www.autofile.co.nz
AUGUST 2019
THE TRUSTED VOICE OF THE AUTO INDUSTRY FOR MORE THAN 30 YEARS
‘Soviet-style control’ opposed by industry Fuel-economy measures to limit supply of vehicles into New Zealand face criticism but feebates attract little opposition
T
hree lead organisations in the automotive industry have heaped scorn on government proposals to place controls on what vehicles can be imported. Julie Anne Genter, the Associate Minister of Transport, has unveiled two plans to reduce the country’s greenhouse gas (GHG) emissions. On the demand side, she says a feebate scheme – with high-polluting vehicles being hit with charges and lower polluters attracting rebates when registered for the first time in this country – will impact on consumer choices. Being dubbed the clean-car discount, buyers of imported vehicles could be charged up to $3,000, or given a discount of up $8,000, from 2021 to incentivise a more environmentally friendly light fleet. However, it’s the supply-side element of the government’s plans that has raised the hackles of VIA (the Imported Motor Vehicle Industry Association), the Motor Industry Association (MIA) and
Julie Anne Genter
Motor Trade Association (MTA). Genter’s clean-car standard would require importers to reduce average emissions of vehicles they bring into the country to meet annual targets. This would be phased in with suppliers having to reduce their average carbon dioxide per kilometre emissions from the current level of 180 grams to 161 grams by 2022. If they fail to do so, they could face penalties of $100/g and $50/g per unit per year for new and used
vehicles imported respectively. Stricter targets would then be introduced each year and reach 105 grams by 2025 after which the government would set new levels. Because the clean-car standard and discount would only apply to stock entering the fleet, they would apply to about one-quarter of sales. However, the clean-car standard has been likened to “Soviet-era control” by David Vinsen, chief executive of VIA. He believes the proposal “is wrong on so many levels” and describes its name as “misleading and nothing to do with clean cars – it’s about fuel economy and efficiency”. “The name conflates and confuses the two issues, and there’s already confusion in the media, which doesn’t help the cause. “We also think it’s unnecessary. If we influence demand, we will supply the stock that’s needed. The feebate scheme will be the most effective.” Vinsen says the complexity of
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