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EV strategy passes NSW parliament

NSW Electric Vehicle (EV) Strategy legislation has passed through the NSW parliament. The legislation will commit $490 million towards EVs in tax cuts, $3,000 rebates on purchased EVs, and EV chargers’ installation across NSW. 

The legislation is hoped to incentivise the uptake of EVs and reduce obstacles in their purchase and practical use. The new legislation makes NSW the nation leader in Australia’s drive to get more EVs on the road. 

Now Premier Dominic Perrottet designed the legislation when he was NSW Treasurer under the Berejiklian- Barilaro government. Mr Perrottet said, “Our comprehensive strategy is about making sure we have the right mix in place to incentivise the take-up of electric vehicles while ensuring everyone who drives on our roads contributes to funding and maintaining them.” 

He continued: “From young adults saving for their first car in Western Sydney to retirees planning a road trip to Broken Hill, these incentives will make electric vehicles accessible and affordable for all NSW residents.”

Net-zero plan 

The legislation is part of NSW’s Net Zero Plan Stage 1: 2020-2030 and Future Transport 2056 Strategy, which aims to see a 50 per cent cut in NSWs total emissions by 2030. Stage two of the plan will strive for NSW to achieve net-zero emissions by 2050. 

The plan will use a range of targeting measures to meet its goal, including energy, electric vehicles, hydrogen, primary industries, technology, built environment, carbon financing and organic waste.  

Former Energy and Environment Minister, now Treasurer Matt Kean, said, “We also know that, with new cars staying on the road 15 years on average, the vast majority of new cars sold in NSW need to be EVs by 2035 to achieve net-zero emissions by 2050.

“Our aim is to increase EV sales to more than 50 per cent of new cars sold in NSW by 2030 and for EVs to be the vast majority of new cars sold in the State by 2035.”

New eligible EVs registered after September 1 2021, can apply for a stamp duty refund and one of 25,000 rebates available, each worth $3,000. Applications open on November 1 2021.

Special highway lanes will be made available for use by EVs from November 1. The legislation will allow eligible electric vehicles to travel in Transit T2 and T3 lanes until at least October 31 2022, making travelling in an EV even easier and more convenient. 

Outline of legislation 

 The $490 million in funding and tax cuts includes:

  • Stamp duty will be waived for eligible electric vehicles (battery and hydrogen fuel cell vehicles) priced under $78,000 purchased from September 1 2021;
  • Rebates of $3,000 will be offered on private purchases of the first 25,000 eligible EVs (battery and hydrogen fuel cell vehicles) under $68,750 sold in NSW from September 1 2021;
  • $171 million for new charging infrastructure across the State. This includes $131 million to spend on new ultra-fast vehicle chargers, $20 million in grants for destination chargers to assist regional tourism, and $20 million for charging infrastructure at public transport hubs on Transport for NSW owned land.
  • $33 million to help transition the NSW Government passenger fleet to EVs where feasible, with the target of a fully electric fleet by 2030. These vehicles typically are on-sold after three to five years, providing availability for private buyers in the second hand market.

Read more: Free electric vehicle charging stations to rollout in regional Victoria, regional Australia-wide to follow

Read more: NSW Government to promote a dozen start-ups at the Asia Pacific’s largest business tech event

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Heidi Heck

Heidi Heck

Heidi Heck is a Journalist at Dynamic Business. She is a student at the University of Queensland where she studies Journalism and Economics. Heidi has a passion for the stories of small business, as well as the bigger picture of economics.

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