The federal Labor government is seeking to pave the way for the introduction “best practice” emissions standards for cars, in the latest sign Australia might finally catch up with the rest of the world on vehicle efficiency – and in turn, on electric vehicles.
In a Draft Regulation Impact Statement opened for consultation on Friday, federal Labor proposes changes to fuel quality standards as a first step towards opening Australia up to the latest vehicle technology, and shedding its status as the global dumping ground for inefficient and polluting cars.
The report says Australia’s current petrol standards do not align with international best practice, and that this is standing in the way of shifting the national car fleet to more efficient models.
More specifically, Australia’s poor quality petrol is preventing the adoption of Euro 6d, a world-leading emissions standard that will apply to new vehicles from 2025.
Euro 6d sets the maximum limits for a range of harmful gases and particulate matter a car is allowed to emit, including nitrogen oxides (NOx) and hydrocarbons.
But according to the federal government report, Australia’s poor quality petrol poses a risk of adversely affecting new vehicles that meet Euro 6d standards.
The problem lies in the high level of aromatics in Australian fuels – chemicals in crude oil that increase the octane of petrol, but which can interfere with the advanced emissions-control technology of newer cars.
Fixing this problem, by limiting aromatics in one grade of ‘premium’ petrol to 35%, would allow vehicle importers to provide Euro 6d vehicles to the Australian market with no additional testing requirements, thus giving consumer access to the latest vehicle technology and opening the door tougher emissions standards.
Federal energy minister Chris Bowen says the implementation of these standards will deliver a raft of benefits, not least of all an estimated $4.9 billion in avoided health costs from 2025 to 2050.
“Adopting Euro 6d will improve the choice Australian consumers have when buying their next car, supporting more model choices that cost less to run,” Bowen says.
“Closer alignment with best-practice international fuel standards would ensure that consumers will have confidence that new vehicles will operate effectively in Australia.”
Bowen says the draft regulation impact statement is seeking views on costs and benefits including implementation costs for refiners, importers and service stations, and impacts on vehicle importers.
“Vehicle importers are hesitant to introduce Euro 6d vehicles to countries with higher aromatics, such as Australia, where there is a higher potential for engine operability issues,” the draft paper says.
The consultation on fuel quality follows a first round of consultation on Labor’s National Electric Vehicle Strategy, launched in September, that called for views on how best to design and implement “robust” vehicle fuel efficiency standards.
Sophie is editor of One Step Off The Grid and deputy editor of its sister site, Renew Economy. Sophie has been writing about clean energy for more than a decade.
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