Behyad Jafari, the former CEO of the Electric Vehicle Council (EVC) and current Chief Growth Officer at Splend, has long been at the forefront of Australia’s electric vehicle (EV) industry. With over a decade of experience shaping the future of EVs, Jafari is a leading voice on the challenges and opportunities facing the market today. His insights into the current state of EV adoption, particularly in fleet and rideshare sectors, highlight both the progress made and the work still to be done. In this role, Jafari has been instrumental in pushing for stronger government support to help accelerate the transition to electric vehicles, particularly in the fleet space.
Australia’s EV Market: Growth with Challenges
The electric vehicle market in Australia has grown significantly over the past few years, but according to Jafari, this growth has been far from smooth. Speaking from his extensive experience leading the EVC, Jafari notes that while Australia has seen electric vehicle sales triple in recent years, this growth is starting to slow, which may raise concerns for some. However, he views this slowdown as a natural part of the market’s evolution rather than a cause for alarm.
“Australia’s EV market is still growing, but at a slower rate than before,” Jafari explains. “We’ve moved from a point where EV sales were doubling and tripling each year because we were coming off a very low base. Now that the numbers are getting larger, it’s natural for the growth rate to slow down a bit. But that doesn’t mean the market isn’t expanding—it just means we’ve reached a more mature phase of growth.”
Jafari acknowledges that the slowdown has sparked commentary from those who were sceptical of electric vehicles from the start. However, he believes that the fundamentals of the market are still strong. “Some people are quick to point out that EV sales aren’t skyrocketing anymore, but that’s just part of the normal growth curve. In the grand scheme of things, the market is still moving upward, and we’re seeing more electric vehicles on the road every day.”
Government Support for EVs: Infrastructure Over Incentives
One of the key areas where Jafari believes there is room for improvement is government support for the transition to electric vehicles, particularly for fleets. He explains that while governments have made significant investments in charging infrastructure, there has been less focus on direct support for vehicle purchases, especially for fleets that make up a large portion of Australia’s overall vehicle market.
“There’s been a lot of government investment in charging infrastructure, which is great and absolutely necessary,” Jafari says. “But at the same time, we need more support for people and businesses to actually buy electric vehicles. Infrastructure and vehicle purchases go hand in hand—you can’t have one without the other.”
Jafari points out that in Australia, governments have been more willing to invest in shared infrastructure, such as public charging networks, than in direct subsidies for electric vehicle purchases. This is partly because infrastructure projects are seen as benefiting a broader range of people, whereas subsidies for vehicle purchases are more targeted. “Governments tend to feel more comfortable investing in things like charging infrastructure because it’s a shared asset. Anyone can use it, so it benefits more people. But that doesn’t mean we should neglect support for people and businesses who want to switch to EVs.”
While some state governments have introduced grants and incentives for electric vehicle purchases, many of these have now been phased out. However, the federal government’s Fringe Benefits Tax (FBT) exemption for electric vehicles remains in place, and Jafari sees this as a critical tool for encouraging fleet electrification.
“The FBT exemption is really important because it helps level the playing field for electric vehicles compared to other types of vehicles, like utes, which already have tax exemptions,” he explains. “We’re not asking for anything new or special—just the same kind of support that other types of vehicles already get.”
Fleets as Key Players in the EV Transition
Fleets, including commercial, government, and rideshare vehicles, represent a significant portion of the total vehicles on Australia’s roads. According to Jafari, fleets are a crucial part of the electric vehicle transition because they tend to drive more than individual consumers, which means they stand to benefit the most from the lower operating costs of electric vehicles.
“Fleet vehicles drive far more kilometres each year than the average private vehicle, so the savings on fuel and maintenance are even more pronounced for them,” Jafari says. “That’s why it’s so important to get fleets on board with the switch to electric. The benefits are huge, both for the businesses that run these fleets and for the broader environment.”
However, Jafari warns that many fleets are still hesitant to make the switch because of the upfront cost of electric vehicles. He believes that additional government incentives, such as tax breaks or rebates for fleet purchases, could help accelerate the transition. “The biggest barrier for fleets right now is the upfront cost. Even though electric vehicles save money over the long term, the initial investment is still higher than for a petrol or diesel vehicle. That’s where we need more government support to help fleets make the switch.”
The Importance of Continued Investment
Looking ahead, Jafari is optimistic about the future of the electric vehicle market, but he stresses that continued investment—both from governments and the private sector—will be crucial to maintaining momentum. “We’ve made great progress, but we can’t afford to take our foot off the pedal,” he says. “We need to keep investing in both infrastructure and vehicle incentives to make sure the transition continues smoothly.”
Jafari also highlights the role of the private sector in driving the transition. “It’s not just about waiting for governments to step in—companies like Splend are already proving that electric vehicles make sense for professional drivers. We’ve seen thousands of rideshare drivers successfully switch to EVs, and they’re saving money while reducing their environmental impact.”
For Jafari, the key to unlocking the full potential of the electric vehicle market lies in collaboration between governments, businesses, and consumers. “We’re all in this together,” he says. “Governments need to provide the right incentives and infrastructure, businesses need to offer innovative solutions like we do at Splend, and consumers need to embrace the benefits of electric vehicles. If we all work together, we can make this transition a success.”