The true cost of the Clean Car Standard

Suzuki Swift case study shows how serious the impact of the Clean Car Standard might be

The Clean Car Discount, which apportioned rebates or fees to car buyers depending on vehicle emissions, is no more. But the Clean Car Standard (CCS), which awards car importers and distributors credits for low emissions vehicles underneath a certain, well, standard, and hefty fees for those over, is still with us.

While new Transport Minister Simeon Brown is reportedly undertaking a review of CCS, for the moment the programme instituted by the previous government carries through.

Suzuki New Zealand has been very vocal about the CCS’s perceived failings since 2022. Given it sells some of the most economical vehicles on the market, what’s the issue?

Well, the CCS becomes more stringent every year and it’s more heavily weighted for very light vehicles, under 1200kg — which is most of Suzuki’s range. Taking the Swift GL as an example: it’s one of the most thrifty petrol cars you can buy, but it still tips over the 2024 emissions standard of 113.6g/km by 8g. That’s a $360 fee from the government for every car imported.

In 2025, the target shifts to 92.3g/km and the penalties increase by 50 per cent.

That means a whopping $1957 fee for each Swift GL. And so on, with the 2026/27 targets among the toughest in the world. So ultimately, retail prices may have to rise. A lot.

The solution? It’s a game of averages, and it’s clear no maker can avoid big CCS penalties with a focus on ICE vehicles — even tiny, super-thrifty ones. There have to be full hybrids and EVs in the mix to balance out the emissions leger, and Suzuki NZ doesn’t have any of those. Yet.

While Suzuki has been clear that it wants to transition slowly to electrified models because it’s a budget brand, it does have EVs on the way for 2025. And of course a new Swift due this year, which will presumably be even more thrifty (and electrified?) than the current car.