The ACT government has expanded the size of its low interest loan scheme for EVs and appliances that boost home efficiency, and has also included electric cargo bikes for the first time.
The Sustainable Homes Scheme has offered loans of up to $15,000, at a low interest rate of 3 per cent, for households in the ACT, and says this is now expanded to $20,000 as part of its latest budget announced on Thursday.
The price cap for eligible EVs has been changed to $60,000. It used to apply for any EV (not plug in hybrids) below the luxury car tax ($91,661).
The ACT already has the highest uptake of EVs in Australia, peaking at 36.5 per cent in the month of May, as the rest of the country reported record EV sales that amounted to 20 per cent of all new car registrations in May. The share of EVs in the existing fleet is now at a country leading 4.5 per cent.
The Sustainable Homes Scheme is also open for appliances such as electric cooktops, hot water heat pumps, reverse cycle air con, ceiling insulation, solar hot water systems and home batteries.
The ACT branch of electric vehicle consumer body the Australian Electric Vehicle Association (AEVA) said it welcomed the measures, which will keep the territory on track to reach net Zero by 2045 (it already sources 100 per cent net renewables for its power grid), and make it more resilient in the face of uncertain fuel supplies.
It says it makes lower cost EVs easily accessible to ACT consumers, and means that the costs of a low interest loan and EV charging will be low than the running costs of keeping an existing fossil fuel car.
“With the cheapest new EV being priced at around $24,000, lower income households have the ability to use the loan to buy an EV at an attractive interest rate and repay the loan using their fuel savings,” said AEVA spokesperson Dr Peter Campbell.
“Helping Canberra households afford an electric cargo bike may avoid second car ownership, as a cargo bike can carry many of the same loads as a car: shopping, pets, and small children.”
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