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We need to accelerate to cleaner cars, but racing to an all-electric future by 2035 isn't the right plan for Australia | Opinion

Australia needs more progress on fuel efficency and EVs in the near future to catch-up with the rest of the world.

Europe will ban all non-zero emission vehicles by 2035. The USA wants to have 67 per cent of all new car sales to be electric vehicles by 2032. Australia will introduce a fuel efficiency standard… eventually.

Whether you’re an EV advocate or a die-hard petrol head, the reality is Australia is one of only two developed countries in the world (the other being Russia) without any form of efficiency guidelines for new vehicles. And we still don’t, because the Albanese government's long-awaited announcement about its National Electric Vehicle Strategy was, to be blunt, a little underwhelming.

The government acknowledges that the lack of any action on this topic for years has been a bad thing for Australians.

“The absence of a standard has meant Australians households and businesses are missing out on greater choice of car models and paying more in fuel costs to run their cars because manufacturers prioritise sending more efficient vehicles to countries with standards in place,” the government's statements read.

And yet, the announcement earlier this month was that the government would now work with “the industry and community to finalise details in the coming months” - which feels a bit like saying it’s time to consider abandoning a sinking ship when you’re up to your neck in water.

For a lot of people, the idea of more government mandates around new cars or pushing for widespread electric vehicle (EV) adoption is triggering, but the introduction of a national fuel efficiency strategy should be applauded by every single motorist in this country.

Why? Because more fuel-efficient cars means paying less money every year on fuel. By the government's own calculations, it claims the average Australian driver could save more than $500 per year by driving a more fuel-efficient vehicle - even if it’s petrol or diesel powered.

Australia is one of only two developed countries in the world without any form of efficiency guidelines for new vehicles.

Not to get bogged down in the politics, but obviously the current Labor Government has only been in power since the last election and has seemingly prioritised the National Electric Vehicle Strategy with a greater sense of urgency than the Coalition did when it was in power. But, even so, the time to act is now because we know what the problem is, and we know what the solution is. The automotive industry even installed its own voluntary emissions standards, so it should be very clear to the government what car makers believe the new cap should be. 

And, once again, the government’s own statement made it clear that it knows exactly what the problem is, so it shouldn’t need the “coming months” to come up with a solution. The press release from the Minister for Climate Change and Energy, Chris Bowen, said: “On average, new cars in Australia use 40 per cent more fuel than the European Union, 20 per cent more than the United States, and 15 per cent more than New Zealand.”

So, why the delay? Why does there need to be more consultation when the car industry has been crying out for these standards for years? 

Also notably absent from the announcement was any clear policy shift for electric vehicles, beyond the government’s continued strategy to reduce the “barriers to electric vehicle uptake”. 

The National Electric Vehicle Strategy isn’t solely focused on getting everyone driving a battery-powered car. (Image: Tom White)

To be clear, the idea of Australia following the example set by Europe (effectively banning everything but EVs by 2035) or trying to reach the USA’s goals, is not realistic for Australia. Until the last 18 months, EV uptake has been very slow and we remain a low-priority country for most car makers when it comes to EV supply as a result.

We’re also a big country, with a huge rural population spread across a wide area. Thinking we can get farmers and truckies to go electric in the next decade is a fantasy.

Fortunately, the government’s National Electric Vehicle Strategy isn’t solely focused on getting everyone driving a battery-powered car. Instead, by taking a two-pronged approach and targeting reduced emissions for new internal combustion vehicles while simultaneously trying to make the market more open to EVs, the end goal should be reduced emissions but increased choice for Australian consumers. 

But we do need to take action as soon as possible, it should be embarrassing that as a country we are already so far behind the rest of the world, so it’s time to hit the accelerator for a cleaner, cheaper motoring future in Australia.

Stephen Ottley
Contributing Journalist
Steve has been obsessed with all things automotive for as long as he can remember. Literally, his earliest memory is of a car. Having amassed an enviable Hot Wheels and...
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