New analysis from Climateworks Centre revealed Australians could save $19,500 on running costs over the 15-year life of their vehicle if they can purchase an electric car rather than an internal combustion engine (ICE) vehicle.

The report revealed if EVs were to make up three-quarters of new car sales by 2030, this could deliver savings for Aussie motorists to the tune of more than $20 billion in petrol and maintenance costs.

Climateworks Centre note this saving is based on the estimated total running costs of fuel and maintenance over the 15-year lifespan for EVs at $26,360 compared to ICE at $45,948.

Benefits of high ev sales.JPG

Source: Climateworks Centre Accelerating EV Uptake August 2022 Report 

Climateworks Centre Transport Program Manager Helen Rowe said this represents a saving of $1,300 in running costs every year for EV owners compared to owners of petrol vehicles.

"While EVs currently have higher upfront costs, these are falling,” Ms Rowe said.

“With the right mix of policies to boost the supply of vehicles to Australia, our analysis shows EVs and their cheaper running costs will soon be within reach of Australians.”

Last month, the ACT Government outlined its Zero Emissions Vehicle strategy, committing to the target of 80-90% of new cars sold by 2030 being zero-emissions vehicles.

The strategy will also see the ACT phase out the purchase of petrol and diesel engine vehicles from 2035.

See more: Affordable electric cars in Australia

EV sales remain positive, yet greater support is needed to put pedal to the metal

The Federal Chamber of Automotive Industries' VFACTS data for July revealed EV uptake remains positive, increasing 18.3% from June.

Further, a total of 10,289 EVs have been sold in the seven months of 2022, compared to 2,732 sold to the same period last year.

To get to Climateworks Centre’s proposed target of 75% of total vehicle sales being EVs by 2030, the report notes changes need to be made to federal policy to tackle supply and demand.

“Given there are incentives in other markets such as New Zealand, the European Union and the United States, these jurisdictions remain a higher priority for vehicle manufacturers,” the report read.

“Australia can learn from its own history of effectively establishing new technology markets.

“Australian household solar panel uptake was underpinned by clear policy support including standards and financial incentives such as feed-in tariff and certificate schemes. As the market was established, government support phased out to allow it to operate independently.

“Achieving existing EV targets and even lifting Australia’s ambition to a higher target, is possible with the right national policies in place.”


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Update resultsUpdate
LenderCar LoanInterest Rate Comparison Rate* Monthly Repayment Interest Type Vehicle Type Maximum Vehicle Age Ongoing Fee Upfront Fee Total Repayment Early Repayment Instant Approval Online Application TagsFeaturesLinkCompare
6.49% p.a.
7.61% p.a.
$587
Fixed
New
1 year
$8
$400
$35,211
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5.99% p.a.
7.20% p.a.
$580
Fixed
New, Used
7 years
$12
$250
$34,791
5.99% p.a.
5.99% p.a.
$580
Variable
New
No Max
$0
$0
$34,791
6.19% p.a.
6.54% p.a.
$583
Variable
New
No Max
$0
$250
$34,958
6.25% p.a.
6.52% p.a.
$583
Fixed
New, Used
3 years
$0
$195
$35,009
Important Information and Comparison Rate Warning

All products with a link to a product provider’s website have a commercial marketing relationship between us and these providers. These products may appear prominently and first within the search tables regardless of their attributes and may include products marked as promoted, featured or sponsored. The link to a product provider’s website will allow you to get more information or apply for the product. By de-selecting “Show online partners only” additional non-commercialised products may be displayed and re-sorted at the top of the table. For more information on how we’ve selected these “Sponsored”, “Featured” and “Promoted” products, the products we compare, how we make money, and other important information about our service, please click here.

The comparison rates in this table are based on a loan of $30,000 and a term of 5 years unless indicated otherwise. The comparison rates for car loans and secured personal loans for the relevant amounts and terms are for secured loans unless indicated otherwise. The comparison rates for unsecured personal loans are applicable for unsecured loans only. WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. Comparison rates are not calculated for revolving credit products.

Monthly repayment figures are estimates only, exclude fees and are based on the advertised rate for the term and for the loan amount entered. Actual repayments will depend on your individual circumstances and interest rate changes. Rates correct as of . View disclaimer.

Image by Ernest Ojeh via Unsplash





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