Labor has proposed an ambitious plan that would see 50 per cent of new cars sales in Australia be electric vehicles by 2030.

The plan, part of a wide-ranging climate change policy, includes a provision to allow businesses to immediately deduct 20 per cent depreciation for EV vehicles valued at more than $20,000 as part of private fleets, and is aimed at ‘building the local industry, generating more local jobs, and helping consumers make the switch’.

In a statement, Labor said: ‘A Shorten Labor Government will future-proof Australia’s road networks so they can support the uptake of electric vehicles – creating a $200 million fund to rollout charging infrastructure across the country.

‘Cleaner cars and transport aren’t just good for the environment – they are’ cheaper to run. But Australia lags behind our competitor countries, whether it’s in electric vehicle take-up, or vehicle fuel efficiency. We have ten times lower electric vehicle take-up than the global average, and we’re at risk of being left behind.’

Labor says it will also work with industry to introduce new vehicle emissions standards, aiming for 105g CO2/km for light vehicles, which it says is consistent with Climate Change Authority advice.

These standards will be applied to car retailers to meet average emissions standards, who will be allowed to ‘meet the standards by offsetting high emissions car sales with low or zero emissions car sales – such as electric vehicles’.

This part of the plan has been met with some caution. David Blackhall, CEO of AADA, commented in a statement that: “Dealers have limited influence over the product mix and the decision as to what cars are imported into Australia is entirely at the discretion of the manufacturers. In the end, Dealers can only sell the cars that are supplied to them.

“It’s simple, the company that makes the product should be responsible for meeting the standard.”

The Coalition government has yet to announce its EV policy, though it says a National Electric Vehicle Strategy plan is in the works.

Source: Motor Trader E-Magazine (April 2019 Edition)

5 Apr 2019