GM's Australian unit Holden has said it would begin applying an "E10 suitable" label to its imported vehicles from 1 July.

The label assures owners they can use fuel blended with up to 10% ethanol without causing damage or voiding warranty rights.

The announcement follows a commitment by Australia's four domestic manufacturers to label all locally-made vehicles from January 2006.

GM Holden imports six models from other GM units worldwide. The black and yellow label is designed to be displayed near vehicles' fuel caps.

Holden's decision to include its imported vehicle range supports the Australian prime minister's target to achieve 350 megalitres of biofuels consumption by 2010.

GM Holden executive director of engineering, Tony Hyde, said the new labelling programme reflects Holden's effort to raise awareness and use of E10.

"GM Holden supports efforts to increase the use of E10 petrol, so this is a very simple but effective way to demonstrate that support," Hyde said.

"Certainly, in the short term, a concerted effort will be required to increase the uptake and consumer awareness of E10. "It is important that consumers are fully aware of the suitability of ethanol for their vehicle."

Most Holden vehicles are E10 capable, with the exception of a small number of older models not designed for ethanol compatibility.

Australia's Federal Chamber of Automotive Industry (FCAI) has a website enabling consumers to check if E10 is suitable for their vehicle.