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Tesla criticises Australian auto industry lobby group for misinforming on clean car policy

by Celia

Tesla has launched a scathing criticism against Australia’s main auto industry lobby group, accusing it of disseminating false information to delay climate action concerning an Albanese government clean car policy. In a submission to the government regarding the design of a vehicle efficiency standard, Tesla sharply criticized the Federal Chamber of Automotive Industries (FCAI), an organization in which it holds a board seat and is an active member.

Tesla accused the FCAI of orchestrating a “concerted public campaign” against the government’s plan, including disseminating misinformation to various media outlets. The FCAI allegedly claimed that the policy could inflate the price of popular utility vehicles by up to $13,000, despite knowing the inaccuracy of such claims.

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Furthermore, Tesla asserted that the FCAI was representing only a portion of the industry, specifically those companies resistant to taking action on the climate crisis, contrary to the interests of other members such as Ford, Jaguar Land Rover, Volvo, and Mercedes-Benz, who had committed to ceasing the sale of combustion engine models in leading markets by 2035.

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Tesla criticized the FCAI’s proposed policy regime, alleging that it would have minimal impact on reducing emissions and could, in fact, lead to a 25% increase in vehicle emissions between 2024 and 2030. The company also highlighted loopholes in the proposed policy that could allow carmakers to increase emissions.

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The FCAI’s claims regarding the potential price increases of petrol and diesel cars under the government’s plan have been adopted by the federal Coalition, labeling the policy as a “family car and ute tax.” However, Tesla clarified that a vehicle emissions standard is not a tax but rather requires car companies to meet per-kilometer emissions targets averaged across all new cars sold.

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Responding to Tesla’s criticisms, an FCAI spokesperson reiterated the organization’s commitment to combat climate change and provide Australians with zero and low emission vehicles. The FCAI also defended its analysis of the government’s preferred policy, despite Tesla’s critique of its calculations and methodology.

In its submission, Tesla further disputed the FCAI’s calculations presented to media outlets, alleging misrepresentation of how an efficiency standard would work and incorrect claims regarding the price changes of Tesla’s electric vehicle models.

The Australian government aims to implement a vehicle efficiency standard starting on January 1 next year, with ongoing discussions and debates among industry stakeholders regarding its design and potential impacts.

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