An elected Coalition government will drop penalties for car companies who supply too many high emission vehicles.
Labor’s New Vehicle Efficiency Standard (NVES) was introduced to penalise car companies who do not sell enough electric or low emissions vehicles by giving vehicle manufacturers an average CO2 target for the vehicles they sell, which they must meet or beat by providing more choice for fuel efficient, low or zero emissions vehicles.
Opposition Leader Peter Dutton claims the tax will cost families and small businesses thousands of dollars in extra costs when buying a new petrol car as industry estimates show that roughly $9,700 will be added to the cost of a Toyota Rav 4 and up to $14,400 will be added to the cost of a Ford Ranger.
Dutton said the NVES tax did not benefits Australians who are in the middle of a cost-of-living crisis.
“This is a tax on families who need a reliable car and small businesses trying to grow. Instead of making life easier, Labor is making it harder and more expensive,” Dutton said.
“A Coalition Government will scrap this tax, so Australians can keep more of their hard-earned money when purchasing a new car.
“We want cleaner, cheaper cars on Australian roads as we head towards net zero by 2050, but forcing unfair penalties on car makers and consumers is not the answer.”
Speaking in Darwin, Prime Minister Anthony Albanese labelled the Coalition’s policy “nonsensical” and challenged Dutton on how the policy would help Australians at the bowser.
“I find it extraordinary that Peter Dutton, who says he cares about the price of fuel, doesn’t want people to have more fuel-efficient cars, which reduce the costs of filling up their car,” Albanese said.
The Electric Vehicle Council, the National body for the electric vehicle industry, said the Coalition’s plan will stop Australians from saving thousands of dollars per year if they drove an EV or fuel-efficient car and will instead help petrol companies increase their profit.
“The NVES doesn’t work without the credit and penalty system. Removing fines from the NVES is like having road rules without enforcement – no consequences for breaking the rules and no motivation to follow them,” CEO of the Electric Vehicle Council Julie Delvecchio said.
“The New Vehicle Efficiency Standard is good for millions of Australians – especially for those living in the outer suburbs and regions. From petrol and diesel cars through to EV’s, the NVES means lower costs at the servo, more choice and competition in cheaper-to-run vehicles, and cleaner air in our suburbs.”
Emily Chate
Emily Chate joined The Western Weekender in 2024, and covers local news - primarily courts and politics. A graduate of the University of Wollongong, Emily has contributed to The Daily Telegraph and worked as a freelance journalist.