NSW EV policy announced

[Onshore]

NSW to abolish stamp duty on electric cars

But EV drivers will be hit with a road-user tax within six years to help fund road and infrastructure spending.

www.smh.com.au

Key points:

Stamp duty exemption
Direct rebate for 25,000 cars
Priority parking and access to transit lanes
Mileage charge not until 2027

 

[moa999]

$ limits are important
Stamp duty will be removed from EVs that cost less than $78,000 by September this year, and a $3000 rebate given to the first 25,000 vehicles sold in NSW for under $68,000.

So really only applicable to SR+ in NSW. The delivery fee take the LR over the top.

Sticking with Aero Wheels also gets all colour options under the $68k, or white with 19"

 

[moa999]

Disappointed that they've gone with the stupid Victorian rates..

Makes an EV much more expensive per KM in taxes than a Prius or most lightweight cars.

But hopefully by 2027 we have some form of national system, where all cars are charged a $/km fee, and then there is an additional Environmental/Pollution levy on Petrol AND Diesel.

Also a shame no rego rebate to reflect the higher weight of most EVs.

 

[Hungry Mile]

more expensive per KM in taxes

$250 per 1000km per annum. Yes, a rego rebate for a few years at least would help.

The federal coalition will never implement a road user charge on ice vehicles and and the National party would complain about their constituents in the country being disadvantaged by that.

 

[moa999]

But $171m for chargers is massive.

Remember Qlds announcement this week was $2.5m for 18 chargers.

$171m buys you hundreds.

 

[Hungry Mile]

$171m buys you hundreds.

In regional NSW I hope. Chris Minns positive too.

 

[Onshore]

$250 per 1000km per annum. Yes, a rego rebate for a few years at least would help.

Whoa there big fella! That’d be per 10,000km

 

[Hairyman]

Does anyone have access to the data on median car age in Australia and/or individual states?

it would be interesting to have an idea of the potential rate of electrification of the fleet.

 

[Vostok]

Does anyone have access to the data on median car age in Australia and/or individual states?

Well according to the SMH article, Matt Kean said “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”

Wow - identifying a target and working backwards to calibrate the plan. The Feds could take some lessons.

 

[Vostok]

$ limits are important
Stamp duty will be removed from EVs that cost less than $78,000 by September this year, and a $3000 rebate given to the first 25,000 vehicles sold in NSW for under $68,000.

So really only applicable to SR+ in NSW. The delivery fee take the LR over the top.

I would not be surprised for Tesla to remove the delivery fee from cars in NSW, just like magic, if that’s what it takes to get the car under the limit.

The $78k threshold does seem ‘curious’ when on the website Tesla lists Long Range Model 3 at $77,900 and Matt Kean drives one.

But in general hard thresholds are bad policy beacuse it overly distorts behaviour. Things like this should phase out, say a sliding scale between $78k and $100k.

 

[Hairyman]

$250 per 1000km per annum. Yes, a rego rebate for a few years at least would help.

The federal coalition will never implement a road user charge on ice vehicles and and the National party would complain about their constituents in the country being disadvantaged by that.

People in the country already pay more tax because of the distances involved - they use fuel to travel and the fuel comes with fuel excise.

I’d speculate that the feds don’t want to give up fuel excise because it is such a money spinner for them and it is not easy to cheat on. The money goes into general revenue, the roads stuff is just a red herring.

To impose a federal mileage tax, would *I think*, need agreement from all the states (remembering back to the introduction of the GST).

At the moment the states look like structuring it as a fee within their own remit. So they are going to be able to extract tax for themselves that the feds can’t touch (think redistribution of GST). For the populous states this will be a really significant amount of income.

If the states agreed to a federal mileage tax then they would be giving all that away. So I can’t see that happening, despite the clear advantages in terms of uniformity and justice.

The feds are certainly watching on in horror and will be thinking of ways to change the way the federal taxes are distributed back to the states.

 

[Chuq]

But $171m for chargers is massive.

Remember Qlds announcement this week was $2.5m for 18 chargers.

$171m buys you hundreds.

Agree, that is massive. I wonder if it will be entirely funding the network or grants.

Compared to how other states have done it:

Qld Govt basically designed, built and fully paid for the QESH themselves. I think earlier stages were similar costs.

Tas Govt offered grants to private companies. $600k of govt funds got 12 fast chargers, combined investment about $2.5m.

SA Govt is funding $18m, WA Govt is funding $26m - not sure if they will go the Qld or Tas route. Different methods give vastly different results.

$171m is on another scale altogether! I notice $131m is flagged as being for ultra-rapid chargers, so it's possible they may duplicate and extend the NRMA coverage with multi-stall sites with 175-350 kW units.

For context, NRMA built out their 40 site network for $10m. But single-stall, 50 kW sites are a hell of a lot cheaper!

 

[Onshore]

I would not be surprised for Tesla to remove the delivery fee from cars in NSW, just like magic, if that’s what it takes to get the car under the lim

The $78k threshold does seem ‘curious’

LCT threshold

 

[GrimRe]

Any chance a model y variant will be under $78k?

 

[paulp]

$ limits are important
Stamp duty will be removed from EVs that cost less than $78,000 by September this year, and a $3000 rebate given to the first 25,000 vehicles sold in NSW for under $68,000.

So really only applicable to SR+ in NSW. The delivery fee take the LR over the top.

Sticking with Aero Wheels also gets all colour options under the $68k, or white with 19"

Applicable to SR+ and all the other EV brands that are cheaper

 

[paulp]

People in the country already pay more tax because of the distances involved - they use fuel to travel and the fuel comes with fuel excise.

I’d speculate that the feds don’t want to give up fuel excise because it is such a money spinner for them and it is not easy to cheat on. The money goes into general revenue, the roads stuff is just a red herring.

To impose a federal mileage tax, would *I think*, need agreement from all the states (remembering back to the introduction of the GST).

At the moment the states look like structuring it as a fee within their own remit. So they are going to be able to extract tax for themselves that the feds can’t touch (think redistribution of GST). For the populous states this will be a really significant amount of income.

If the states agreed to a federal mileage tax then they would be giving all that away. So I can’t see that happening, despite the clear advantages in terms of uniformity and justice.

The feds are certainly watching on in horror and will be thinking of ways to change the way the federal taxes are distributed back to the states.

All very true, but on the flip side the feds can also claim they are not recieving road tax so no more road grants to the states…..and the states are generally not good at spending their money well.

 

[Hairyman]

All very true, but on the flip side the feds can also claim they are not recieving road tax so no more road grants to the states…..and the states are generally not good at spending their money well.

Very sadly this will get pretty messy quite fast

 

[Onshore]

More here:

NSW State Government announces sweeping electric-vehicle stimulus package

Australia's most populous State sets out policies to become "the Norway of Australia" by driving EV take-up through subsidies and rolling out fast chargers.

www.carexpert.com.au

 

[Chuq]

The official government site on all these initiatives with details and some FAQs: NSW Government’s Electric Vehicle Strategy

 

[Sluggabed]

Once again we're all side tracked here, only country on the planet to tax EVs! Rather than just defaulting to more taxes, how about government(s) look internally for saving rather continue to slug the overburdened taxpayer.

Ps. I didn't see a tax on Footy tickets to fund the new stadiums during that whole debacle (just more grants and handouts)