RACQ calls on Australian government to do more for EVs

The Royal Automobile Club of Queensland, better known as RACQ, is calling on the Australian federal government to better support the uptake of electric vehicles in Australia after recent figures showed that sales of electric vehicles had stagnated at a time when uptake around the globe is increasing rapidly.

In a statement, RACQ pointed to a recent report from the Australian Electric Vehicle Council which showed that only 6,900 EVs were sold across Australia in 2020, a marginal 2.7% increase from the 6,718 sold in 2019. In 2020, EVs accounted for only 0.7% of total Australian car sales.

These lacklustre figures are in dramatic contrast to EV sales around the globe. EVs increased their European Union market share from 3.8% in 2019 to 10.2% in 2020, closely mirrored by the UK which saw the market share of EVs increase from 3.1% in 2019 to 10.7% in 2020.

In California, the share of EVs increased from 7.6% to 8.1%, while in Norway, the world’s leading adopter of electric vehicles, the market share increased from 56% in 2019 to 75% in 2020.

“Australian drivers are ready to join the exciting global electric car transition, but our politicians are yanking the handbrake,” said Behyad Jafari, Electric Vehicle Council chief executive.

“There’s simply no sugarcoating it at this point – Australia has marked itself out as a uniquely hostile market to electric vehicles.”

Responding to the figures, RACQ Head of Public Policy Dr Rebecca Michael said that the Australian Federal Government must provide better incentives for EV uptake, rather than simply taking a passive approach to EV adoption.

“In 2019 EV sales doubled, while in 2020 sales stagnated for a number of reasons, including COVID-19 and talks of an EV tax,” Dr Michael said. “This could be enough to scare drivers away from investing in an EV.

“Strong policy leadership is lacking at the moment and we need the Federal Government to step up to the role and introduce equitable and comprehensive road user charging reform while incentivising EV take-up.

“For many Queenslanders, owning a new EV is still cost-prohibitive and until we see an affordable second-hand EV market, Australia’s fleet transition to EVs will remain well behind countries that are incentivising uptake through a range of policy and tax settings.

“Investment in charging infrastructure is helping to ease range anxiety among motorists, but the price disparity between EVs and their fuel-powered counterparts continues to act as a barrier to EV uptake.”