Look no further if you’ve been thinking about getting a subsidized electric vehicle (EV). The Australian federal government is currently offering subsidies of up to $4500. This is part of their efforts to reduce emissions from transport. As it is one of the country’s highest-emitting sectors. EVs are becoming increasingly popular as the cost of running and maintaining them continues to fall due to our government’s various efforts.
Electric Vehicle policy in Australia
New legislation will exempt EVs from fringe benefit taxes for a maximum of three years (initially). The government has also unveiled a package of EV subsidies. For the purchase of new battery electric and hydrogen fuel cell vehicles that qualify. The subsidy package comprises a $3,000 purchase subsidy and a 3-year registration exemption.
Under the current scheme, eligible buyers can receive up to $3,000 – $5,000 off the purchase price of an subsidized electric vehicle. This subsidy is available for both new and second-hand vehicles, making it easier for Australians to make the switch.
For new battery electric and hydrogen fuel cell vehicles initially registered between 28 October 2021 and 30 June 2025. A three-year registration exemption is also available. There is no cap on the number of new EVs that can qualify for the registration exemption within the eligible time period.
Subsidies per state in Australia
- South Australia: New ZEVs with their first registrations up until June 30, 2025, are exempt from registration fees for three years, with a refund of $138 for the first year.
Additionally, there are household EV charging incentives. The first 7,500 homes are eligible for a $2,000 grant to install a home charger. - Victoria: Any zero-emission vehicle purchased is instantly eligible for a $3,000 grant from the state government (ZEV). This covers both battery- and fuel-cell-powered vehicles. However, only the first 20,000 vehicles costing less than $68,740 are eligible.
Also set aside are $20 million for ZEV public buses and $19 million to hasten the installation of EV chargers around the state. - Queensland: Reduction in the cost of vehicle registration, and subsidies of $3,000 are available for ZEVs under $58,000.
Also promised are $10 million to the co-funding of public EV chargers in Queensland. - Northern Territory: Financial incentives for EV purchasing have been introduced with the elimination of stamp duty and two years of registration at no cost, the main benefits started in July 2022. Additionally, there is an option for a $15,000 zero-interest loan on battery electric automobiles.
- Western Australia: There are currently no direct incentives for EVs; instead, $21 million has been invested in building a fast-charging network. Currently, Across WA 45 new charging stations are expected by January 2024
- Australian Capital Territory: Offers many incentives for buying ZEVs, including a stamp duty exemption on new automobiles and two years of free registration. A zero-interest loan of $2,000 to $15,000 is available to qualified ACT households for EV charging. 50 public charging stations will also be installed across the state.
- New South Wales: There are numerous incentives in New South Wales. the elimination of the $3,000 rebate now given to the first 25,000 new battery-electric and fuel-cell EVs under $68,750 for EVs up to $78,000.
Additionally, $171 million will be used to build infrastructure, including EV chargers every 5 km along important corridors, every 100 km along major highways, and 5 km from residential neighbourhoods.
How do I apply for the subsidy?
To apply for the subsidy, you will need to provide:
- Your contact details
- The make, model and year of the subsidized electric vehicle you wish to purchase/lease
- The date of purchase/lease
- Proof of purchase/lease (e.g. receipt, contract)
- Once your application has been received, it will be assessed. You will be notified of the outcome within 10 working days.