Senate debates

Tuesday, 26 March 2024

Questions without Notice

New Vehicle Efficiency Standard

2:37 pm

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Hansard source

Thank you, Senator, and I appreciate the question. You are certainly correct in outlining the way in which a trajectory to net zero requires a contribution from all parts of the economy—and I, if I may, congratulate you on actually dealing with the reality of the policy challenge that the country faces and the economic transition the country faces, which is in stark contrast to what occurred under the previous government over nine years. It is true that when there is less abatement from one sector it does require more abatement from another sector. Having said that, the ministers have obviously had to take into account the engagement with industry and stakeholder representatives in making the decision about some revisions or amendments to the policy which was proposed.

I understand, although I wasn't able to see it, that the ministers did announce that prior to question time and that that included recategorising some four-wheel drives from passenger to light commercial vehicle; smoothing the emissions trajectory for light commercial vehicles, which reflects the adjustments announced by the United States to its vehicle standards—smoothing the transition for utes, vans and others; adjusting emissions limits; and staging implementation in partnership with industry. The standard will commence in January 2025, but manufacturers will not begin earning credits or penalties until after 1 July 2025.

You asked a very good question about the data as to projected abatement as a consequence of this decision compared to the previous standard. I don't have that information in the brief that's been provided to me, but it's a reasonable question. I'll take advice on it. (Time expired)

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