Australia weighs stricter car emission rules starting 2025

The Australian government proposed starting tighter new car and light truck CO2 emissions standards on January 1, 2025. A final round of consultations on three options is open until March 4th.

The favored central scenario sets 2025 fleet average limits of 141 g/km for passenger vehicles and 199 g/km for commercial vehicles, declining to 58 and 81 g/km respectively by 2029. Firms beating targets can sell credits to lagging automakers.

The most aggressive path would mandate averages of 34 g/km and 56 g/km by 2029 which is feasible only with high electrification. The trading scheme incentivizes selling more lower emitting vehicles without banning popular off road capable sport utility and pickup models.

Minister for Climate Change and Energy Chris Bowen eyes AUD100 (USD69) fines per excess gram of CO2 per km, driving compliance through better fuel economy or purchased credits from peers.

Experts say light truck emissions budgets stay looser than passenger cars since regulations group rural capable vehicles with mainstream options. This may shift some buyers to roomier pickups.

The plan gives automakers flexibility on vehicle choices while tightening fleet emissions through 2030. The government touts consumer options amid more sustainable mobility. Comment periods close on March 4, 2024.