Australia Charges Ahead

Currently, a few major challenges in the uptake of electric vehicles (EVs) in Australia is the lack of Government driven incentives and emissions regulations, as well as the high cost of these vehicles for businesses and individuals.

The federal Government will be introducing incentives for businesses to invest in new electric car fleets, in the aim towards achieving net-zero emissions by 2050. The incentives are then in turn envisioned to bring down the costs of EVs and make them more accessible to Australians.
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A $74.5 million Government package will assist businesses in trialing new technology for fleets, such as hydrogen, electric and biofuelled vehicles, and fund the installation of charging infrastructure in workplaces across Australia.

Updating commercial and Government fleets to consist of electric cars is said to amplify private sales, as the cars, after use, along with the emissions regulations, would hit the second-hand car market sooner rather than later. This strategy has already worked in the United States and Europe.

By the mid 2020s, EVs in Australia are expected to be on a par with petrol cars in terms of price.

A new analysis, by Ernst & Young for the Electric Council, found that the Australian economy would be boosted by the uptake of EVs, receiving a net benefit of $8,763, including a Government revenue benefit of $1,370, per driver who switches to an EV – over a 10 year period.

This analysis illustrates that the average Australian EV driver in fact pays more federal and state tax charges than the average combustion engine driver, despite not having to pay fuel tax.

Additionally, more EV drivers would mean a decrease in pollution and improving the respiratory health of Australia’s population as a whole.
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The new federal budget incentives may very well be a blessing for the Australian economy.

​More in our October Issue here.