FOR IMMEDIATE RELEASE
WEDNESDAY 2 APRIL 2025
The Coalition’s climate car crash policy for higher pollution and higher petrol costs
Opposition Leader Peter Dutton is set to send another wrecking ball through Australia’s hard won, sensible climate policies, with reports indicating he plans to destroy the New Vehicle Efficiency Standards.
Climate Council CEO Amanda McKenzie said: “Before these standards, Australia had become a dumping ground for the dirtiest vehicles in the world - with the cars the US, China and Europe reject landing in our driveways. On average, new passenger cars in Australia use 20% more fuel than in the US.”
“The New Vehicle Efficiency Standards are changing that, by bringing in a wider range of choices of more efficient vehicles that use less petrol, are cheaper to run and reduce pollution. These standards are already a win-win for families concerned about their rising petrol costs and their kids' wellbeing.”
The Standards, which came into effect on January 1, 2025, are expected to:
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Save Australians more than $100bn in fuel and maintenance by bringing in more efficient vehicles, whether they are petrol, diesel or electric; and
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Reduce climate pollution by 321 million tonnes over 25 years.
“We are well down the road to cleaner, cheaper to run vehicles, but Peter Dutton’s policy swerve is a climate car crash. In promising to wind back standards he is actually giving foreign petrol and car corporations the green light to continue dumping their most gas guzzling, polluting vehicles in Australia,” Ms McKenzie said.
This U-turn on cleaner vehicles would mean:
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Less choice when Australians buy our next car;
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Higher petrol costs for families;
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Increased pollution; and
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Greater reliance on foreign oil.
“Australian kids have the most to lose if Peter Dutton puts Australia’s signature clean transport policy into reverse. Research shows that air pollution from vehicles causes 11,000 premature deaths of Australians every year and our kids are most at risk,” she said.
“This announcement is more chaos from the Federal Coalition on energy and climate. Last week they were ripping up plans for critical transmission infrastructure, this week they are set to backtrack on cleaner, cheaper to run transport. They have committed to publicly fund nuclear reactors, but didn’t allocate a single dollar in their budget reply to the scheme. And of course, we are yet to see a single policy that cuts climate pollution anywhere in their platform.”
“The Coalition’s policies are a climate dead-end and will generate more pollution from energy, more pollution from vehicles and more pollution from industry. Australians will pay a high price with worsening extreme heat, fires and floods. We cannot risk going back to the dark days of climate delay and denial.”
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WHAT IS THE VEHICLE EFFICIENCY STANDARD? The New Vehicle Efficiency Standard limits the pollution that new Australian cars collectively release by setting a limit on the average annual emissions across a manufacturer’s new car sales. Over time, the maximum amount of pollution allowed is reduced, which means car makers must offer Australians a wider range and more choice of new low and zero emissions vehicles. Fuel efficiency standards like this were already in place in 85% of the world’s car markets before Australia followed suit. |
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The Climate Council is Australia’s leading community-funded climate change communications organisation. We provide authoritative, expert and evidence-based advice on climate change to journalists, policymakers, and the wider Australian community. For further information, go to: climatecouncil.org.au Or follow us on social media: facebook.com/climatecouncil and twitter.com/climatecouncil