Promoting LPG use in Australia’s vehicle fleet has a clear benefit to the environment and to Australia’s balance of payments,
Promoting LPG use in Australia’s vehicle fleet has a clear benefit to the environment and to Australia’s balance of payments, Victoria’s peak automotive industry body, VACC, says.
“LPG is a clean, efficient energy source and produces amongst the lowest of life-cycle greenhouse gas emissions of all commercially-available automotive fuels. LPG produces extremely low particulate emissions during combustion and insignificant levels of sulphur dioxide emissions, which are the main causes of acid rain,” VACC Executive Director, David Purchase, says.
“In addition to this, LPG is less damaging to soil and water in the event of accidents or spillage compared to oil and petrol, and there are minimal releases of volatile emissions when refueling.
“It is also around half the price of petrol and diesel. When you take into account the cost savings at the pump, the increase of life to your engine and reduced noise levels (compared with diesel), then LPG wins every argument hands down.
“Despite clear support from the public, the Federal Government is rumoured to be considering axing the LPG subsidy of $2000, paid to motorists who convert their family cars to run on LPG, in the up-coming Federal Budget.
“Since the LPG Vehicle Scheme was introduced in August 2006, the subsidy program has assisted more than 116,000 motorists switch to more affordable LPG. On average, nearly, 6000 vehicles are being converted nationally, per month. The figures speak for themselves. To stop this momentum in its tracks makes no sense,” Purchase, says.
Nationally, the retro-fit industry for LPG turns over $350 million per annum with thousands employed in the industry – there are more than 600 accredited LPG conversion businesses in Victoria alone. It also supports a service industry of component suppliers, equipment manufacturers, and retail infrastructure.
“Australia is virtually self-sufficient in LPG with huge national reserves. So why, with oil hitting a record US$120 a barrel and with our massive trade imbalance being swelled by our dependence on imported petrol, would you not want to use locally produced LPG?
“The subsidy must be retained, even if only to assist our balance of payments problems and reduce inflationary pressures,” Purchase says.