Drivers of electric vehicles won't have to pay road user charges (RUCs) and will be allowed to drive in bus lanes as part of a new Government plan to double EV numbers annually to a target 64,000 by 2021.
Transport Minister Simon Bridges announced the long-awaited package, which he had always warned would be modest, which includes $5 million over five years to promote EV uptake, a $6 million contestable fund to encourage low emission vehicle projects, and will allow EVs to drive in bus and high-occupancy vehicle lanes. There are just over 1000 EVs on New Zealand roads.
There would be "work across government and the private sector to support the bulk purchase of EVs," but no explicit subsidies other than a saving of around $600 a year on RUCs until EVs reach 2 per cent of the national fleet, Bridges announced. The exemption will relate to private passenger vehicles and heavy vehicles running on electricity.
The Green Party called the package "unfair and counterproductive."
Its transport spokeswoman Julie Anne Genter said the Greens would "exempt electric vehicles from fringe benefit tax, a move that would cut at least $8000 off a $40,000 electric vehicle" and require that 20 per cent of new government cars be electric within seven years.
