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New vehicle efficiency standard

NRMA welcomes new vehicle efficiency standard

The NRMA welcomes the Government's proposed New Vehicle Efficiency Standard and is encouraging industry and community groups to have their say.
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16 February, 2024
Written by  
The NRMA

Australia has one of the world’s highest emissions per kilometre travelled for passenger and light commercial vehicles, and is now one of the last developed nations to introduce compulsory standards.

Australia’s aggregate 170 grams of carbon dioxide per kilometre travelled is 20 per cent higher than the United States and 40 per cent higher than the European Union. In addition to the environmental impact this has also left Australian drivers over exposed to less fuel efficiency and therefore a greater fuel cost burden.

The NRMA submission into the Australian Government’s Fuel Efficiency Standards inquiry, called for the introduction of compulsory standards for passenger and light commercial vehicles that were designed specifically for the Australian market to be phased in over time, practical and achievable.

The NRMA pointed to the path taken by the United States in the execution of its vehicle efficiency standards as a possible model for Australia.

The organisations submission highlighted the importance of legislating a review process to ensure targets remained appropriate and were delivering outcomes. Crucially, the NRMA also stressed that the standards needed to be fit for purpose to Australia’s unique driving conditions and not add to the overall cost of living burden on Australian families.

A lack of compulsory standards has resulted in Australian motorists being left with less choice when it comes to buying more affordable fuel efficient vehicles.

NRMA Group CEO Rohan Lund welcomed the announcement as it would open the market to greater options while adopting targets that were reasonable and achievable.

“The NRMA welcomes the Australian Government’s announcement and we are pleased that a responsible and achievable option over time is being presented to the Australian people” Mr Lund said.

“Australia could not continue down the path of voluntary targets as it left us behind when it came to choice and the NRMA is strong advocates for choice so that motorists can buy the cars they wish to drive.

“A business as usual approach meant that Australian families and businesses were not benefiting from the best technology designed to reduce fuel consumption. The NRMA’s opposition to Australians being forced to spend more money on fuel than they otherwise should have to, is well known across the country.

“The NRMA has worked hard to see standards that strike a sensible balance and are achievable in an appropriate time frame - we are pleased the Australian Government has responded in kind”.

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