Aussie will be plug-in car leader: report

Aussie could become a world leader in electric vehicle manufacturing, says a government report.

CANBERRA - Australia could become a world leader in the design and production of zero-emission electric cars within the next decade, a government report says.

The federal government has joined with the Victorian government to predict trends in the local car industry leading up to 2020.

It predicts that from 2012, the adoption of electric cars will accelerate.

"Through advanced green car initiatives with global export potential, Australia can become one of the world's leading designers and producers of competitive, large, powerful, zero-emission passenger vehicles," the report released on Monday said.

"A radical shift presents opportunity to benefit from a fundamental change in strategy and vision, but emerging economies with large automotive sectors are becoming increasingly competitive for investment dollars in the global industry."

The federal government unveiled a A$6.2 billion ($7.62 billion) car industry package in November 2008 to subsidise production for the next decade.

It included a A$1.3 billion green car fund, which gives manufacturers A$1 for every A$3 they spend developing an environmentally-friend vehicle.

No major car maker in Australia has, so far, asked for a subsidy to develop a fully electric car.

Toyota has accepted A$35 million to build a hybrid Camry from 2010 but this vehicle still produces carbon emissions and uses petrol.

Production of a rechargeable Mini begins in the United Kingdom next year.

Nissan plans to sell zero-emission vehicles in the US from 2010.

- AAP