Australia’s Electric Vehicle Council (EVC) has published its annual State of Electric Vehicles (EVs) report ahead of the end of December, with 2024 looking to be a significant year for Australia’s EV transition as the fuel alternative gains more traction in the country.
EV sales increased substantially from January to September of this year, with the report sharing that 9.53 per cent of all new cars sold in Australia during this time were EVs, a clear increase from 8.45 per cent of all new cars sold the year prior. This figure works out to 85,319 EVs sold between Q1 and Q3 of 2024.
Tesla supplied the majority of this figure, with 20 per cent of the total EVs sold being Tesla Model Y vehicles. The next four model types most contributing to the total sales were Tesla Model 3s, BYD Seals, BYD Attos and Mitsubishi Outlanders, the last being a plug-in hybrid electric vehicle (PHEV) as opposed to a battery-electric vehicle (BEV).
Australia’s EV market saw 122 total model types being sold – 78 BEV types and 44 PHEV types, with 223 variant models on top of that, a reported 50 per cent increase in the number of variants from 2023.
Of these model types, 10 were models of electric vans and utes, 18 were models of electric trucks and 24 were models of electric buses.
There are roughly 18 distinct models of electric trucks (over 4.5t) currently on offer in the Australian market, although variations in weight, wheelbase and body type increase the range of available options.
Electrification is naturally progressing in last-mile delivery applications – particularly light-duty vehicles, which account for over 80 per cent of the trucks on Australian roads.
Both electric vans and utes were starting to expand their presence in the market.
“Some of these vehicles are locally remanufactured from left-hand drive to right-hand drive to help fill this gap in the market,” notes the report.
“Unfortunately, however, the companies that are creating local jobs in carrying out these conversions are not currently included in the New Vehicle Efficiency Standard, and therefore, do not receive the associated incentives to increase supply.
“The EVC encourages the Federal Government to proactively seek to include remanufactured utes and vans into the NVES, so that this alternative supply model can be encouraged to help fill in any gaps in the market and assist with driving down costs for both local remanufacturers and Australian consumers.”
Assuming current trends continue, EV sales are forecast to reach between at least 15 to 19 per cent of all new car sales by 2026. Australia is also on track to pass 300,000 EVs in the national vehicle fleet by 2025, but sustained policy support is required for this to be realised. Currently, EVs make up approximately 1.5 per cent of Australia’s light vehicle fleet.
The presence of EV charging infrastructure also expanded in the country. Australia now hosts over 1,000 charging locations, many of which are ‘fast’ and ‘ultra-fast’ charger spots.
Despite this seemingly upwards trajectory in Australia’s EV market, it is important to note that the market is also facing a number of significant setbacks in regard to both demand and supply-side EV policies.
According to the State of Electric Vehicles report, several states – New South Wales, Victoria, Queensland and South Australia – have ceased offering purchase incentives to EV buyers, a mechanism which remains crucial to introducing more of the Australian market to alternate-fuelling vehicles. This government intervention is ultimately necessary for the EV market to reach its critical mass, after which it can be self-sustaining.
The cessation of these financial incentives have been implemented suddenly, as opposed to over time, and have reportedly risked shocking the EV market.
Additionally, the State of Electric Vehicles report expressed its concern for a lack of a comprehensive and transparent net-zero emissions strategy across Australia’s transport industry, an obstacle which mitigates the effectiveness of EV rollout.
This lack of a comprehensive strategy can be felt most in regard to the transition of commercial transport vehicles. These vehicles account for almost a quarter of transport’s overall carbon footprint, but the sector reportedly lacks clear national leadership to achieve any emissions reduction goals.
Furthermore, the absence of transparency extends to proper EV reporting, an issue the EVC continues to face. The EVC’s report shares that the organisation has been blocked from accessing data from VFACTS – a source for motor vehicle sales data frequently used by the Australian Bureau of Statistics – and is forced to find their EV facts from a range of public sources.
This blocking ostensibly propagates a lack of clarity on EV to both consumers and members of the transport industry, the EVC report claimed, leading to the spread of misinformation on the subject and hindering the overall success of the transition as a result.
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