Electric vehicle incentives for company fleets explained
Which state offers the most assistance for Australian businesses to transition to EVs?Company car fleets are big business.
The latest data from the Australasian Fleet Management Association (AfMA) indicates that corporate fleet vehicles account for approximately one in five of all cars registered in Australia every month, and they include a wide gamut of vehicle types from executive limousines to hard working delivery vans and everything in between.
With an ever-expanding range of electric cars becoming available, and pressure on the corporate world to lower emissions, many companies are looking at how EVs can be incorporated into their fleet requirements.
So while you can check which states offer the best EV incentives for private individuals here, in this article we’ve drilled down into the current financial incentives currently offered around the country – from both government and private sectors – to assist and encourage businesses to charge into the electrified future of motoring.
National incentives for EV company fleets
First of all, the federal government last year introduced a nationwide scheme for fleets and employees with access to novated lease options with its Electric Car Discount policy.
This is a huge incentive that eliminates the payment of Fringe Benefits Tax for all EVs that cost less than the Luxury Car Tax threshold for fuel-efficient vehicles, which increases to $89,332 for the 2023-2024 financial year.
This is on top of any state government rebates or other financial incentives and has the ability for companies to save thousands of dollars in running costs per vehicle, making electric cars more viable – and even potentially cheaper than comparable ICE vehicles – to operate.
The Australian Renewable Energy Agency (ARENA) has also committed $6.2million to part fund a program with Origin Energy to lease 1000 electric vehicles to business fleets across the country and install 1000 smart chargers to support building a larger scale charging network in Australia.
Called the Origin Accelerate EV Fleet Program, and in partnership with Custom Fleet, it aims to examine the financial implications of EV uptake in business fleets and investigate the value of smart charging systems to businesses and the electricity system.
The program is set to run for three years until 2025.
In 2019, ARENA also provided nearly half a million dollars in funding to Evenergi to develop a scheme called the Charge Together Fleets program, which included an online platform – called BetterFleet – that allows fleet managers to develop procurement plans that includes the economic and environmental assessments of vehicles and charging infrastructure in Australia.
Some major financial institutions have also come to the party to assist fleet companies and businesses transition to electric vehicles quicker via support from the Clean Energy Finance Corporation which has committed $60million over the last two years to make green car loans cheaper through several lenders, including Macquarie Bank, ANZ, NAB, Commonwealth Bank and Westpac. Most offer a discount of 0.70 per cent, which can save thousands of dollars per vehicle each year.
And, finally, there are some energy providers that offer consumers and businesses discounts on electricity usage, such as free or reduced rates on off-peak charging times, or other incentives for EV owners.
New South Wales
If the business is based in New South Wales, the state government already offers a $3000 rebate for the first 25,000 battery-electric and fuel-cell vehicles sold that cost less than $68,750, as well as the abolishment of stamp duty on all new and used EVs that cost less than $78,000.
For those that operate plug-in hybrid vehicles as part of their fleet, NSW offers a $30 discount on vehicle registration each year.
However, there are restrictions for businesses, as vehicles procured under a novated lease are not eligible and businesses that operate with less than 10 vehicles at the time of applying for the rebate can only access the rebate for up to two new vehicles.
On top of that, the state government has invested $105 million in its Drive Electric NSW EV Fleets scheme, which helps NSW-based businesses, not-for-profits, hire companies and local councils to help accelerate the transition to electric vehicles through a reverse auction process.
It also offers co-funding grants for businesses to install EV chargers, offering up to 75 percent towards the cost to purchase (and up to $1000 for the installation) of eligible 7kW and/or 22kW chargers, and 50 percent towards a two-year subscription to EV charging software.
Victoria
The Victorian government last year launched a similar rebate scheme, offering the first 20,000 customers of electric vehicles a $3000 rebate for any battery-powered vehicle that cost less than $68,740.
But it has recently announced the scheme will be scrapped at the end of the current financial year, with more than 2500 individual rebates still available this week. They are limited to two per business.
What will continue is its EV Charging for Business Fleets program, which provides $1.5million in grant funding for businesses to install electric vehicle charging stations at their premises.
Queensland
In Queensland, EV buyers are now offered a rebate of up to $6000 for all EVs that cost less than $68,000 as well as discounted registration fees and stamp duty rates for EVs and hybrid vehicles of two percent for vehicles that cost less than $100,000, and four percent for vehicles that cost more.
The EV rebate is eligible for households earning a total gross income of $180,000 per annum, while business operators can apply for up to five rebates per financial year.
South Australia
The South Australian government is offering financial incentives for EV buyers including a $3000 rebate for new EVs and FCEVs that cost up to $68,750, limited to the first 7000 cars.
The scheme is limited to two per business.
The state is also offering a subsidy of up to $2000 to install EV smart chargers at home or the workplace, limited to 7500 locations.
There are no stamp duty exemptions but EVs are afforded three years of free registration.
There are no specific incentives for business fleets in South Australia, but the government has introduced an EV Fleet Pledge as part of its Electric Vehicle Action Roadmap that encourages local business to undertake the transition to electric vehicles.
Those that join the pledge are provided with peer-to-peer information sharing and easy to access online tools that are designed to foster a community of like-minded organisations.
Western Australia
Western Australia is the latest state government to introduce financial incentives for electric vehicles, with confirmation earlier this year that it will offer the first 10,000 EV owners a $3500 rebate on vehicles that cost less than $70,000.
While there are no specific incentives for fleet vehicles in WA, the state government does offer funding grants for small and medium businesses, and not-for-profits, to recoup up to 50 per cent of the cost for installing EV charging infrastructure.
Australian Capital Territory incentives for EV company fleets
The ACT does not have rebates on EV purchases like other states but does offer two years of free registration and an exemption from stamp duty fees on all zero emission vehicles. For more expensive electric vehicles, this can end-up equalling thousands of dollars in savings.
It also offers interest free loans of up to $15,000 for homeowners to invest in sustainable products, including vehicles and charging infrastructure.
For business operators specifically, it has developed the Fleet Advisory Service, which provides local businesses and community organisations with specialist advice and hands-on experience with electric vehicles to better educate them on the transition to electric vehicles.
Tasmania
Similarly, Tasmania does not provide a rebate scheme but does have a two-year exemption for stamp duty fees for all new and used EVs and offers hire companies a two-year waiver on registration costs.
For business operators, it offers funding grants of up to $50,000 to support the installation of DC fast-charging infrastructure.
Northern Territory
In the Northern Territory, there is a $1500 discount on stamp duty fees for all EVs that cost less than $50,000 and free registration for the first five years.
And there are 80 business grants available of up to $2500 for the installation of EV chargers.
Which EV should I choose for my business?
The number of electric vehicles available in Australia is growing rapidly, with new arrivals almost every month.
The majority of EVs are small and mid-size sedans and SUVs and large luxury passenger cars, with only a handful of vans and a single dual-cab ute.
Not all of them are eligible for the financial incentives available across the country, so we’ve compiled a table that showcases all the different models and the incentives available to them.
Related: Watts Under the Bonnet – Is there an ‘EV’olution looming for the Aussie commercial sector?
Related: Which Australian states offer the best EV incentives?
Vehicle Eligibility for rebates by state
Model | Price | National FBT Exemption | NSW Rebate | NSW Stamp Duty | VIC Rebate | QLD Rebate | WA Rebate | SA Stamp Duty | ACT Stamp Duty | TAS Stamp Duty | NT Stamp Duty |
$89,332 | $68,750 | $78,000 | $68,740 | $68,000 | $70,000 | $68,750 | No cap | No cap | $50,000 | ||
Audi e-Tron wagon | From $147,400 | N | N | N | N | N | N | N | Y | Y | N |
Audi e-tron Sportback | $180,200 | N | N | N | N | N | N | N | Y | Y | N |
Audi e-tron RS GT | $248,200 | N | N | N | N | N | N | N | Y | Y | N |
Audi e-Tron wagon | From $147,400 | N | N | N | N | N | N | N | Y | Y | N |
BMW i4 eDrive40 | $102,900 | N | N | N | N | N | N | N | Y | Y | N |
BMW i4 xDrive M50 | $133,900 | N | N | N | N | N | N | N | Y | Y | N |
BMW iX | From $135,900 | N | N | N | N | N | N | N | Y | Y | N |
BMW iX1 | $84,900 | N | N | N | N | N | N | N | Y | Y | N |
BMW iX3 | $104,900 | N | N | N | N | N | N | N | Y | Y | N |
BYD Atto 3 Standard Range | $48,011 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
BYD Atto 3 Extended Range | $51,011 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Cupra Born | $59,990 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Fiat 500e | $52,500 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Genesis GV60 | From $107,700 | N | N | N | N | N | N | N | Y | Y | N |
Genesis GV70 Electric | $127,800 | N | N | N | N | N | N | N | Y | Y | N |
Genesis G80 Electric | $147,000 | N | N | N | N | N | N | N | Y | Y | N |
GWM Ora Standard Range | $44,490 | Y | Y | Y | Y | Y | Y | Y | Y | Y | Y |
GWM Ora Extended Range | $48,490 | Y | Y | Y | Y | Y | Y | Y | Y | Y | Y |
GWM Ora GT | $54,125 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Hyundai Kona Electric Standard Range | $54,500 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Hyundai Kona Electric Extended Range | $64,000 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Hyundai Ioniq 5 Dynamiq | $69,990 | Y | N | Y | N | N | Y | N | Y | Y | N |
Hyundai Ioniq 5 Techniq | $77,500 | Y | N | Y | N | N | N | N | Y | Y | N |
Hyundai Ioniq 6 Dynamiq | $74,000 | Y | N | Y | N | N | N | N | Y | Y | N |
Hyundai Ioniq 6 Techniq | $83,500 | Y | N | N | N | N | N | N | Y | Y | N |
Hyundai Ioniq 6 Epiq | $88,000 | Y | N | N | N | N | N | N | Y | Y | N |
Jaguar I-Pace | From $148,800 | N | N | N | N | N | N | N | Y | Y | N |
Kia Niro Electric Plus | $64,450 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Kia Niro Electric S | $65,300 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Kia Niro Electric GT-Line | $72,100 | Y | N | Y | N | N | N | N | Y | Y | N |
Kia EV6 Air RWD | $72,590 | Y | N | Y | N | N | N | N | Y | Y | N |
Kia EV6 GT-Line RWD | $79,590 | Y | N | N | N | N | N | N | Y | Y | N |
Kia EV6 GT-Line AWD | $87,590 | Y | N | N | N | N | N | N | Y | Y | N |
Kia EV6 GT | $99,590 | N | N | N | N | N | N | N | Y | Y | N |
LDV Deliver 9 | $From $116,537 | N | N | N | N | N | N | N | Y | Y | N |
LDV eT60 | From $92,990 | N | N | N | N | N | N | N | Y | Y | N |
LDV Mifa 9 | $106,000 | N | N | N | N | N | N | N | Y | Y | N |
LDV Deliver 9 | $116,537 | N | N | N | N | N | N | N | Y | Y | N |
Lexus UX300e Luxury | $74,000 | Y | N | Y | N | N | N | N | Y | Y | N |
Lexus UX300e Sports Luxury | $80,691 | Y | N | N | N | N | N | N | Y | Y | N |
Lexus RZ450e | From $123,000 | N | N | N | N | N | N | N | Y | Y | N |
Mazda MX-30 Astina E35 | $66,010 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Mercedes-Benz EQA 250 | $78,513 | Y | N | N | N | N | N | N | Y | Y | N |
Mercedes-Benz EQA 350 | $96,900 | N | N | N | N | N | N | N | Y | Y | N |
Mercedes-Benz EQB 250 | $87,800 | Y | N | N | N | N | N | N | Y | Y | N |
Mercedes-Benz EQB 350 | $106,700 | N | N | N | N | N | N | N | Y | Y | N |
Mercedes-Benz EQC | From $140,711 | N | N | N | N | N | N | N | Y | Y | N |
Mercedes-Benz EQE | From $134,900 | N | N | N | N | N | N | N | Y | Y | N |
Mercedes-Benz EQS | From $328,400 | N | N | N | N | N | N | N | Y | Y | N |
Mercedes-Benz eVito | $116,115 | N | N | N | N | N | N | N | Y | Y | N |
Mercedes-Benz EQV | $11,252 | N | N | N | N | N | N | N | Y | Y | N |
MG 4 Excite | $44,990 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
MG 4 Essence Standard Range | $47,990 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
MG 4 Essence Long Range | $55,990 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
MG ZS Excite | $44,490 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
MG ZS Essence | $48,990 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
MG ZS Long Range | $55,990 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Mini Cooper SE | $64,975 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Nissan Leaf | $50,990 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Nissan Leaf+ | $61,490 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Polestar 2 Single Motor Standard Range | $63,900 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Polestar 2 Single Motor Long Range | $68,400 | Y | Y | Y | Y | N | Y | Y | Y | Y | N |
Polestar 2 Dual Motor Long Range | $73,400 | Y | Y | Y | N | N | N | N | Y | Y | N |
Porsche Taycan | From $165,700 | N | N | N | N | N | N | N | Y | Y | N |
Porsche Taycan CrossTurismo | From $186,500 | N | N | N | N | N | N | N | Y | Y | N |
Renault Kangoo Maxi ZE | $50,390 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Tesla Model 3 RWD | $61,300 | Y | Y | Y | Y | Y | Y | Y | Y | Y | N |
Tesla Model 3 AWD Long Range | $74,300 | Y | Y | Y | N | N | N | N | Y | Y | N |
Tesla Model 3 Performance | $88,555 | Y | N | N | N | N | N | N | Y | Y | N |
Tesla Model Y RWD | $69,300 | Y | Y | Y | N | N | Y | N | Y | Y | N |
Tesla Model Y Long Range | $82,300 | Y | N | N | N | N | N | N | Y | Y | N |
Tesla Model Y Performance | $98,855 | N | N | N | N | N | N | N | Y | Y | N |
Volvo XC40 Pure Electric | $73,990 | Y | N | Y | N | N | N | N | Y | Y | N |
Volvo XC40 Twin Pure Electric | $81,490 | Y | N | N | N | N | N | N | Y | Y | N |
Volvo C40 Pure Electric | $75,990 | Y | N | Y | N | N | N | N | Y | Y | N |
Volvo C40 Twin Pure Electric | $83,490 | Y | N | N | N | N | N | N | Y | Y | N |
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