Drivers looking to purchase a new electric vehicle in New South Wales will soon miss out on major subsidies and rebates, as the state government looks to pull the plug on its EV incentives.
As part of its 2023-24 state budget, the NSW Government has revealed it will be wiping its $3,000 rebate for new electric vehicle purchases, as well as the stamp duty exemption for these vehicles from January 1, 2024.
The EV rebate was first introduced as part of the state government’s Electric Vehicle Strategy on September 1, 2021 and was made available to the first 25,000 new EV purchases under $68,750. As of August 31, 2023 only 8,391 of these rebates had been claimed in the state.
The NSW Government stated it was phasing out these incentives due to fears it was driving up the cost of EVs in the state.
In place of the rebate, the NSW Government has claimed it will be prioritising investments into charging infrastructure throughout regional areas of the state, as well as for apartment dwellers. This is set to include projects such as fast chargers on heavy commuter routes, kerbside chargers for apartment complexes and upgrading the electricity grid’s capacity for chargers.
NSW Treasurer Daniel Mookhey said the change hoped to place NSW in a position to be EV-ready on a wider scale.
“It’s important the scarce taxpayer dollars we have to transition to electric vehicles are being well spent,” he said in a statement. “The benefits of government spending shouldn’t be concentrated in the hands of the few, we must ensure its spread across the whole state.
“Savings gained from cutting these costly exemptions and rebates will be reinvested, where it is needed, to deliver a more equitable and efficient EV roll out.”
NSW is the second state to announce the removal of EV incentives this year, following Victoria’s shock EV rebate ditch in June 2023.
Does this mean NSW is scrapping its EV road tax as well?
Unfortunately, no. Despite the changes to the rebates and subsidies, the state government has confirmed it will still be going ahead with a controversial EV road user tax on July 1, 2027, or when EV registrations make up 30% of new light vehicle registrations, whichever comes first.
This road user charge will see drivers pay a fixed amount per kilometre they drive in a financial year, to accommodate the loss of fuel excise revenue from these vehicles. In the 2023-24 financial year this has been set as 2.800c/km for battery EVs or hydrogen fuel cell EVs and 2.240c/km for a plug-in hybrid EV.
When actioned, the road user charge will apply to all eligible vehicles registered on or after January 1, 2024.
I want a new EV in NSW: Can I still claim this rebate?
Drivers in NSW can still claim this rebate on the purchase of a new, eligible EV up until January 1, 2024. The NSW Government has said it will honour rebates made up until this date, including deposits on vehicles that may be awaiting delivery after this date.
New vehicle purchases will still need to be under the $68,750 threshold to be eligible. Only one rebate will be available per individual.
As for stamp duty exemptions, these will also still be applicable on eligible vehicles up until January 1, 2024. This exemption is automatically applied on eligible registered vehicles with a purchase price of less than $78,000 by Transport for NSW.
For further details regarding the EV incentives available to NSW drivers, it is best to visit the NSW Government’s website.
Already own an EV? See if you could be saving on your home charging costs with one of these EV-specific electricity plans
AGL Electric Vehicle Plan Prices
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.
OVO Energy The EV Plan Prices
Here are the OVO Energy EV plans on our database for Victoria. These are products 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.
Here are the OVO Energy EV plans on our database for SEQ. These are products from a referral partner†. 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 are the OVO Energy EV plans on our database for South Australia. These are products from a referral partner†. 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.
Here are the OVO Energy plans on our database for NSW south coast. These are products from a referral partner†. These costs are based on the Endeavour Energy network in Sydney’s Greater West but prices may vary depending on your circumstances. This comparison assumes general energy usage of 4913kWh/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.
Red Energy Red EV Saver Prices
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.
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