The automotive industry supports the need for a vehicle emissions standard but restricting the sale of internal combustion engine vehicles by 2035 is a risky approach for Australia and its unique circumstances.
Statements being issued suggesting that in developing a standard, the Government should ignore the automotive industry are incredibly concerning and completely inappropriate.
AADA CEO James Voortman said, “Dealers, Manufacturers, independent repairers and other automotive businesses employ hundreds of thousands of Australians and should not be ignored.”
“Industry expertise will be crucial in informing Government policy which is achievable.”
“The industry supports a vehicle emissions standard, but it needs to be one that is realistic and does not unduly punish consumers or result in motorists holding on to their older vehicles for longer,” he said.
“We keep hearing calls for Australia to implement vehicle emissions standards which are in line with those that exist in the US and Europe. It is a fact that such standards have been in place in the US and the EU place for well over a decade, allowing those countries an appropriate and achievable transition period,” said Mr Voortman.
“It is also a fact that in the US and the EU vehicle emissions standards are complemented by generous incentives for consumers. In a market like Germany, you can get up to $13,000 (AUD) in up-front incentives before tax benefits. This level of incentive is not available to consumers in Australia, and it does not appear to be on the horizon,” he said.
“Australia is a very small right-hand drive vehicle market in global terms, and it is situated at the end of a long and complex supply chain. These factors need to be taken into account when developing a vehicle emissions policy which is fit for purpose,” Mr Voortman said.