The Federal Chamber of Automotive Industries (FCAI) has announced a new industry-led reporting system, the FCAI CO2 Emissions Standard, which outlines industry and brand CO2 emissions reduction targets for 2030.
The company says the FCAI Standard sets a long-term objective while recognising that different brands will follow different paths towards the target depending on their individual model cycles. FCAI says because of this, and to contribute to Australia’s commitment to the Paris Agreement, the Standard is set across a 10-year period to 2030.
The Standard will calculate industry and brand CO2 targets on a sales-weighted average mass per unit basis against sales recorded in the FCAI’s VFACTS data. The results will be divided into separate reporting categories: MA (Passenger Cars and Light SUVs) and MC + NA (Heavy SUVs and Light Commercial Vehicles) in line with international practice.
Reporting will be in line with the 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 the USA’s regulations.
From 2020 to 2030, credits will be carried forward for up to five years, including those earned from 2020 to 2023. From 2024 to 2030, debits will be recorded and carried forward for up to five years. Prior to 2024, no debits will be carried forward.
The FCAI says the initiative is supported by over 40 major automotive brands and aims to provide certainty to manufacturers to enable them to confidently plan future product for the Australian market.
“The intent behind this new Standard is to ensure automotive manufacturers can continue to do what they do best, and that is to bring the latest, safest and most fuel-efficient vehicles to the Australian market,” said Tony Weber, CEO of the FCAI. “ The FCAI strongly supports a comprehensive approach to addressing motor vehicle emissions that includes fuel quality standards, the introduction of Euro 6 and the introduction of 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 USA, while still recognising the unique characteristics of the Australian market.”
The FCAI Standard was developed after consulting with brands, industry statistical and analytical experts, and all levels of government and will be reported starting in early 2021.