Feeling the urge to splurge. To go the whole hog and buy an electric vehicle?
Savvy has just completed a survey that shows what sort of financial support you can expect in the State where you live.
Founded in 2010, Savvy has grown from finance broker to offer comprehensive market surveys to help buyers nail the best deal.
Its latest report shows that Australia trails the world in the change to electric vehicles, which represented 1.6 per cent of new car sales in 2021 compared to the global average of nine per cent.
But that is still a 222 per cent increase on 2020.
Savvy reports there is no one nationwide incentive plan to encourage the change to EVs.
Each State offers a different range of incentives. Some are direct incentives such as loan discounts, while other are indirect incentives such as tax breaks and other savings.
If you’re thinking of making the switch to an EV, here are the incentives available for a $50,000 EV in the various Australian states and territories.
New South Wales EV Incentives
NSW has some of the country’s most comprehensive EV incentives, including a $3000 rebate for the first 25,000 EVs priced under $68,750 sold after September 2021.
The Government will waive stamp duty (around $1500) for EVs that cost $78,000 to buy, with all other EVs and plug-in hybrids being exempt from July 1, 2027 or when EVs make up at least 30 per cent of new car sales.
However, this comes with a road user charge of 2.5c/km for EVs and 2c/km for HEVs from 2027, or when electric vehicles reach 30 per cent of new car sales.
The government also is investing $171 million in a state-wide charging network.
Victoria EV Incentives
The Victorian State Government is offering a $3000 rebate for EVs priced below $68,740 (excluding stamp duty, registration, and CTP) for 4000 vehicles in the first round of subsidies, with 20,000 subsidies planned in total.
Luxury low-emission vehicles, which include electric and hybrids, are exempt from the Victorian luxury duty: $1000 on a $100,000 car, $4200 for a $150,000 car, $9600 on a $200,000 car and $14,400 on a $300,000 car.
EV drivers also receive a $100 annual rego discount. However, they will be charged 2.5c/km for EVs and 2c/km for HEVs from July 1, 2021 to June 30, 2022 (indexed annually).
The Government will spend $19 million to speed up the rollout of EV charging infrastructure across regional areas.
Queensland EV Incentives
Queenslanders can get a bit of a bargain when it comes to EVs, as the government is offering a $3000 EV rebate for all electric vehicles under the price of $58,000.
Hybrid Electric (HEV) and EVs pay lower stamp duty than petrol driven cars.
EVs worth $100,000 pay a 2 per cent duty while those over $100K pay 4 per cent.
Their petrol or diesel counterparts pay between 3 and 6 per cent.
The government has also no plans to introduce a road user charge.
The government is installing 18 new fast charges to inland areas to bolster the already coastal “Queensland Electric Super Highway.”
They’re planned for Charleville, Longreach, and Mt. Isa, among other regional hubs.
South Australia EV Incentives
South Australia is giving EV buyers a $3000 rebate for the first 7000 EVs priced under $68,750 sold from October 28, 2021.
There are no tax breaks on offer, but there is a three-year rego exemption for new battery electric and hydrogen fuel cell vehicles registered until June 30, 2025.
They are imposing a 2.5c/km charge for EVs and 2c/km for PHEVs by July 1, 2027 or when EVs make up 30 percent of sales.
The government is offering a $2000 subsidy for installation of smart chargers in up to 7500 households, as well as a state-wide charging network planned by 2025.
Western Australia EV Incentives
Western Australia announced 10,000 rebates of $3500 would be available for electric and hydrogen vehicles priced below $70,000.
It is not offering tax breaks or registration discounts.
It will impose a 2.5c/km EV road user charge and 2c/km Hybrid Electric Vehicle charge from July 1, 2027 that will be pegged to rise with inflation.
The WA Government says that it will introduce plans for an EV charging network from Kununurra in the north, down the coastline to Perth and towards Esperance in the South.
It also plans to introduce EV charging to Kalgoorlie.
Tasmania EV Incentives
Tasmania isn’t offering any EV rebates, but it will waive the usual 4 per cent stamp duty on all EV until the 1st of July, 2023.
For a $50,000 EV, this could represent a saving of $2000.
There are no rego discounts unless you rent cars out, then you get two years of free registration.
The government isn’t imposing a road user charge.
It is giving away up to $600,000 in grants to install chargers as part of the ChargeSmart program, with up to $2500 in grants for AC destination chargers and up to $50,000 grants for DC fast chargers.
Australian Capital Territory Incentives
ACT has taken a different approach, offering interest free loans up to $15,000 to purchase EVs.
They are also waiving stamp duty for all vehicles that emit less than 130 g/km of CO2 (which includes petrol vehicles, if applicable.)
One can save $400 on a $40,000 emissions efficient car , or up to $5100 on a $100,000 SUV, for example.
ACT drivers will also enjoy two years of free registration for EVs purchased until June 30, 2024, as well as a 20 per cent ongoing discount to annual registration fees for EVs purchased before May 1, 2021.
The government is investing in 50 public charging stations by mid-way through 2022, and another 50 after that.
Northern Territory EV Incentives
The Northern Territory has no direct incentives for residents buying EVs.
However, it will discount stamp duty on all EV sales by $1500 between July, 2022 and July, 2027.
EV owners can also take advantage of free registration of EVs from July, 2022 to July, 2027.
The government is planning a grants program to introduce electric charging from now until 2026, with at least 400 EV charging stations being installed around NT Government buildings.
With so many incentives on offer, Savvy says it may be worthwhile to look into buying EVs before they reach mass adoption.
Savvy’s Bill Tsouvalas said while there are still new vehicle shortages in Australia due to prolonged COVID disruptions, it is seeing demand for electric cars really increasing.
“This is obvious by the higher number of car loan applications customers are taking out for EVs,” he said.
“People are prepared to buy now and wait for delivery to get the car they want.
“While electric vehicles are still on the expensive side, sky-high fuel prices are making the decision to go electric easier and easier. I
“f petrol prices stay this way and the expected influx of more affordable EVs finally hit our shores, you can expect EV uptake to skyrocket.”
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