Car News

Volkswagen reaches settlement over Dieselgate in Australia

VW will spend up to $140 million paying out Australian owners of cars affected by the Dieselgate scandal.

Volkswagen Group is close to settling five class actions brought against it relating to the Dieselgate scandal, putting an end to a battle with thousands of customers in Australia.

Yet to be approved by the Federal Court of Australia, the in-principle settlement will award approximately 100,000 affected owners around $1400 each, costing VW about $140 million.

The lawsuits against the German group relates to the EA189 engine – a focus of the diesel emissions scandal worldwide – used in Volkswagen Group products from VW, Audi, and Skoda.

Affected EA189 diesel engines are in some cars produced from 2006 to 2016, including the VW Amarok, Caddy, Golf and Eos; the Audi A1, A3, A4, A5, Q3 and Q5; and the Skoda Octavia, Yeti and Superb.

The settlement has been reached on a no-admission basis, with proceedings and pay-outs expected to be concluded next year, helping bring an end to VW’s on-going emissions scandal saga.

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Alex Rae

Alex Rae