New Zealand will soon look to help lower- and middle-income families make the switch to electric vehicles (EVs) thanks to a newly launched subsidy called the Clean Car Upgrade programme.
The proposal came as part of Prime Minister Jacinda Ardern’s Emissions Reduction Plan, a massive multi-agenda climate plan designed to ensure that the country is on track to meet its first emissions budget.
It includes a $NZ569 million Clean Car Upgrade, a scrap-and-replace trial which will provide targeted assistance to lower- and middle-income families to make the switch to EVs.
Additionally, a $NZ20 million vehicle social leasing scheme will lease low-emission vehicles to low-income households, such as those families for whom any vehicle at all would be a significant luxury.
“This is a landmark day in our transition to a low emissions future,” said Jacinda Ardern.
“We’ve all seen the recent reports on sea level rise and its impact right here in New Zealand. We cannot leave the issue of climate change until it’s too late to fix.
Starting with an initial trial of up to 2,500 vehicles, the Clean Car Upgrade will help low-income families through a subsidy to upgrade from an ICE vehicle to either a hybrid, plug-in hybrid, or battery electric vehicle.
“The Clean Car Discount Scheme has been successful in supporting the uptake of electric and hybrid vehicles,” said Michael Wood, NZ transport minister. “However, we know for many families, the cost of transitioning to cleaner vehicles can be too expensive.”
“Through supporting the uptake of cleaner vehicles, we are not only helping families do their bit for our planet, but also protecting them and our economy from future economic shocks and high fuel prices. This will also help safeguard New Zealand by reducing our international dependency on fossil fuels.”
NZ climate change minister James Shaw says imilar scheme in California has seen more than 10,000 Californians scrap their old, dirty cars and replace them with cleaner alternatives such as new and used zero-emission, plug-in hybrid, or hybrid cars.
The plan includes $NZ350 million to fund Transport Choices, a range of transport services and infrastructure investments designed to reduce reliance on cars and help New Zealanders make cleaner transport choices.
Investment areas will include rolling out at least 100-kilometres worth of urban cycleway networks to quickly build more connected networks, and improvements for around 25 pedestrian areas which will create “walkable neighbourhoods” and create healthier travel between 75 to 100 schools.
The investment will also look to focus on making improvements to public transport, with bus priority improvements in over 40 locations which will take place alongside improvements to shelter, access, and customer information at up to 500 stops and stations.
“There is strong public support in our biggest cities to move quickly on opening up streets for safe walking and cycleways and improving the frequency and reliability of public transport services,” said Wood.
“This helps to unclog our streets, allowing goods and services to move around more efficiently, supporting greater productivity and building our country’s economic prosperity.”
Joshua S. Hill is a Melbourne-based journalist who has been writing about climate change, clean technology, and electric vehicles for over 15 years. He has been reporting on electric vehicles and clean technologies for Renew Economy and The Driven since 2012. His preferred mode of transport is his feet.