What a whirlwind start it has been to 2024! No sooner had we completed our hard push to ensure a reasonable outcome from the Queensland Government’s review of the Electrical Safety Act, the Federal Government dropped their impact assessment on a New Vehicle Efficiency Standard.
This critical piece of proposed legislation, which the Government is looking to rush through for a 1 January 2025 commencement, if done incorrectly has the potential to bring seismic change to the new car sector, and in turn, the wider automotive industry.
While we agree that a fuel efficiency standard is long overdue, the preferred option laid out by the Government needs significant amendment to ensure a fair transition that supports our Dealers. The proposed approach of reducing emissions by 60% by 2030 is simply too aggressive and has not been attempted anywhere in
the world.
Together with representatives from the MTAA and other state Associations, we engaged directly with Ministers and officials both in Canberra and Queensland to assert our position.
Our argument, which can be viewed in our joint industry submission HERE, is that if we are to use the U.S fuel efficiency model as a basis for our own, we must adopt their approach in full, specifically:
• following the same emissions trajectory
• aligning with the same vehicle categorization
• incorporating credit generators, pooling, low-volume exemptions and carve-outs
• establishing a regime to incentivise consumers to buy EVs
With the consultation period now closed, I strongly urge all Dealers to consider writing to or visiting their local Member of Parliament to share their concerns and ensure their voice is heard before any decision about the fuel efficiency standard being made. We will continue to update our members as we receive communication going forward.