The electric vehicle industry group blasted the Federal Government’s “staggering failure” to support the domestic market after revelations that used Teslas are selling for more than retail price in Australia.
Auction house Lloyds said on Wednesday its only listing for a near-new 2022 Tesla Model 3 was bid for $71,000, well above the car’s retail price of around $68,000. $ and can be reduced by an additional $5,000 with state government subsidies depending on where it is purchased.
There is only one bid on the Lloyds List, which is also holding the auction, but demand for the latest Tesla is high everywhere. Other car markets list used Model 3s at or above retail price and some buyers even offer to buy other people’s place in Tesla’s official queue for a new car.
The wait time in Australia for a brand new Model 3 is over six months as fuel prices hover around record highs.
The Electric Vehicle Council said news that used electric vehicles are now selling above retail prices in Australia represents a “staggering failure” of the federal government, which has refused to directly subsidize vehicles or set mandates or objectives for their market composition. .
“It’s a stunning reflection of how the Australian government has allowed demand to completely outstrip supply for electric vehicles, leaving Australian consumers with the choice of either massively waiting or paying above retail price for a used car,” said Behyad Jafari, chief executive of the Electric Vehicle Council.
“The Morrison government appears to have confused its own myopic views on electric vehicles with those of average Australians and has completely misjudged the growth in demand.”
Prime Minister Scott Morrison has slammed the Federal Labor Party’s plan to have 50% of new car sales be electric by 2030 as heralding the ‘end of the weekend’.
In November last year, the Coalition unveiled its own strategy on future fuels and vehicles, including electric vehicles. It promised $178 million for charging infrastructure but contained no new subsidies for the purchase of electric vehicles and did not implement any mandates or targets for the sale of these vehicles.
Federal funding for charging infrastructure was also opened this year to hydrogen and non-EV projects.
But state governments have started offering grants for new purchases and their own funding for charging infrastructure – New South Wales alone has provided almost the same funding for electric vehicle charging infrastructure. than the federal government.
The governments of New South Wales, Victoria and Queensland are now offering limited grants of $3,000 for new electric vehicles, with New South Wales also waiving stamp duty for electric vehicles under 78 $000.
The three states each planned to charge electric vehicle drivers a road user fee to recoup lost revenue by not collecting fuel excise taxes.
However, the backlash has seen the plan scrapped in South Australia under a new government and pushed back in New South Wales to 2027. Victoria started her road user charge in July but faces a legal challenge from the from electric vehicle drivers who say it’s unconstitutional.
Federal Labor has promised to effectively subsidize some new electric vehicles through tax breaks and stimulate the used market.
Mr Jafari said Australia remained a “particularly hostile market” for electric vehicles due to the lack of federal policy.
“Global automakers are much more interested in selling cars in Europe, the United States or even New Zealand, where fuel efficiency standards are set and governments offer unambiguous support for the transition” , did he declare.
“Every Australian who wants to buy an electric vehicle should have the same array of options as their American or European counterparts. The fault of them not doing so is the fault of the federal government and its unique hostility towards electric vehicles.
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