9:30 PM | September 24 2021
Electric Vehicle Incentives in Australia
A state-by-state look at the various incentives being offered to encourage Australians to switch to electric vehicles.
Sales of electric vehicles are growing in Australia not just the rest of the world, and Volvo Cars’ first fully electric vehicle is already sold out for 2021.
The Federal Government has yet to introduce any nationwide incentives for EV buyers, leaving it for now to each of the country’s eight states to consider their own policies.
Here, I Roll provides a quick guide to the EV incentives being offered.
AUSTRALIAN CAPITAL TERRITORY
Zero Emissions Vehicles (ZEVs) – such as the Volvo XC40 Recharge Pure Electric – are eligible for an exemption from stamp duty. The ACT also provides two years’ free registration for both new and used ZEVs. For an additional, related incentive, the ACT’s Sustainable Households Scheme offers zero-interest loans of between $2000 and $15,000 to assist with the costs of energy-efficiency upgrades for homes, which includes installations related to ZEVs.
NEW SOUTH WALES
The NSW government has announced a $3000 rebate for the first 25,000 new battery or fuel-cell electric vehicles purchased in the state from 1st September onwards. The rebate applies to vehicles costing less than $68,750 (including GST). Stamp duty will also be reimbursed, with the price threshold for this incentive increased to $78,000. Although the legislation has yet to be officially passed, the state government has said the incentives will be applied retrospectively to 1st September.
From July 2022, the NT government will remove registration fees for electric vehicles purchased in the NT for five years. Stamp duty on new and used EVs will also be reduced by $1500 for five years.
Above: The Volvo XC40 Recharge Pure Electric. Charging equipment sold separately.
Electric vehicles, as well as hybrid vehicles that include Volvo Cars’ range of Recharge plug-in hybrid models, have the lowest rate of stamp duty applied.
A $3000 state government subsidy for electric-vehicle buyers has been proposed but is yet to be formally approved.
The state’s Motor Vehicle Duty is waived for electric vehicles for a period extending from 1 July 2021 to 30 June 2023.
For the first 4,000 vehicles purchased, a $3000 rebate is available for pure electric vehicles costing up to $68,740 (including any options). The offer, implemented on 2 May 2021, will last until the “subsidies are fully committed” or for three years, whichever is sooner.
No EV incentives are currently provided for WA buyers.
Volvo Car Australia has particularly welcomed the NSW Government’s strong electric vehicle strategy, and continues to urge federal and state governments to develop their own plans to significantly drive the uptake of electric vehicles.