Addressing misconceptions surrounding light-vehicle fuel efficiency standards

Published: 2017.10.12

Anup Bandivadekar, Aaron Isenstadt

This briefing addresses several common misconceptions about light-duty vehicle fuel efficiency and greenhouse gas standards. The focus of this briefing is on Australia’s proposed light-vehicle CO2 standards and the effects they may or may not have on Australian motorists.

For the fuel efficiency standards in Australia to be successful in reducing greenhouse gas emissions and improving vehicle efficiency, Australia must ensure that the lab tested fuel consumption results more closely match the on-road and label fuel consumption values. This ensures that the gap between the lab and the road does not grow so that real reductions in fuel consumption are achieved. The proposed design of the light-vehicle CO2 standards in Australia will preserve vehicle choice, and reduce the gap between efficiency of vehicles sold in Australia and the leading markets of the world. As a result, consumers will save a considerable amount on fuel, while simultaneously reducing CO2 emissions.