Oz CO2 Emissions Fall Despite Low Gasoline Quality

Australia’s National Transport Commission reports a 1.1% reduction in carbon-dioxide emissions from new cars and light-commercial vehicles since 2015, even though the country has the lowest-quality gasoline of the 35 countries in the Organization for Economic Cooperation and Development.

The Federal Chamber of Automotive Industries says while this continues a steady decline in CO2 emissions, down almost 25% since 2005, the industry is in a lengthy dialogue with government on the importance of fuel quality to let automakers offer next-generation advanced engines with world-class emissions technology.

FCAI CEO Tony Weber says the result also supports the auto industry’s assertion that credits and incentives are vital in encouraging more consumers to buy low-emissions vehicles and, in doing so, continue to drive down Australia’s CO2 emissions.

The commission report also cites Australian consumer preference for heavier vehicles with larger and more powerful engines as a key reason for light-vehicle emissions being higher Down Under than in Europe.

Other notable factors are a lower proportion of diesel-powered engines across the Australian car and LCV fleet than in Europe, fewer government incentives for lower-emissions vehicles and relatively low fuel prices compared with Europe.

“There’s no doubt about the importance of the decisions which need to be made this year around getting Australia’s transport standard fuel quality up to match that of the European standards,” Weber says in a statement.

Australian fuel quality is below that of Mexico, Turkey and Estonia, he says.

Weber says the fuel-quality issue has been acknowledged at the highest levels of government, with Federal Energy Minister Josh Frydenberg telling a recent emissions-review stakeholder forum it is not good enough that Australia’s fuel is ranked 66th in the world and last in the OECD.

To shape consumer buying patterns, Weber says, Australia needs to look to other international markets where credits and incentives are in place.

“Our sales data shows quite clearly that in general, Australian consumers prefer very different types of vehicles to European consumers, and this preference flows through to our CO2 emissions,” he says.