The charges are designed to incentivise meeting emissions targets. A range of flexibility mechanisms are built into the scheme to assist vehicle importers to meet those targets. Targets for vans and utes will be higher than those for cars and SUVs, to account for the difference in engine sizes and the loads that they carry. The standard will apply from 1 January 2023, when vehicle importers will be required to report on the carbon dioxide emissions of the vehicles that they import, and comply with carbon dioxide emission targets that strengthen on an annual basis.