AA’s chief mobility officer, Jonathan Sergel, told The Front Page that people are definitely looking for options at the moment.
“With worldwide events putting a real big spotlight on the cost of fueling your vehicle, people are looking at alternatives and whether that’s EVs, plug-in hybrids, hybrids, public transport, walking, cycling, everyone’s looking at ways to try and reduce the cost of travelling,” he said.
“EVs have got a part to play in that, and we’re definitely seeing a big push for people to learn more about EVs, but also talking to some of the people that are bringing those vehicles into the country.”
The Clean Car Discount, which ran from July 2021 to December 2023, was a scheme that made low-emission vehicles more affordable.
Vehicles with zero or low emissions qualified for the rebate, which saw new EV owners, for example, save thousands of dollars. Those with high emissions would incur a fee.
“The scheme is forecast to save New Zealand from importing 1.4 billion litres of petrol. At current prices, the economy will save an average of $325 million a year less on fuel, out to 2035,” then Transport Minister Michael Wood said in May 2023.
But the coalition Government would promise to scrap the discount, and its subsequent “ute tax”, in its first 100 days. It criticised the rebate portion of the scheme as a “Tesla subsidy” and the fees charged as a “ute tax”.
That was after Christopher Luxon’s family upgraded to a Tesla, appearing to have claimed the $8625 subsidy.
Sergel said a clean car rebate or discount would likely work better now than it did then, because there are more affordable EV and hybrid options on the market now.
“The raft of choices that we have today does not compare to what it was like two years ago, when we had a bubble of EVs that were priced between $60,000 to $80,000.
“I was talking to one Chinese manufacturer and they have got a whole heap of cars arriving in April and May that are all pre-sold. But they’ve got - to quote him - thousands of vehicles arriving in June.
“So, they’re really upping the ante and offering that choice. This manufacturer has a good range from $30,000 up to $80,000-plus.
“All those vehicles that come into New Zealand cycle through the second-hand market between three and seven years generally. So that’s where the opportunity is,” he said.
Listen to the full episode to hear more about:
- Future charging infrastructure
- Range and daily driving
- Hybrids vs EVs
- Battery life and degradation.
The Front Page is a daily news podcast from the New Zealand Herald, available to listen to every weekday from 5pm. The podcast is presented by Chelsea Daniels, an Auckland-based journalist with a background in world news and crime/justice reporting who joined NZME in 2016.
You can follow the podcast at iHeartRadio, Apple Podcasts, Spotify or wherever you get your podcasts.
