Legislation has passed that will help motorists in New South Wales get behind the wheel of an electric vehicle (EV) much sooner, thanks to a variety of financial incentives.
As of 1 November 2021, drivers who purchased an electric car after 1 September 2021 will be able to apply to have their stamp duty refunded, in addition to one of 25,000 rebates valued at $3,000 each.
Financial incentives aside, EV owners will also be given access to T2 and T3 transit lanes – those used in peak-hour traffic by motorbikes, bicycles, public transport and vehicles with two or more people – for at least 12 months (until 31 October 2022).
The changes come after legislation passed in parliament as part of the state government’s $490 million Electric Vehicle Strategy, which was unveiled during the NSW budget earlier this year.
These incentives will make NSW a great place to purchase and own an electric car, Premier Dominic Perrottet said in a statement.
“This is a comprehensive suite of measures, which ensures we have the right mix in place to boost the take-up of electric vehicles and give people access to the latest technology,” he said.
“The strategy also starts us down the road of long-term tax reform as we embark on phasing out stamp duty on electric vehicles and making sure everyone who drives on our roads contributes to their funding and maintenance.”
The NSW government has also allocated $171 million to rollout EV charging infrastructure across the state over the next four years.
This will include ‘EV Tourist Drives’ – charging infrastructure located across regional NSW tourist locations. This venture will see regional businesses provided with grants to assist them in purchasing EV charging stations.
Medium to large-sized fleets, such as local councils, car leasing companies and car share companies, who make the switch to electric will also be financially compensated by the government.
It’s anticipated that more than 50 per cent of new car sales in the state will be electric by 2035 as a result of this nation-leading strategy, Treasurer and Minister for Energy and Environment Matt Kean explained.
“To achieve net zero emissions by 2050, the majority of new cars sold in NSW need to be EVs by 2035,” he said. “This is the beginning of an EV revolution in NSW, with more drivers set to benefit from lower taxes and $3,000 rebates on their next EV purchase.”
“Our Strategy is all about helping more drivers to benefit from the latest and best driving technology and I welcome the cross party support for the legislation.”
It isn’t all good news, however, as a controversial ‘EV Road User Charge’ is set to be introduced in NSW from 1 July 2027, or when EVs make up 30 per cent of all new vehicle sales, whichever comes first.
This charge will cost motorists 2.5c per kilometre, to help cover the government’s loss of GST on fuel purchases. It’s expected to leave EV drivers out of pocket an extra $315 on average a year.
An EV Road User Charge has already been implemented in Victoria earlier this year.
Red Energy EV Plan
Already own an EV? Some power companies offer electricity plans that are marketed towards EV owners, like Red Energy. Click on each state below to see relevant pricing.
Here is Red Energy’s Electric Vehicle Plan on our database that includes a link to the retailer’s website for further details. These costs are based on the Ausgrid network in Sydney but prices may vary depending on your circumstances. This comparison assumes general energy usage of 3911kWh/year for a residential customer on a single rate tariff. Please use our comparison tool for a specific comparison in your area. Our database may not cover all deals in your area. As always, check all details of any plan directly with the retailer before making a purchase decision.
Here is Red Energy’s Electric Vehicle Plan on our database that includes a link to the retailer’s website for further details. These costs are based on the Citipower network in Melbourne but prices may vary depending on your circumstances. This comparison assumes general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Please use our comparison tool for a specific comparison in your area. Our database may not cover all deals in your area. As always, check all details of any plan directly with the retailer before making a purchase decision.
Here is Red Energy’s Electric Vehicle Plan on our database that includes a link to the retailer’s website for further details. These costs are based on the Energex network in Brisbane but prices may vary depending on your circumstances. This comparison assumes general energy usage of 4613kWh/year for a residential customer on a single rate tariff. Please use our comparison tool for a specific comparison in your area. Our database may not cover all deals in your area. As always, check all details of any plan directly with the retailer before making a purchase decision.
Here is Red Energy’s Electric Vehicle Plan on our database that includes a link to the retailer’s website for further details. These costs are based on the SA Power network in Adelaide but prices may vary depending on your circumstances. This comparison assumes general energy usage of 4011kWh/year for a residential customer on a single rate tariff. Please use our comparison tool for a specific comparison in your area. Our database may not cover all deals in your area. As always, check all details of any plan directly with the retailer before making a purchase decision.
Am I eligible for the $3,000 EV rebate in NSW?
The first 25,000 drivers in NSW who purchase a brand-new electric vehicle for less than $68,750 will be able to apply for the $3,000 EV rebate. However, this rebate will be backdated to 1 September 2021. Motorists who purchased and registered their EV during this time will be able to claim their rebate back as of 1 November 2021. The stamp duty originally applied to these vehicles can also be claimed back next month.
For new EV purchases going forward, stamp duty will only be removed on vehicles $78,000 and under. All other EV and hybrid vehicles will be eligible for stamp duty removal from 1 July 2027 (or when EVs make up at least 30 per cent of new car sales).
The rebate and removed stamp duty on new EVs are expected to save drivers up to $5,540 off their new car purchase.
AGL EV Plan
Check out AGL’s electricity plans for EV drivers in Australia below.
Here is AGL’s Electric Vehicle Plan on our database that includes a link to the retailer’s website for further details. This is a product from a referral partner†. These costs are based on the Citipower network in Melbourne but prices may vary depending on your circumstances. This comparison assumes general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Please use our comparison tool for a specific comparison in your area. Our database may not cover all deals in your area. As always, check all details of any plan directly with the retailer before making a purchase decision.
What is the NSW Government’s Electric Vehicle Strategy?
The Electric Vehicle Strategy was designed to reduce the barriers around purchasing and owning an EV in NSW. By doing so, it aims to encourage and fast-track EV adoption, bringing the state closer to its target of net zero emissions by 2050.
According to Minister for Transport and Roads, Rob Stokes, the EV Strategy will help reduce a large portion of air and noise pollution created on the state’s roads.
“The transport sector currently makes up one-fifth of carbon emissions in NSW, with almost half of those coming from passenger vehicles,” he said. “This policy will give the green light to industry to increase model availability and cut the costs of EVs.”
Image credit: Fahroni/Shutterstock.com
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