Largest drop in new-vehicle CO2 emissions since 2006

Wednesday, 2 February 2022

CO2 emissions dropped by 4.7 per cent from 2020 to 2021, the largest yearly drop since 2006.

The MIA has confirmed 2021 saw a drop in new-vehicle CO2 emissions of 4.7 per cent, the highest year-on-year drop since 2006, when the MIA started collecting data.

There were 25,194 new vehicles sold in 2021 with some degree of electrification, a massive 94 per cent increase on the previous year’s tally of 12,997.

There were more electrified vehicles sold in New Zealand over 2021 than any other year, including a big jump in PHEVs.

Breaking the figures down shows a 344 per cent increase in sales of battery electric vehicles between 2020 and 2021, along with a 228 per cent jump for plug-in hybrids and a 59 per cent increase in hybrids.

Hybrids have long been the biggest sellers for electrified vehicles. In 2021, there were 13,794 hybrids sold, versus 2482 PHEVs and 6827 BEVs.

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Unfortunately, the transition to a more fuel-efficient fleet won’t be enough to avoid incoming governmental penalties, says MIA boss, David Crawford.

“New Zealand distributors are working closely with their parent companies to transition as fast as we can to a more fuel-efficient fleet. However, the transition is nowhere fast enough to avoid the Government’s looming clean car standard penalties from 2023 onwards,” Crawford said.

While the accelerating rate in the reduction of greenhouse gas emissions from the new vehicle fleet is pleasing, it signals to the Government the severity of the targets and resulting penalties contained in the Land Transport (Clean Vehicles) Amendment Bill.

“For our sector to reach the proposed 2025 target, we needed to have reduced our average emissions by 10 per cent in 2021, not 4.7 per cent.”

According to the MIA, New Zealand is already behind the rate needed to reach the Government’s targets despite the massive increase in sales of new low emission vehicles in 2021.

“Failing to meet the targets means prices for vehicles will increase to offset the penalties faced by new vehicle importers”.

With the Land Transport (Clean Vehicles) Amendment Bill coming back to the House for its second and third readings, the MIA has urged the Minister to review the targets so that they remain “challenging but not crippling.”