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Carsales Staff14 June 2007
NEWS

Government LPG rebates pass $100 million

Dramatic upsurge in price of petrol has driven consumers into the arms of LPG suppliers

Less than twelve months from its inception, the federal government's incentive scheme to encourage the purchase of LPG vehicles or the modification of existing vehicles to run on LPG has paid out $100 million to 52,000 consumers.

Federal Industry Minister Ian Macfarlane admitted that the demand for LPG conversions or new LPG vehicles -- following an intensive advertising campaign (more here) -- had exceeded the government's own forecast, but the government will continue to offer the rebates to motorists until 2014.

"Motorists using LPG are saving money on fuel and helping the environment in the process" Mr Macfarlane said.

LPG sells for less than half the cost of petrol and burns cleaner.

Phil Westlake, Industry Development Manager for LPG Australia, cited conversion figures for the year to August 2007 totalling 120,000 -- an additional 128 per cent, compared with the previous twelve-month period.

VFACTS figures, courtesy of the Federal Chamber of Automotive Industries, indicate an upswing of 15 per cent for sales of LPG-fuelled cars.

One motorist, Lys Karagun (pictured), found that the cost of filling the family Commodore had dropped from $21 for every 100km travelled to just $9, using LPG.

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