Australia to introduce fuel efficiency standards to boost electric car uptake

SYDNEY The Australian government will introduce fuel efficiency standards to improve the supply of electric cars, improve affordability for motorists and drive down emissions, local media reported on Friday.

The lack of a mandatory fuel efficiency standard is hurting the adoption of electric cars in Australia, The Australian newspaper said in a report cited by a speech by the federal Energy Minister Chris Bowen.

At the electric vehicle summit in Canberra, Bowen will say that we believe that now is the time to have an orderly discussion about vehicle fuel efficiency standards that could improve the supply of electric vehicles into the Australian market.

Bowen's office didn't respond immediately to a request for comment.

The report said that he will release a discussion paper on electric vehicle strategy within a few weeks, seeking feedback from industry, unions and consumer bodies.

Only 2 per cent of cars sold in Australia are electric, nearly five times less than the global average because of high selling costs of vehicles.

The Labor government raised its 2030 goal for reducing carbon emissions by 43 per cent from 2005 levels, bringing the country closer to the Paris climate accord commitments of other developed economies.