New legislation designed to encourage the introduction of new cars with efficient engines and lower emissions is already having an impact on the market.
Prior to the new laws, a former spokesperson for Volkswagen Group Australia was quoted as saying Australia was leaving itself open to being a dumping ground for old, dirty engines – with automakers not incentivised to bring their latest engine tech here.
But Volkswagen Commercial brand director Nathan Johnson told CarExpert the New Vehicle Efficiency Standard (NVES) has helped reshape the new-car landscape in Australia.
“The introduction of NVES has definitely played its part in helping us evolve our drivelines,” he said.
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“And I’ll be completely transparent on this – until NVES, we were not considered for [battery-electric vehicles] and [plug-in hybrid vehicles].
“Since the introduction [of NVES], it’s gone from a ‘never’ conversation with the factory to a daily conversation with the factory, which is hugely beneficial for us,” Mr Johnson explained.
But while the emissions standards have added layers of complexity behind the scenes, the outcome is far better for both car companies and buyers according to Volkswagen.
“I think it’s only a positive from a Volkswagen perspective, and we’re now at the table for a lot of these [product planning] discussions earlier – and I can only see it as a positive moving forward.”
Acting corporate communications general manager Daniel DeGasperi added that, while there’s only a finite number of hybrid and electric cars being built in the world, emissions regulations were expected to ramp up in global markets in the coming years.
“Being part of the Volkswagen Group across all our brands is a huge benefit because we have a lot of levers that we can pull in that regard, and also negotiate with factory [for] better prices.”
