Why does Australia not like electric cars

By Isabella Storyclaire

last updated September 17, 2024

Contributions sourced from

Sold out: why Australia doesnt have enough electric vehicles to go around

Matt Holding set an alarm on his phone so he wouldnt miss out on a limited release of electric vehicles, but by the time he jumped online to buy one they had sold out.

In six and a half minutes, all 109 of Hyundais electric SUVs had sold 18,000 Australians had registered their interest.

Youve just got to keep on trying and get in there straight away, which seems ridiculous when youre purchasing an $80,000 car, Holding says of the second time he tried to beat the queue to buy Hyundais Ioniq 5.

The pace at which the cars sold out is part of a broader issue, according to leaders in the industry, as the demand for them in Australia now outstrips supply.

Our biggest issue now is actually attracting supply of electric vehicles, not getting Australians interested in buying them, says Behyad Jafari, the chief executive of the Electric Vehicle Council.

Jafari says Australia is underserved in EVs compared with many other countries due to a lack of government EV and climate policies. The majority of EVs are instead flowing to countries that require car manufacturers to sell them in order to meet fuel efficiency standards and CO2 emission reduction schemes. The UK has banned the sale of all new petrol-run cars by 2030, in South Korea the date is 2025.

Last year, the Morrison government announced it would partner with the private sector to fund 50,000 EV charging stations in homes, 500 for businesses and 1,000 in public areas. This is one part of the governments $2.1bn funded future fuels and vehicle strategy. A spokesperson for the energy minister, Angus Taylor, said the strategy will make it easier for Australians to make the choice to switch to a new technology vehicle thats right for them.

But Australia remains the only country in the OECD not to have fuel efficiency standards for CO2. Nor has Australia adopted the Euro 6 noxious emission standards on fuel quality, which was applied to all new cars sold in the EU more than six years ago.

Australia is not in the race, says Jafari. Our partners in the US and Europe and right around the world have a much easier time because theres a requirement for them to get enough electric vehicles into their markets.

Last year carmakers warned there would be production cuts due to supply chain issues resulting from the pandemic. But Hyundai Australias general manager of corporate affairs, Bill Thomas, says the fact that there are not enough EVs available in Australia is mainly due to a lack of incentives to sell the cars here, rather than supply chain issues.

In Australia, there is a six to nine-month wait on Tesla models. Car manufacturer Kia could only secure 500 of its new electric SUVs this year despite 20,000 Australians expressing interest.

When Nathan Gore-Brown, an EV consultant, saw Honda confirm they had no plans to sell the electric car he wanted in Australia the Honda E he decided to import a used one from the UK. It cost between $15,000 and $20,000 to bring the almost $45,000 car to Australia.

Gore-Brown says a major issue stalling EV uptake is that Australia does not get the same choice of models as many other countries, and what is sent here is often delayed. Car manufacturer koda announced their electric SUV Enyaq would be sold in Australia in 2023, three years after it was first sold in the UK.

Thomas says the demand for Hyundais EVs has gradually increased since Russias invasion of Ukraine sent petrol prices soaring. Were seeing more discussions about EVs on the showroom floor, he says.

People are coming in to look at cars and theyre much more likely to talk about the potential for an EV, even more than they were two weeks ago.

Hyundai has requested more EVs for the Australian market, but does not yet have confirmation they will be delivered. It hopes to secure a version of the Ioniq 5 model that is lower in price later this year.

Jafari says without government leadership on EVs, Australians have been left in a risky position. Every year that we go on with Australians buying petrol vehicles, theyre at risk of buying a new vehicle that in four or five years time will be worthless no one will want to buy it because its redundant technology, he says.

There essentially needs to be a warning that people are buying landlines when the world is moving towards mobile phones.

Due to the difficulty in securing an EV that was right for Holdings family of four and a dog, he bought an internal combustion engine car four months ago to get him by.

I did need a car, and it got the point I just couldnt wait any more, he says.

A spokesperson for the energy minister, Angus Taylor, said supply chain constraints were a global problem affecting vehicles and components.

Despite these constraints, Australians already have the confidence to make the choice to drive an EV, they said. Battery EV sales are soaring, having tripled from 2020 to 2021.

The spokesperson said the governments modern manufacturing strategy was working to overcome global constraints and strengthen local production.

MIT Technology Review

What does Chinas EV market look like now?

As a result of all this, China now has an outsize domestic demand for EVs: according to a survey from the US consulting company AlixPartners, over 50% of Chinese respondents were considering battery-electric vehicles as their next car in 2021, the highest proportion in the world and two times the global average.

There are a slew of Chinese-built options for these customersincluding BYD, SAIC-GM-Wuling, Geely, Nio, Xpeng, and LiAuto. While the first three are examples of gas-car companies that successfully made the switch to EVs early on, the last three are pure-EV startups that grew from nothing to household names in less than a decade.

And the rise of these companies (and other Chinese tech behemoths) coincided with the rise of a new generation of car buyers who dont see Chinese brands as less prestigious or worse in quality than foreign brands. Because theyve grown up with Alibaba, because theyve grown up with Tencent, they effectively were born into a digital environment, and theyre much more comfortable with Chinese brands versus their parents, who would still rather likely buy a German brand or a Japanese brand, says Tu. The fact that these Chinese brands have sprinkled a little bit of nationalism into their marketing strategy also helps, Tu says.

Can other countries replicate Chinas success?

Many countries are almost certainly now looking at Chinas EV experience and feeling jealous. But it may not be that easy for them to achieve the same success, even if they copy Chinas playbook.

While the US and some countries in Europe meet the objective requirements to supercharge their own EV industries, like technological capability and established supply chains, ICCTs He notes that they also have different political systems. Is this country willing to invest in this sector? Is it willing to give special protection to this industry and let it enjoy an extremely high level of policy priority for a long time? she asks. Thats hard to say.

I think the interesting question is, would a country like India or Brazil be able to replicate this? Mazzocco asks. These countries dont have a traditional auto industry as strong as Chinas, and they also dont have the Chinese governments sophisticated background in handling massive industrial policies through a diverse set of policy tools, including credits, subsidies, land use agreements, tax breaks, and public procurements. But Chinas experience suggests that EVs can be an opportunity for developing countries to leapfrog developed countries.

Its not that you can't replicate it, but China has had decades of experience in leveraging these [systems], says Mazzocco.

Chinese brands are now looking to other markets. What challenges are they facing?

For the first time ever, Chinese EV companies feel they have a chance to expand outside of China and become global brands. Some of them are already entering the European market and even considering coming to the US, despite its saturated market and the sensitive political situation. Chinese gas cars could never have dreamed of that.

Why do people hate electric cars?

The most common reasons drivers avoid EVs include fear the battery will run out of charge before reaching their destination, also known as range anxiety, fear of too few charging stations, long charge times, and initial higher upfront vehicle costs.

What is the big problem with electric cars?

EV owners have experienced chronic problems with the display screens, exterior door lights, failing temperature sensors, mismatched paint, and seals and weatherstripping. Its not just that these problems occur, but that they occur at a higher rate than with conventional vehicles.

Why does Australia not like electric cars?

There are a range of unique hurdles to EV adoption in Australia, from the lack of infrastructure in the form of public recharging stations to the limited range, higher initial price of the cars and a lack of government (at all levels) subsidies to help offset the cost.

What are the arguments for electric cars?

Top 10 Reasons You Should Switch to An Electric Car

They are better for the environment.
Theyre just as safeif not safer.
They are cheaper and easier to maintain.
Youll no longer have to pump gasor spend gas money.
You can receive rebates and tax credits.
The total cost of ownership is lower than gas-powered cars.

Why do people hate electric cars? Related Questions

What are 3 disadvantages of electric cars?

Disadvantages of electric cars

Electric cars can travel less distance. AEVs on average have a shorter range than gas-powered cars.
Electric cars can take a long time to recharge. Fueling an all-electric car can also be an issue.
Electric cars can be expensive.

Why gas cars are better than electric?

Gas cars are cheaper compared to fuel than electric cars. Electricity is usually more expensive than gasoline, which means that it will cost you more per mile, so gas-powered cars offer better value for money in the long run.

What are the pros and cons of an electric car?

Electric cars pros and cons

Pros	Cons
You can save a lot of money	Electric cars can be pricey
Electricity is renewable	Charging can be a lengthy process
You can reduce your environmental impact	You cant go as far or as long as gas cars
You can take advantage of tax credits	Finding a station can be tough

How do electric cars help society?

The greatest impact of reduced carbon emissions is in urban areas, where millions of people drive cars. Decreased air pollution due to the elimination of the exhaust pipe in electric cars promotes sustainable mobility. This in turn greatly reduces the negative impact of transportation needs on the atmosphere.

Why are electric cars safer?

Manufacturers design these vehicles with insulated high-voltage lines and safety features that deactivate the electrical system when they detect a collision or short circuit. All-electric vehicles tend to have a lower center of gravity than conventional vehicles, making them more stable and less likely to roll over.

What are some reasons people are choosing to purchase electric cars these days?

In addition to the potential to save you money, electric vehicles provide a variety of other benefits to drivers. First, theyre much better for the environment than gas-powered vehicles, and the mass use of electric vehicles across the world has the potential to slow climate change.

What percent of Americans own electric cars?

Currently, its estimated that around 1 percent of the 250 million cars, SUVs, and light-duty trucks on American roads are electric.

How many years does a gas powered car last?

Cars last around 15 years, so it will take us to 2050 before we get rid of most of the gasoline-powered cars. Drivers will be willing to wait 10 to 15 minutes to charge their cars so they can drive 200 more miles. But if they have to wait much longer, they will not be happy.

What percentage of people would buy an electric car?

Two percent of Americans own an electric vehicle (EV), but 36% say they plan on or are seriously considering buying or leasing one.

Can the average person afford an electric car?

To afford an EV, though, consumers need to be pretty well off. About one-third of American households make more than $100,000 a year and about 15% make between that and $150,000, according to IbisWorld. If they spent sensibly, they would buy one EV and nothing else.

How much does it cost to charge an electric car?

The average cost of charging an EV at a commercial charger, from almost empty to almost full, is between $10 and $30.

Which country has most electric cars?

According to reporting from The New York Times last year, China will be making over eight million electric cars a year by 2028 compared with one million in 2020. And when it comes to total numbers of electric cars sold, China is already far outpacing every other country.

Does it cost more to fuel an electric car?

In general, charging an EV is approximately 3.5 times cheaper per mile than the cost of fueling a gas-powered car. Based on driving a compact sedan, you will pay approximately $0.04 per mile to charge your EV compared to $0.14 to fuel your gas-powered car.

Which is the worlds largest selling electric car?

The Tesla Model 3 was the worlds most popular plug-in electric vehicle with worldwide unit sales of roughly 501,000 in 2021.

Best-selling plug-in electric vehicle models worldwide in 2021 (in 1,000 units)

Characteristic	Sales in thousand units

What state has the most electric cars?

Western U.S. states lead the way when it comes to electric vehicle registrations, with California accounting for over 28% of the nations overall count in 2021.