With exorbitant petrol prices continuing to contribute to the rising cost of living, it’s safe to say you’re not alone in wanting to explore your electric vehicle options.
In fact, despite the relatively limited range of electric vehicles (EVs) available in Australia, nationwide EV sales almost tripled in 2021.
But with the average purchase price of EVs remaining significantly higher than their petrol-powered equivalents, it can be difficult for some Australians to justify the cost of making the switch.
Fortunately, many of our states and territories offer incentives to EV buyers in the form of rebates and tax breaks, that may just take the sting out of the higher price point.
While the Federal Government is yet to offer any form of incentives to EV buyers, apart from a higher luxury car tax threshold for fuel-efficient vehicles, here’s what the state governments are offering:
New South Wales
The NSW government offers a rebate of $3000 for the first 25,000 EVs priced under $68,750, sold from 1 September 2021.
It also offers a stamp duty waiver for EVs under $78,000 that are registered on or after 1 September 2021.
The Victorian government offers a rebate of $3000 for EVs purchased on or after 2 May 2021 and priced below $68,740 before on-road costs, for up to 4000 vehicles in the first round, with two further rounds to follow (up to 20,000 subsidies in total). Its website shares the number of subsidies remaining in the current release.
It also offers a yearly $100 discount on registration fees.
The Queensland government offers a rebate of $3000 for EVs purchased for up to $58,000 on or after 16 March 2022.
It also charges lower duties for EVs than petrol or diesel vehicles.
The WA government offers a $3500 rebate for the first 10,000 EVs purchased for $70,000 or less, from 10 May 2022 for up to three years or until places run out.
The South Australian government offers a $3000 rebate for the first 7000 EVs sold from 28 October 2021, that are priced under $68,750. Its website is routinely updated with the number of subsidies remaining.
It also offers a three-year registration fee exemption for new EVs that are registered between 28 October 2021 and 30 June 2025.
The NT government doesn’t offer a rebate on the purchase price of EVs, but does offer a stamp duty discount of up to $1500 on new and used EVs that are purchased for up to $50,000 from 1 July 2022 to 30 June 2027.
It also offers free registration for EVs over the same period.
Also from 1 July 2022, the Electric Vehicle Charger (Residential and Business) Grants Scheme will be available to owners of EVs to buy and install EV chargers, including 100 residential grants of $1000 and 80 business grants of $2500.
Australian Capital Territory
The ACT government offers a stamp duty waiver on the purchase of new EVs, and two years’ free registration for EVs purchased from 24 May 2021 and before 30 June 2024.
The Tasmanian government offers a stamp duty waiver on EVs until 1 July 2023.
Other cost saving incentives
In addition to the subsidies on offer by most state governments, your new EV may also be eligible for financing with a green car loan. Green car loans, which are available to use for the purchase of eligible fuel-efficient vehicles, tend to have lower interest rates attached as lenders incentivise borrowers to make the eco-conscious switch.
To calculate potential car loan repayments on your new green car loan, as well as total interest payable, consider using RateCity’s car loan calculator.