ALP calls for 15 per cent of all cars to be EVs by 2030

The Australian Labor Party (ALP) has outlined its vision for an electric future in its ‘Powering Australia Plan, which calls for at least 15 per cent of all vehicles on our roads to be all-electric by the end of this decade – if it wins the next federal election.

According to the Plan’s multitude of modelling and projections, electric vehicle (EV) sales will increase by 600,000 vehicles (208 per cent) above government projections by 2030, raising the EV share from 29 to 89 per cent of new car sales in 2030.

ALP says that will result in “EVs making up 15 per cent of all vehicles on Australian roads by 2030”.

The ambitious goals would be backed by $251 million in funding for an ‘electric car discount’ and the removal of “inefficient taxes from low-emissions vehicles”, resulting in around a $2000 saving for EV buyers within the $50,000-$60,000 price range.

That discount could blow out to between $8700-$12,000 – depending on the vehicle’s purchase price – if EVs were to be made exempt from the fringe benefits tax, said the ALP.

In order to cater for and promote the predicted surge in EV demand, the ALP also says it will call for “Commonwealth-funded road upgrades to incorporate charging infrastructure where appropriate”, comprising 1800 new public fast-charging stations, although no monetary figure has been nominated.

On a grander scale, $14 million would be committed over four years to establishing a real-world emissions testing program in Australia; something that could ultimately prove useful for auto brands given the current court proceedings against Mitsubishi.

In terms of the environment, the plan targets a 68Mt emissions reduction between 2022 and 2035, while transport-specific emissions are intended to be reduced by 4Mt in 2030.

In total, the Powering Australia Plan projects 5960 new jobs will be created within the transport sector alone (encompassing emissions reductions and testing, charging infrastructure installation and maintenance, etc).

The plan has been generally well-received by the industry with both the Federal Chamber of Automotive Industries (FCAI) and the Electric Vehicle Council (EVC) welcoming the proposed initiatives.

Specifically, FCAI chief executive Tony Weber said it was pleasing to see continued “meaningful discussion” about the increased uptake of EVs and that the FCAI would “be pleased to work alongside any government in their efforts to introduce positive policy directions for the increase of the best technology vehicles that are available to Australians”.

“Australia is lagging the rest of the world when it comes to a long-term vision for the continued penetration of low emission vehicles,” said Weber.

“The automotive sector has seen around the world that strong signals around targets, good infrastructure policy and incentives from national governments contribute to positive outcomes on low emission vehicle introduction.

“Signals like this can encourage global car brands to increase the choice of low emission vehicles available in our market which in turn increases the adoption of electrified vehicles available to customers.”

EVC chief executive Behyad Jafari shared Weber’s enthusiasm, saying the plan would result in cleaner and quieter streets as well as lower health costs.

“Labor’s plan for a National Electric Vehicle Policy is well overdue for Australia; the Electric Vehicle Council is ready and eager to support its development,” he said.

“Working with industry will be critical in creating a plan that maximises the enormous benefits of electric vehicles.

“Australia should be building batteries and electric vehicles, but we have so far been let down by a lack of ambition at a federal level.

“It’s a welcome development to see the debate now shifting to how to embrace the future of electric vehicles in Australia.”