leadership in 2020 we established our own voluntary scheme that sends a message to manufacturers’ head offices that Australian motorists want the best low emission technologies,” he said.

In an effort to fill the void, the industry body introduced its own voluntary emissions targets in 2020 – but has yet to meet its own self-imposed goals since its introduction two years ago.

“Now is the time for the new Albanese Government to work with our members to mandate this scheme in order to get these new low emission technologies to Australia.”

The comments come less than a month after the FCAI called on newly-elected Prime Minister Anthony Albanese to implement CO2 vehicle targets.

Though the calls may seem counterproductive, Drive understands a number of top executives at local car companies have been increasingly frustrated at Australia being overlooked for new fully-electric models offered in other markets.

While their local offices can argue for vehicles to be brought here, Australia’s absence of vehicle emissions targets and lacklustre electric vehicle incentives mean the country is often at the bottom of the list to receive the latest and greatest models from manufacturers.

“We know that automotive manufacturers around the world respond to strong policy signals when allocating their limited supply of zero- and low-emission technologies,” Weber said.

“A technology neutral emissions reduction target for vehicles is the signal Australia needs to send,” he added.

In recent years, some in the industry have warned Australia could become a backwater for inefficient cars, with the overseas headquarters of some car companies prioritising hybrid and electric vehicles for markets such as New Zealand.

“Any reduction target must be broad based and focused on reducing CO2 – not picking certain technologies over others,” said Weber.

“Our zero emissions future is ultimately full electrification. Our short and medium term journey will require a mix of hybrid, plug-in hybrid, battery-electric, hydrogen and efficient internal-combustion to meet the varying needs of Australian motorists.

“Our message to Government is simple: You give us the target, and we will give you the technology to get there.”

Ben Zachariah

Ben Zachariah is an experienced writer and motoring journalist from Melbourne, having worked in the automotive industry for more than two decades. Ben began writing professionally more than 15 years ago and was previously an interstate truck driver. He completed his MBA in Finance in early 2021 and is considered an expert on classic car investment.

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