Electric vehicles (EVs) are the future of transport, and they are becoming more and more affordable thanks to the various incentives offered by state and federal governments in Australia. If you are considering buying an EV, you should explore the incentives available in your state or territory to help you save big. It’s important to note that government programs are subject to funding limitations and eligibility criteria may change at any time.
Electric Vehicle Australia Federal Incentives
- Fuel-efficient vehicles have a higher Luxury Car Tax threshold, resulting in savings of up to $3,920.
- Eligible zero or low-emission vehicles can receive a Fringe Benefits Tax exemption if the vehicle subtotal is $84,916 or less.
- A funding package of $62.6 million has been announced to support small businesses in their efforts to reduce carbon emissions. The funding helps with various initiatives, including the electrification of fleets.
- Removal of the 5% import tariff on electric vehicles priced below the Luxury Car Tax threshold has resulted in a $2,500 reduction in purchase prices for such vehicles. To learn more, visit Treasury Laws Amendment (Electric Car Discount) Bill 2022.
Australia State/Territory EV Incentives
- New zero-emissions vehicles can receive a full stamp duty exemption.
- New or used zero-emissions vehicles purchased from May 24, 2021, to June 30, 2024, can receive two years of free registration.
- Eligible vehicles can receive a 0% interest rate for up to $15,000 of their vehicle price when financing through the ACT Sustainable Household Scheme.
- Eligibility: Visit ACT Sustainable Household Scheme.
New South Wales(NSW) Incentives
- From September 1, 2021, the NSW Government offers a $3,000 rebate for the first 25,000 new battery electric vehicles with a Vehicle Subtotal of less than $68,750.
- Stamp duty exemption is available for new and used electric vehicles with a Vehicle Subtotal up to and including $78,000.
- Eligible electric vehicles can use Transit T2 and T3 lanes until at least October 31, 2022.
- Eligibility: The EV rebate is for residents and businesses of New South Wales who purchase eligible vehicles from 1 September 2021. However, vehicles obtained through novated leasing arrangements will not qualify for the rebate. The rebate is only available to those with a physical presence in New South Wales.
Northern Territory(NT) Incentives
- Starting from July 2022, BEVs and PHEVs will receive a $1,500 subsidy on stamp duty for 5 years.
- In addition to the subsidy, BEVs and PHEVs will also receive cheaper registration for 5 years starting from July 2022.
- Funding is available for electric vehicle chargers in residential, commercial, and public locations, along with programs aimed at enhancing the skills of service technicians and infrastructure installation in local communities.
- Reduced stamp duty of $2 per $100 up to $100,000 (dutiable value) and $4 per $100 value thereafter for electric and hybrid vehicles.
- Starting from March 16, 2022, there is a rebate of $3000 available for the purchase of new BEVs with a value of up to $58,000. This offer is limited to 15,000 cars and follows the same structure as other states, which includes the recommended retail price (RRP), delivery fees, and additional options.
South Australia(SA) Incentives
- From October 28, 2021, the SA Government offers a $3,000 rebate for the first 7,000 new battery electric vehicles with a Vehicle Subtotal of less than $68,750.
- New battery electric vehicles with a Vehicle Subtotal of less than $68,750 are eligible for three years of free registration.
- Subsidies are limited to one per individual person and two per business.
- Eligibility: The EV rebate is available to South Australian residents and businesses with premises in South Australia, for eligible vehicles purchased from 28 October 2021. Each individual person can only receive one subsidy, while each business can receive up to two subsidies. The vehicles must be registered in South Australia and cannot have received a rebate in another jurisdiction. There are no restrictions on the date of purchase to be eligible for a subsidy, and even vehicles purchased before 28 October 2021 and registered for the first time after this date will be eligible.
- Stamp duty is waived for all new and used electric vehicles from July 1, 2021, to reduce initial purchase costs.
- Car rental companies and coach operators that purchase EVs will be eligible for a two-year free registration.
- The first 20,000 electric or fuel cell vehicles that are priced below $68,740 will be eligible for a subsidy of $3000. The pricing of the vehicle will include its recommended retail price, delivery charge, and optional extras. UPDATE: The Victorian government ended its subsidy for EVs on 30th JUNE 2023).
- There will be a reduction in stamp duty rates and a yearly discount of $100 on registration fees. (For 5 years)
- Eligibility: Starting from May 2, 2021, people who reside in Victoria or own a business in Victoria can benefit from the ZEV subsidy for qualified vehicles. The subsidy is restricted to a single subsidy per individual and a maximum of two subsidies per business.
Western Australia(WA) Incentives
- The initial 10,000 sales of BEVs or FVECs priced under $70,000 (including RRP, delivery charge, and optional extras) are eligible for a rebate of $3,500.
- These vehicles are exempt from the 10% on-demand transport levy.
- Eligibility: From May 10, 2022, residents and businesses located in Western Australia can benefit from the ZEV Rebate if they own qualifying vehicles. The rebate also applies to vehicles obtained through novated leasing agreements.
In conclusion, purchasing an electric vehicle is a smart choice both for the environment and for your wallet. With the various EV incentives available across Australia, it’s easier than ever to make the switch to Electric and enjoy the many benefits that come with it. However, it’s important to keep in mind that incentives are subject to change, so always check the latest information available from your state or territory government.