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Home»Canadian Politics»Critics Doubt Carney’s Fuel Plan Will Ease Road Trip Costs
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Canadian Politics

Critics Doubt Carney’s Fuel Plan Will Ease Road Trip Costs

July 7, 20264 Mins Read
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Critics Doubt Carney’s Fuel Plan Will Ease Road Trip Costs
Prime Minister Mark Carney removed a mandate to have all new car sales eventually be electric, instead saying he would tighten the amount of pollution a vehicle would be allowed to emit. (Eduardo Lima/The Canadian Press)
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The federal government presented its new tailpipe standards as a way to make fuel-efficient vehicles more available to Canadians. However, two groups that promote low-emission travel argue that these rules will fall short of the country’s goals and ultimately leave many Canadians facing high gas prices.

The regulations aim to replace the previous electric vehicle sales mandate from the Trudeau administration. Besides boosting the availability of EVs, the government claims there will be benefits for those who still purchase new gas-powered cars: improved fuel economy.

The rules, known as vehicle emissions standards, set average limits on tailpipe emissions from new vehicles. Automakers can comply by increasing their production of EVs and redesigning gas-powered cars for better efficiency.

Yet, two independent studies indicate that these regulations likely won’t result in 75 percent of all new car sales being electric by 2035.

Prime Minister Mark Carney established that target in February when he announced that the government would introduce new vehicle exhaust standards aiming to reduce emissions from “172 grams per mile of driving to about 74 grams per mile.”

A recent report from a non-profit focused on providing analysis for environmental regulators, the International Council on Clean Transportation, suggests this would lead to an EV adoption rate between 62 and 68 percent by 2035.

The council is urging the federal government to implement a stricter vehicle emissions standard during a time of consistently high gas prices.

“These are complicated regulations but ultimately what they deliver are savings in the pockets of drivers,” said one of the report’s authors, Leticia Pineda, who advocates for stronger standards for vehicle tailpipe emissions.

“What they do is they incentivize the most efficient vehicles and also electric vehicles.”

WATCH | EV interest growing elsewhere:

What can Canada learn from Mexico about Chinese EVs?

Beginning this week, Chinese electric vehicle makers can apply to import EVs to Canada at a reduced tariff rate. CBC Radio’s The Current was in Mexico City recently to test drive a Chinese EV. The vehicles have been available in Mexico for years.

Similar findings were noted by Canada’s Pembina Institute clean energy think-tank, which recommends that the government adopt a standard of 40 grams per mile in order to meet the goal of 75 percent EV sales by 2035.

The institute discovered that a standard of 74 grams per mile would likely lead to less than half of new car sales being battery-powered electric vehicles by 2035. It found that a tougher standard could lower carbon emissions, improve air quality and make drivers less susceptible to global oil price fluctuations.

In a statement given to , Environment and Climate Change Canada expressed confidence that it will meet its target for 2035.

“The standards announced earlier this year provide a flexible approach for the auto industry, incentivizing innovation and emissions reductions while reflecting market realities which protect Canadian manufacturers and jobs,” it stated.

Supporters of stricter fuel-efficiency standards point out that automakers currently hold compliance credits which could allow them to continue producing vehicles with existing pollution levels if tailpipe standards aren’t tightened further.

“We know that fuel costs are the primary drivers of the affordability crisis,” said Adam Thorn, director of clean growth at Pembina Institute.

An organization representing North America’s big three automakers – Ford, GM and Stellantis – disagrees with these analyses especially considering Canadian manufacturers face “immense pressure” from U. S. automotive tariffs.

“We’re urging the government to ensure what comes forward is reasonable and achievable,” said Brian Kingston, president and CEO of Canadian Vehicle Manufacturers’ Association.

The association had previously pushed for repealing Trudeau-era EV sales mandates.

Kingston also mentioned that exhaust standards suggested by Pembina Institute and International Council on Clean Transportation could make all cars manufactured in Canada “unsellable” domestically due partly to increased costs.

He added they would complicate selling those cars in U. S. markets too.
Affordable gas cars now or hitting Canada’s goal for EVs by 2035 – what’s worth trading off? Click “Join the Conversation” below. On your app? Tap here.

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