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Building a Self-Sustaining Australian EV Market

The Electric Car Discount is accelerating EV uptake, cutting emissions, and delivering over double the economic, health, and environmental benefits for every dollar invested.

Published by
Pragmatic Policy Group LLC

Independent economic research & policy analysis.

Commissioned by
GrowSF

Civic advocacy for San Francisco’s future.

Nalspa
Fi
Electric Vehicle Council
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Contents
Key findings at a glance
  • The Electric Car Discount has already supported approximately 105,500 additional new EVs on Australian roads.
  • Every $1 invested through the Discount currently generates more than $2 in combined economic, health and environmental benefits.
  • Under an extension to 2035, Australia could have approximately 5 million new BEVs, 200,000 PHEVs and 870,000 used EVs on the road.
  • Extending the existing BEV incentive and restoring PHEV eligibility through 2035 could halve vehicle emissions compared with ending support sooner.
  • The policy is expected to support almost $190 million in charging investment in 2025.
  • The return is projected to increase to approximately $3 for every $1 by 2030.

Key findings at a glance

  • The Electric Car Discount has already supported approximately 105,500 additional new EVs on Australian roads.
  • Every $1 invested through the Discount currently generates more than $2 in combined economic, health and environmental benefits.
  • Under an extension to 2035, Australia could have approximately 5 million new BEVs, 200,000 PHEVs and 870,000 used EVs on the road.
  • Extending the existing BEV incentive and restoring PHEV eligibility through 2035 could halve vehicle emissions compared with ending support sooner.
  • The policy is expected to support almost $190 million in charging investment in 2025.
  • The return is projected to increase to approximately $3 for every $1 by 2030.

Six Channels Of Impact

How the Electric Car Discount Supports a Self-Sustaining EV Market

The Electric Car Discount influences more than the initial price of an electric vehicle. The analysis identifies a broader chain linking incentives to vehicle uptake, emissions reductions, used-car supply, charging infrastructure and wider economic benefits.

105,500

Additional new EVs on Australian roads supported by the Electric Car Discount to date

>$2 per $1

Economic, health and environmental benefit generated today for every $1 invested

$3 per $1

Projected return for every $1 invested by 2030

5M

New battery EVs on the road by 2035 if the Discount is extended

870K

Used EVs on the road by 2035 if the Discount is extended

$190M

Charging infrastructure investment supported by the policy in 2025

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