The five things researchers say Australia needs to do to capitalise on electric vehicles (2024)

With new efficiency standards to become law from 2025, Australia is poised to become a more attractive market for electric car makers.

But are we ready for it?

University of Queensland (UQ) researcher Dr Kai Li Lim says it's imperative Australia — and its infrastructure — is ready for a potential influx of electric vehicles (EVs).

"The transition to EVs will require both strategic investment and careful thinking, as charging technology and charging behaviour continue to evolve," he said.

Here are five things researchers say we need to do to capitalise on an electric future.

Invest in charging infrastructure

It's the most obvious area where Australia is lagging behind other countries, according to those in the field.

Dr Lim, from UQ's Centre for Sustainable Engineering Innovation, has been researching the reliability of charging stations in Australia.

The five things researchers say Australia needs to do to capitalise on electric vehicles (1)

"I think charging infrastructure at the moment needs to be more resilient," Dr Lim said.

"You don't really have the density of charging stations that you would in [for example] western European countries or in North America."

He said users also report charging stations are often vandalised, broken and don't work.

If Australia is to promote a future that fosters lower emissions vehicles and EV production, it'll need more reliable charging infrastructure.

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But Dr Lim said it's a balancing act

"You have to invest in charging stations, or rather, deploy charging stations where you will be able to see traffic and utilisation," he said.

"On the other hand, you don't really want to overinvest to a point that you have more and more charging stations sitting there vacant."

Enable EVs to supply energy back to the grid

Electric cars also have the potential to power our homes, or feed electricity back into the grid with leftover charge.

"Electric vehicles are very interesting because the batteries are quite large relative to household loads and the loads that are on distribution networks," UQ Associate Professor Archie Chapman said.

"So they can provide a lot of valuable support to the local network and to the grid as a whole."

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Renewables "have reduced the costs of producing electricity", he said, but these systems aren't always available to the everyday consumer.

Dr Chapman said electric vehicles offer a cheaper and more accessible option.

"Light and heavy EVs should be enabled and encouraged to supply energy back to the grid, lowering energy costs for consumers and reducing greenhouse gas emissions."

Replace the fuel excise

Motorists pay a tax at the pump called a fuel excise, which is used by the federal government to pay for roads and upkeep.

Dr Chapman believes the fuel excise should be replaced with an "efficient or economically sound road user charge" that'll cover electric vehicles too.

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"A fair road user charge for EVs will eventually be needed to replace the loss of fuel excise revenue in Australia, and to continue recouping road costs equitably," Dr Lim added.

This could be a tax per kilometre travelled, to be applied to both petrol and electric vehicles.

Another possibility is a congestion tax, where areas with dense traffic implement a toll to deter drivers.

Address workforce shortages

There will be "high demand for a workforce in all parts of the EV sector", according to Dr Lim.

That includes having staff to install, operate and maintain vehicles and chargers — a complex task that requires specialised courses to meet skill demands.

"Workers in the internal combustion engine vehicle sector should be supported with transition programs, and ideally be provided with pathways toward EV manufacturing and services," Dr Lim said.

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"These are new skills as well, because we're talking about new standards that are coming in internationally," he added.

Dr Chapman said one thing was "for certain".

"Because this is a growing industry, we will be expecting more and more shortfalls until this stabilises a few years into the future," he said.

Include heavy vehicles in targets

A lot of the focus is on passenger EVs but there's also big potential in freight too, Dr Dia Adhikari Smith from UQ's Dow Centre and School of Civil Engineering noted.

"We are moving in the right direction, but I still think we are lacking when it comes to decarbonising our heavier vehicles, because around 38 to 40 per cent of road transport emissions comes from trucks," she said.

"So it's not something we can ignore or neglect."

While emissions targets have been set for cars and light commercial vehicles, there aren't any yet for heavy vehicles like trucks and buses.

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"It should start with a target," Dr Adhikari Smith said.

She pointed to a global memorandum of understanding, which has been signed by 35 countries so far and includes a target of "30 by 30".

"They want 30 per cent of all new trucks and buses [sold] to be zero emission by 2030, so there is a set target to hit."

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The five things researchers say Australia needs to do to capitalise on electric vehicles (2024)

FAQs

Why are electric cars not popular in Australia? ›

More than half of new car buyers in Australia don't want electric cars due to price and charging concerns, according to a recent study. Australians think electric vehicles (EVs) are too expensive to buy and charging infrastructure is too limited, a study has found.

What is the national EV strategy in Australia? ›

The National Electric Vehicle Strategy sets a vision to increase the uptake of electric vehicles (EVs) to reduce our emissions and improve the wellbeing of Australians. The Strategy sets out 3 key objectives: increase the supply of affordable and accessible EVs.

What is the future of electric vehicles in Australia? ›

Australia is currently expecting that all new light vehicles sold by 2035 will be electric, however this may be accelerated with new zero emission targets. All these factors are resulting in EV technology advancing rapidly, with improved performance and range, whilst costs continue to drop.

What is the biggest problem with electric cars? ›

What are the downsides to electric cars?
  • Their batteries need rare metals. ...
  • Making electric cars creates more emissions. ...
  • They are only as green as their power sources. ...
  • Electric cars can be expensive to buy. ...
  • You can't drive as far in an electric car. ...
  • There aren't enough charging points.

What are the challenges of electric cars in Australia? ›

One of the primary hurdles to widespread EV adoption in Australia is the lack of government incentives and policies to encourage uptake. Unlike many European countries, where governments actively promote EVs through subsidies and incentives, Australia has been slower to implement supportive measures.

Why are EVs so expensive in Australia? ›

Numbers one and two are kind of dependent on each other and that is price and availability. So, the fewer EVs you have on offer within the market, the more they can demand a higher price. So, it's a classic supply and demand situation.

Which country is leading in EV? ›

China dominates the rest of the world in the race for the most EV battery manufacturing, with nearly 66% of global Li-ion manufacturing capacity. Although China is leading the way, its share of worldwide capacity could drop as other countries accelerate battery production.

Which country has the best EV policy? ›

Norway is a leading figure in EV adoption globally because they have been developing substantial and comprehensive EV incentive programs since the early 1990's. Norway offers tax breaks, making it easier for EV drivers to save money. There is no purchase tax or VAT on an EV as well as no road traffic insurance tax.

Which are the 3 biggest EV markets globally? ›

Figure 1: Global sales by the three largest EV markets in the years 2020 to 2023 (roughly estimations).
  • China. ...
  • Europe. ...
  • The United States. ...
  • Norway. ...
  • Sweden, Iceland, Finland. ...
  • Netherlands. ...
  • Denmark. ...
  • Germany.
Mar 20, 2024

Is an electric car a good idea in Australia? ›

While the upfront cost is higher, it's likely that buying an electric vehicle means you will enjoy lower maintenance and servicing costs than a petrol or diesel vehicle.

Does Australia have an EV target? ›

Some states have been even more ambitious - the Western Australian Government has a minimum 25% electric vehicle target for its passenger fleet by 2025, the Queensland Government has committed to 100% of eligible government fleet passenger vehicles being zero emission vehicles by 2026, and the Tasmanian Government has ...

How big is the electric vehicle market in Australia? ›

In 2023, the Australia Electric Vehicle Market size was estimated at USD 6.38 billion. The report covers the Australia Electric Vehicle Market historical market size for years: 2019, 2020, 2021, 2022 and 2023.

What is the dark side of electric vehicles? ›

Since we understand the dark side of EVs such as cobalt mining and recycling issues, mainstream opinions from society could push car manufacturers and the academia to explore more environmental-friendly solutions taking EVs' life cycle emissions into consideration.

Why electric cars will not be the future? ›

While producing an electric car, you still end up emitting greenhouse gases into the air. The resources required to build a sustainable and efficient system for electric transportation are way too costly, especially for smaller countries or emerging countries.

Why is no one buying electric cars? ›

The most obvious reason for consumer disenchantment is the hassle of charging EVs. Few drivers are willing to plan their lives around finding a charging station and waiting around for their battery to top up. During the nation's recent Arctic blast, motorists found that getting a full charge took even longer.

Why electric cars are not used more in the US? ›

Affordability, lack of charging infrastructure and range anxiety all remain concerns for mainstream U.S. car buyers. The price for a new EV averaged just less than US$57,000 in May, compared with an average of a little more than US$48,000 for a car or truck with a traditional engine.

What is the controversy with electric cars? ›

Raw materials can be problematic. Like many other batteries, the lithium-ion cells that power most electric vehicles rely on raw materials — like cobalt, lithium and rare earth elements — that have been linked to grave environmental and human rights concerns. Cobalt has been especially problematic.

Why aren t electric cars popular in Japan? ›

One of Japan's biggest obstacles to catching up is its subpar infrastructure. The country has just 30,000 charging connectors, or about one per 4,000 EVs, according to data from Enechange, a Tokyo-based infrastructure provider.

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