While on a visit to the United States, The Hon Jim Chalmers MP, Treasurer of Australia, recently commented on electric vehicle (EV) adoption and government policy aimed at boosting the transition to cleaner transport. During a CNBC interview, he discussed the progress and challenges of EV uptake in Australia, emphasising the role of supportive government policies.
Chalmers pointed out that EV adoption in Australia has been on the rise, partly due to policies like “tariff cuts and tax cuts,” which aim to incentivise EV purchases. He noted that these measures “have been working” to increase EV take-up, reflecting the government’s ongoing commitment to this transition.
However, Chalmers acknowledged that challenges remain, particularly regarding EV affordability and infrastructure. He highlighted the need to ensure that “tax arrangements are right” and that Australians have access to a variety of affordable EV options. “We need to make sure we’ve got the supply so that Australian drivers, motorists, have got choices,” he said, emphasising the importance of making EVs accessible to more Australians.
Chalmers also addressed the question of whether Australia might consider a “cash for clunkers” programme, similar to those seen in other countries. He dismissed the idea, stating, “That’s not something that we’re considering.” Instead, he reiterated the focus on creating a favourable tax environment and improving supply to drive EV adoption.
The Treasurer underscored the government’s broader vision of the net-zero transformation as a significant economic opportunity. He stressed that policies supporting this transition, including those related to EVs, are designed not only to cut emissions but also to create jobs and stimulate economic growth. “We’re plenty ambitious about emissions reduction and about the economic opportunity that lies at the very core of that,” he noted.
Chalmers concluded by reaffirming the government’s commitment to supporting the EV market through targeted policies, ensuring that Australia remains aligned with global efforts to reduce emissions while seizing economic benefits. “We believe in the future of EVs. I think Australians do too,” he stated, expressing optimism about the role of EVs in Australia’s path to a cleaner, more sustainable future.
