Who’s buying an EV now it’s cheaper?
A Government initiative to get more people into electric cars has emphatically sparked things into life for at least one Hamilton dealer.
‘‘We have sold seven cars this morning. It is an absolute first,’’ said HamiltonEV managing director Nicholas Down yesterday – the day after an announcement that people buying new electric vehicles (EVs) will be eligible for a discount of up to $8625 from July.
‘‘The best we have done up to now is sell four in a day. Most days it is two or three.’’
Under the Government’s plan, cars worth up to $80,000 will be eligible for the discount meaning at least one model of Tesla is eligible, as well as more popular, cheaper EVs like the Nissan Leaf – which Down’s Frankton dealership specialises in.
If the Government has been preaching the virtues of EVs, then Down is a loud voice in the choir passing that message on to the masses – but even he considers the rebate to be merely a step, rather than a stride, in the right direction.
‘‘It is not a perfect policy but then what policy is? If you are rich enough to afford an $80,000 car, then you don’t really need a rebate. That money would be much better spent on fixing homelessness and giving the nurses better pay.’’
The biggest challenge now was dispelling the myth that EVs were unaffordable for ordinary people.
Depending on the strength of the battery and age of the car, some of Down’s range started from less than $10,000.
‘‘Why would you want to have a clapped-out six-cylinder gas guzzler that costs $70 or more a week to fill up at the pump when one of these costs just $3 to charge up overnight? We also provide a free warrant for life and a free service every year – you can’t argue with that.’’
There were three types of people buying EVs, Down said.
‘‘The majority are folk who want to save a bit of money. They might be retired or semi-retired, and don’t really need to travel out of town.
‘‘At the other end of the scale are the two-car families. An EV is perfect for about 90 per cent of their journeys and they can save their bigger petrol car for going on holiday or other long trips.
‘‘And then there are the treehuggers. The eco-friendly people make up 15-20 per cent of the bracket.’’
The discounts are not just for new imported EVs.
People purchasing used import EVs, new or used imported plug-in hybrids, as well as ordinary internal-combustion vehicles that pollute less, will also be eligible for discounts depending on the vehicle’s emissions profile.
The Government will pay for the discounts by putting a fee on emitting vehicles. The fees go up to $5175 for a new import or $2875 for a used import. The charges could be relatively small – the Mitsubishi ASX, for example, would incur a fee of $530.
People who need to buy an EV right now can qualify for the discount immediately.
They just have to hold off on registering that car until July 1.
Car buyers will either collect discounts or pay fees through Waka Kotahi NZ Transport Agency when they first register their vehicles.