6 Reasons Why Green Cars A Long Way Off In Australia

There are many reasons why any of us can benefit from green cars, particularly in Australia, but when it gets down to it, the reality is that green cars are just not appearing in use like they are in other countries around the world. From lower running costs, getting lower car insurance quotes and knowing that your car is not a part of eating up our planet, there are many reasons to turn to green cars, but lets look at some of the reasons why they are not being used in much in Australia.

Lacking real government support. It was only in in late 2008 when the Australian Government increased the GCIF (Green Car Investment Fund) from 500 million dollars to 1.3 billion dollars, running over 9 years. However, now that we are in 2011, it is a completely different story. It was cut by 200 million in the 2011 budget, leaving 790 million unallocated. With another recent cut, the funding pool has fallen to 590 million – of which a large proportion has apparently been allocated although this information is not being disclosed.

Poor design by government – on purpose? The reality is that the Australian Government’s funding scheme GCIF has been badly and poorly designed. Perhaps it was made to look and sound good, but the reality is that it has attracted only a small number of allocations – because the application criteria has excluded many companies, particularly those who could not afford the start-up investment cost. What we have seen is so-called commitment on paper, that is being slashed, and then it is still not a real option for many companies. There is no point to make a big deal about funding, and then make it practically an impossibility for most of the companies to get it.

No consumer incentive. What are the incentives that the Australian government is offering to consumers? Australia is rapidly falling behind many countries in the world. The government could be offering a range of subsidies to industry, and offering a variety of cash-back programs or tax incentives for car related products such as car insurance and registration. Is it happening? Simple answer, no.

High cost. The cost of eco-friendly cars is still drastically high in Australia and it is not even a matter of choice for the average Australian family – whom just does not have 40,000 dollars to spend on a car. Australia is becoming an eco-car backwater.

Hybrid only. The only cars that we are really seeing on the market are hybrids. Compared to other countries, Australia is falling far behind. All of these cars are small and they are only useful if you live in a city and then you should probably use public transport or a bicycle.

Long distances. Australia is a country of relatively long distances. Unless car companies make cars that are suitable for Australia’s size, and often not very good roads, then the newer and greener cars will never be appropriate. Can you expect that farmers, people living in outer lying areas, will use small buzz-box cars to get work done and to travel hundreds of kilometres?

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