EVs beyond many Kiwis, Turners CEO says

AUCKLAND: Turners is the biggest car retailer in the country, but less than 5% of its sales are for electric vehicles.

A new EV costs more than $50,000, while used models start from $10,000$15,000.

Turners chief executive Greg Hedgepeth said the reality was that was too much for most people.

‘‘It is early days and there’s still some water to go under the bridge, but it’s certainly going to have an impact on the average Kiwi car buyer.

‘‘A lot of those people are sub$10,000 cars [buyers] and they’re not necessarily going to be able to come up with more money just to buy a more fuel efficient car,’’ Mr Hedgepeth said.

The Climate Change Commission proposes phasing out the imports of petrol vehicles, which would result in 40% of the light fleet being electric by 2035. Mr Hedgepeth said any legislation concerning EVs could push up the cost even further.

Most used EVs came from Japan, and there was a limited supply.

‘‘When that legislation comes in, no doubt more New Zealand dealers will be competing and bidding on those EVs that come through, so that could potentially push the price up further,’’ Mr Hedgepeth said.

‘‘Noone really knows how high those prices might go once that demand starts getting pushed up.’’

He said some workers needed utes and families needed peoplemovers and ‘‘there just isn’t a fuelefficient EV option available for those people’’.

He worried that would mean people held on to those older vehicles for longer, which would be worse for emissions.

Longtime social policy researcher Charles Waldegrave said the Government had to work out how people on low or lowmiddle incomes could afford EVs.

There were two options, he said.

‘‘Either the cost comes down

. . . or there’s going to have to be some form of subsidy. Otherwise, we will increase poverty and have greater inequality.’’

The commission suggested either a feebate or subsidy to cut the upfront cost of EVs. — RNZ