In response to soaring oil prices the Australian Government have introduced a subsidy scheme for LPG Conversions. The Government is offering A$2,000 (£808) to people who convert their car to LPG and A$1,000 (£404) to people who buy cars that are already running on LPG. Petrol Stations will receive a grant of $20,000 (£8086) for supplying LPG at a lower price than unleaded petrol (40% lower). The scheme is said to be costing A$1.6bn over an eight year period. Critics have commented that despite the grant, lower-income drivers will still not be able to afford the cost of the conversion. LPG Conversions in Australia cost around A$4,000 (£1670) and save a typical driver around A$1,400 (£566) per year on fuel costs.

This is great news for the Aussies, perhaps the UK will follow suit - fingers crossed!

This entry was posted on Wednesday, August 16th, 2006 at 9:39 am and is filed under LPG cars, LPG conversion, LPG industry news, LPG prices, LPG. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.