Western Australia announces $60m EV package

Western Australia has followed the rest of the country in announcing subsidies for electric vehicles, this time in the form of a $59.1 million package including $3500 rebates for up to 10,000 buyers of new battery-electric (BEV) and fuel-cell electric (FCEV) vehicles, plus a $22.6 million investment in charging infrastructure.

The announcement was made today as part of the 2022-2023 WA state budget and comes some 11 months after eastern states including New South Wales and Victoria detailed their EV strategies.

Under the new package, which comes into immediate effect, the first 10,000 West Australians to purchase a sub-$70,000 BEV or FCEV will receive a $3500 rebate from the state government, which projects a possible reduction in CO2 emissions of more than 7000 tonnes per annum as a result.

The $70,000 price threshold is the highest figure nominated by any state government, eclipsing NSW’s $68,750 cut-off.

The WA government also nominated an annual fuel saving of around $1400 for the average motorist who makes the switch from combustion power to a zero-emissions vehicle.

Of the $22.6 million allocated to improving the state’s EV charging infrastructure, $10 million will be granted to “not-for-profits and small and medium-sized businesses” to slash their EV infrastructure installation costs – by up to 50 per cent in some cases.

A further $5 million will be used to do the same thing for local governments while $4 million has been put aside for the Public Transport Authority to trial the installation of EV charging infrastructure at four key train stations, providing up to 20 bays per car park with commuter charging access.

The remaining $2.9 million will be used to install eight new charging stations along National Highway 1 between Norseman and Eucla, extending the state’s electric highway out to the South Australian border.

As of July 1, 2027, WA will introduce a new distance-based road user charge of 2.5c per kilometre for BEV and FCEV drivers (2c/km for plug-in hybrid vehicles), in line with EV road tax plans in other states.

Some $200,000 will be spent on the development of management and collecting software for the charge.

The Federal Chamber of Automotive Industries (FCAI) was quick to praise the new EV package, with chief executive Tony Weber describing it as a “positive signal for car manufacturers and motorists that electrification will be a key element in Australia’s transport future”.

“The McGowan government’s commitment of $22.6 million to expand charging infrastructure is a proactive step towards preparing for the future electrification of our road network,” he said.

“The inclusion of 10,000 rebates of $3500 for Western Australians who purchase a new electric or hydrogen fuel-cell vehicle is positive for automotive manufacturers and Western Australians alike.

“These rebates are going to help make owning an electric or hydrogen fuel cell vehicle possible for more Western Australian road users.”

Weber wasn’t quite so glowing about the varying road user charge and reiterated that all taxes and charges relating to any kind of powertrain should be replaced with a single charge, regardless of the fuel type.

WA premier Mark McGowan also announced a further $31 million would be invested in climate action research and used to support a number of other the state government’s CO2-reduction initiatives.

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