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Government needs to put NVES pedal to the metal says Climate Council

by Robert Barry
February 21, 2024
in Industry News, Featured
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The Climate Council believes the Federal Government needs to put the pedal to the metal and deliver its proposed fuel efficiency standard (NVES) so that Australians see the same benefits enjoyed by overseas drivers.

According to the latest Climate Council analysis, Australian motorists could pay up to twice the petrol price when purchasing a new car compared to international car markets with effective fuel efficiency standards.

The Climate Council says on average, a new passenger car sold today in Australia will consume 6.9 litres of fuel per 100 kilometres (L/100km), leading to an annual petrol bill of almost $1,460. This is nearly $720 more per year than new European cars, which use just 3.5L/100km, and almost $570 more than new American or Chinese cars which use 4.2L/100km. 

It says new utes and vans in Australia use 9.9L/100km on average, resulting in an annual petrol bill of almost $2,880. This is $1,250 more every year than equivalent new vehicles in Europe or China, where average fuel efficiency is 5.6L/100km, and nearly $1,110 more than in the United States.

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Petrol prices are one of the top three causes of household financial stress and a majority of Australians (71%) say they’ve changed their driving habits to manage the high cost of fuel according to the Climate Council.

“Our long-time lack of fuel efficiency standards makes us a dumping ground for older, less efficient cars. Australians are paying far more for fuel because we are driving inefficient petrol-guzzling cars the rest of the world has rejected,” Climate councillor and economist Nicki Hutley says. 

“An immediate benefit of making cars more efficient is that the average new car will consume less fuel to drive the same distance, lowering fuel bills and helping Australians tackle cost of living pressures.

“An effective New Vehicle Efficiency Standard will bring us up to speed with the majority of the world that already has similar standards in place. Drivers in these countries are already enjoying the savings and choice of cleaner, cheaper-to-run cars Aussies have missed out on for decades.

“It’s time for the Federal Government to put the pedal to the metal and deliver this standard,” Hutley says

“Our reliance on fossil-fuelled vehicles is not only hurting our hip-pockets, but also harming our health and the environment,” Climate Council head of advocacy Dr Jennifer Rayner says. 

“The success of standards like these across comparable international markets shows they can open the path to cleaner, cheaper-to-run new cars.

“Any measure that keeps more money in our wallets, while safeguarding us from increasing transport pollution risks, should be welcomed. 

“Some car manufacturers seem to want us to go slow, but it’s only by catching up to the standards already in place in other markets that Australians will see real benefits. We shouldn’t have to settle for second best when there’s big fuel savings and pollution cuts to be won through an effective standard,” Rayner says. 

Tags: Climate CouncilDr Jennifer RaynerNVESNew Vehicle Efficiency StandardNicki Hutleyfuel efficiency standard
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Robert Barry

Robert Barry has been reporting on the Australasian automotive and transport sector since June 2003. A member of the New Zealand Motoring Writers Guild since 2005, Robert has also previously held the positions of secretary, vice-president and president. His work has appeared in newspapers, magazines, and on the web. He holds a Class 2 and a Class 4 heavy transport licence and knows his way around a manual transmission.

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