System to tackle car emissions
The Federal Chamber of Automotive Industries (FCAI) has unveiled an industry-led reporting system that sets out carbon dioxide (CO2) emissions reduction targets by 2030.
The FCAI CO2 Emissions Standard, which covers the industry and brands, is a long-term objective that recognises that different marques will follow different paths towards the target depending on their individual model cycles.
For this reason, and to contribute to Australia’s commitment to the Paris Agreement, the standard is set across a 10-year period to 2030.
Tony Weber, chief executive of the FCAI, says: “Significantly, the industry acknowledges the pathway to the new target may not be without impediment. It is fully expected individual manufacturers may not always record annual improvement. In this instance, the end goal of meeting the 2030 target remains the key focus.”
An industry-driven scheme, the FCAI Standard aligns with marques’ traditional position of bringing the best possible products, with the latest safety and drive-train technologies, to the market.
Weber, pictured, says the initiative is supported by more than 40 brands and aims to provide certainty to manufacturers to enable them to confidently plan future product for the market across the ditch.
“The intent behind this new standard is to ensure manufacturers can continue to do what they do best – and that is to bring the latest, safest, and most fuel-efficient vehicles to the market,” he adds.
“The FCAI strongly supports a comprehensive approach to addressing motor-vehicle emissions that includes fuel-quality standards, and the introduction of Euro 6 and a challenging – but realistic, achievable and market-relevant – CO2 standard.
“In this context, the FCAI Standard has been based on internationally mandated practices, including those from Europe and the US, while still recognising the unique characteristics of the Australian market.”
Developed following consultation with brands, industry statistical and analytical experts, and all levels of government, the FCAI Standard will first be reported in early 2021.
How the system works
The standard will calculate industry and brand CO2 targets on a sales-weighted average mass per unit basis against sales recorded in VFACTS data. The results will be divided into separate reporting categories – MA for passenger cars and light SUVs, and MC + NA for heavy SUVs and light commercials.
Reporting will be in-line with manufacturers’ CO2 emissions performance reporting undertaken by the European Environment Agency and will allow the inclusion of carry-forward credits and or debits, which are a feature of regulation in the US.
From 2020-30, credits will be carried forward for up to five years, including those earned from 2020-23. From 2024-30, debits will be recorded and carried forward for up to five years. Prior to 2024, no debits will be carried forward.
Standard targets
The FCAI CO2 Standard is a stretch target and is in-line with international trends. Over the past 15 years, Australia’s automotive industry has achieved strong reductions in vehicle emissions through the research and development investments of parent companies in the US, Europe and Asia, says the FCAI.
As of December 2019, FCAI members had already achieved a 24.9 per cent reduction in emissions from 2005 levels.
The targeted reduction between 2020 and 2030 is an average of four per cent reduction per annum for MA-class vehicles, and an average of three per cent for those classed as MC + NA.
It is estimated that MA-class models will, on average, have CO2 emissions of less than 100 grams per kilometre and MC + NA vehicles less than 145g/km by 2030. Different brands will progress at different rates, depending on their model cycles.
