The Federal body says the additional funding is necessary to eventually creating a national CO2 standard for vehicle emissions
The Federal Chamber of Automotive Industries (FCAI) welcomes the Victorian government’s announcement of an additional $7.2 million in electric vehicle subsidies.
Due to the demand for zero emission vehicles growing, particularly in the heavy vehicle and freight industries, the state government has provided further money to the program originally announced in May 2021.
This means another 2,600 subsidies will be offered to Victorian motorists at $3,000 per vehicle.
The FCAI says both car and truck manufacturers welcome the decision to extend the grants program to offer more incentives for zero emission vehicles.
“The Victorian government’s announcement of an additional $7.2 million in purchase incentives for electric vehicles if welcome news for those considering the move to an electric vehicle,” FCAI CEO Tony Weber says.
“This additional spending complements the government’s charging infrastructure investment across the state.”
The FCAI says this standard is in line with need for Federal and state governments to reduce vehicle emissions.
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The automotive industry body says it hopes that this funding move eventually leads to a national CO2 standard for vehicle emissions.
“Our overall policy objective is to reduce CO2. While subsidies for specific technologies are welcome, our journey to reducing emissions in the transport sector needs to be a holistic one,” Weber says.
“The pathway to reducing emissions in the medium term will rely on a range of low emission technologies that include plug-in hybrid, hybrid and even highly efficient internal combustion engines.”