Federal government’s EV strategy ‘a fizzer’

The federal government has finally released its long-awaited Future Fuels and Vehicles Strategy, which despite being backed by a $250 million investment fund has already been slammed by car industry bodies.

These include the Electric Vehicle Council (EVC), which has labelled the plan “a fizzer”.

Under the strategy, the bulk of the funds will focus on public EV charging and hydrogen refuelling infrastructure, household smart charging, heavy and long-distance vehicle technologies and commercial fleets.

The overall goal, according to the government, is to reduce the “cost of low- and zero-emission vehicles, and enhance consumer choice”.

“Our plan promised technology not taxes, choices not mandates, and driving down the cost of new technologies – and that’s exactly what this strategy delivers to Australians,” said prime minister Scott Morrison.

“Australians love their family sedan, farmers rely on their trusted ute and our economy counts on trucks and trains to deliver goods from coast to coast.

“We will not be forcing Australians out of the car they want to drive or penalising those who can least afford it through bans or taxes.”

The Morrison government is aiming for Australia to achieve net zero emissions by 2050.

However, no minimum fuel efficiency standards for manufacturers have been included in the latest plan, nor have any zero-emissions vehicle subsidies, tax incentives or sales targets been included.

These omissions have led to the industry to criticise the plan and yet again call for more action, especially the EVC which says the strategy ignores the most important and effective measures to improve electric car uptake.

“There’s no sugar-coating it, Future Fuels is a fizzer,” said EVC CEO Behyad Jafari. “If it contained fuel efficiency standards and rebates it would give Australians more choice.

“The best and most affordable EVs manufacturers are producing would make their way swiftly onto our market.”

According to Jafari, fuel efficiency standards are the “absolute bare minimum” of what’s expected from “any 21st century plan”, with Australia set to continue as a “dumping ground for the world’s dirtiest vehicles” if such standards aren’t implemented.

“Future Fuels is certainly an advance on the government’s rhetoric of the last election. The strategy has identified some of the correct benefits and pathways, but it does little to realise them,” he said.

“I welcome the progress we’ve seen, but it’s far too little too late. For a strategy that has apparently taken years to write, it leaves much to be desired.”

Federal Chamber of Automotive Industries (FCAI) chief executive Tony Weber shared similar sentiments in welcoming the progress, but likewise said the strategy was a missed opportunity when it came to emissions standards.

According to Weber, governments should be focusing on setting concrete targets and not trying to “pick winners through specific technology”.

“The availability of EVs in Australia is increasing as car manufacturers respond to growing demand, however the reality is that they still account for less than one per cent of total vehicle sales year to date,” he said.

“This means that the government’s target for EVs to be 30 per cent of new vehicle sales by 2030 is extremely optimistic.

“We strongly urge the government to adopt the FCAI’s existing voluntary emissions standard which sets a clear pathway towards lower CO2 emissions across the entire passenger and light commercial fleet through to 2030.”

Looking further afield, the government expects more than $500 million of combined private and public co-investment to be leveraged through the plan and create more than new 2600 jobs.

The federal minister for industry, energy and emission reduction, Angus Taylor, said the strategy “sets out the government’s technology-led approach to reducing transport emissions while ensuring Australians can drive their preferred type of vehicle – be that petrol, diesel, hydrogen or electric powered”.