Queensland announces EV incentive

The Queensland state government has announced a new $55 million ‘Zero Emission Vehicle Strategy’ that includes a $3000 rebate for buyers of new zero-emission vehicles priced under $58,000 from March 16.

In addition, stamp duty and ongoing registration costs for eligible vehicles will also be discounted, but it remains to be seen how significant these savings will be.

With the best-selling Tesla Model 3 priced well and truly out of eligibility, along with the $59,900-plus Polestar 2, Queensland EV buyers wishing to make the most of the new incentives will have the choice of around half a dozen models comprising the new BYD Atto 3, two Hyundai IONIQ models, the standard range Hyundai Kona Electric, MINI Cooper SE, Nissan LEAF and MG ZS EV.

A $10 million co-fund (included in the $55m) has also been established to support the investigation and subsequent installation of public charging options throughout the state in partnership with local government and private industry.

Another key objective is the electrification of state government fleets where applicable, with the Palaszczuk government expecting its fleet to comprise “at least 288 electric vehicles” by the end of the year.

Designed as a roadmap for the next 10 years, the key objectives of the Zero Emission Vehicle Strategy 2022-2032 are for half of all new-vehicle sales to be zero-emission by 2030, moving to 100 per cent by 2036 and for “all eligible Queensland Government fleet passenger vehicles” to be zero-emission by 2026.

Furthermore, every new TransLink-funded bus added to the fleet will be zero-emission as of 2030 at the latest.

The strategy has been welcomed by two of the automotive industry’s key bodies – the Electric Vehicle Council (EVC) and Federal Chamber of Automotive Industries (FCAI) – so far, however, both of them said there was room for improvement.

“Queensland was the first Australian state to develop an EV strategy and today's announcement shows there’s still strong momentum toward an electric future in the Sunshine State,” said EVC chief executive Behyad Jafari.

“We know Queensland drivers already have great enthusiasm about the idea of switching to an EV, this package will help convert a lot of that enthusiasm to action.

“Direct company incentives would also attract more EV supply chain investment to the state.

“And with a strong manufacturing presence in the state, the Queensland Government might also consider ways to support the uptake of electric trucks.”

FCAI chief executive Tony Weber echoed Jafari’s comments, but said the strategy should have been developed with a broader scope than just zero-emission vehicles.

“The primary policy objective is to reduce CO2 emissions and our pathway to this objective in the transport sector needs to be a holistic one. Electric vehicles alone will not achieve this in Australia,” he said.

“The pathway to reducing emissions through to the mid-2030s will rely on a range of low emission technologies that include plug-in hybrid, hybrid and even highly efficient internal combustion engines in addition to pure EVs.

“Improvements in fuel quality and the introduction of a broad-based and nationally consistent Road User Charge scheme, as well as a vehicle emissions target, are all needed to bring the best low and zero-emissions technology to Australia.”

Queensland joins NSW, Victoria and South Australia in offering a $3000 rebate on EVs of a certain value. However, these three states have all capped the incentive at a certain number of vehicles (the first 25,000, 6000 and 20,000 registrations respectively), which is something the sunshine state is yet to do.

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