Exemption on RUC for EV until 2024

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Batman

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#288538 7-Jul-2021 07:51

https://www.stuff.co.nz/motoring/evs/125666247/government-extends-ruc-exemption-for-evs

The Government has announced that it will extend the road user charges (RUC) exemption for electric vehicles to 31 March 2024, saving drivers around $800 per year.

“Our Government is continuing to take action to tackle transport emissions to meet our 2050 carbon-neutral target – part of this is helping Kiwis into cleaner cars,” Transport Minister Michael Wood said.

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#2740309 7-Jul-2021 08:19

Doesn't feel like NZ is giving enough incentives...

In Norway -
Population: 5.328 million (2019) - Norway is a Scandinavian country encompassing mountains, glaciers and deep coastal fjords.

The Norwegian EV incentives:

No annual road tax (1996-) No charges on toll roads or ferries (1997- 2017). Maximum 50% of the total amount on ferry fares for electric vehicles (2018-) Maximum 50% of the total amount on toll roads (2019)

Electric cars rise to record 54% market share in Norway in 2020.

diesel-only engines have tumbled from a peak of 75.7% of the overall Norwegian market in 2011 to just 8.6% last year.

New car sales in the country last year were 141,412, of which 76,789 were fully electric.

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#2740314 7-Jul-2021 08:28

they have a lot of chargers i presume?

we have one here a couple there ...

imagine the easter holiday migration ...

even if your car has the range to get to the motel - the motel has charger?

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#2740319 7-Jul-2021 08:42

Norway started giving some of their incentives 25 yrs ago. I'd be willing to bet there weren't many chargers throughout Norway 25 yrs ago. Yet they gave them incentives "No annual road tax (1996-) No charges on toll roads or ferries (1997- 2017)."

I bet not many motels had chargers in Norway 25 yrs ago either.

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#2740323 7-Jul-2021 08:44

Norway has a GDP per capita 78% greater than NZ's and from my limited experience has a much higher standard of housing and basic infrastructure than NZ. I think we have more important things to spend money on than subsidising the uptake of electric cars, especially recognising that it is a global problem and it doesn't matter where in the world each new electric car is

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#2740328 7-Jul-2021 09:16

Batman:

they have a lot of chargers i presume?

we have one here a couple there ...

imagine the easter holiday migration ...

even if your car has the range to get to the motel - the motel has charger?

Have I missed something or have you recently got an EV and encountered the charging network?

ChargeNet have chargers in almost every town/city across NZ. They're also rolling out a few new chargers every week. I've travelled around the country during public holiday periods and I have yet to find myself having to wait for someone else at a charger. I'm not saying it doesn't happen but it's not overly common.

As for motels/hotels having chargers, many do. When I'm booking accomodation I usually book one with a charger.

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#2740343 7-Jul-2021 09:28

shk292:

Norway has a GDP per capita 78% greater than NZ's and from my limited experience has a much higher standard of housing and basic infrastructure than NZ. I think we have more important things to spend money on than subsidising the uptake of electric cars, especially recognising that it is a global problem and it doesn't matter where in the world each new electric car is

And a rampant oil mining industry to fund it

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#2740364 7-Jul-2021 09:36

Norway fund EVs via tax on ICE cars, they buy more (new)cars in general because they are wealthier, we just dont buy many EVs even as a percentage of new cars (which is about 50% of our vehicle imports)

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#2740372 7-Jul-2021 09:42

Back to topic I have no issue with no RUC, there are hardly any EV's here, it wont affect road maintenance. The main resson to buy an EV is saving money, so with no downside it should stay a while yet

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#2740375 7-Jul-2021 09:44

Roads need funding but the original idea on exemption was to incentivise evs to 64,000 or 2% by the end of this year, we're far far from that right now.

And RUC/duty isnt the only funding for roads.

For new EVs I'm not sure it would make a huge difference but if you are buying a cheaper used leaf it really can impact the financial equation vs a smaller efficient diesel.

Still, I dont think they have a good idea how to cope with phev.

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#2740376 7-Jul-2021 09:45

tdgeek:

The main resson to buy an EV is saving money, so with no downside it should stay a while yet

I mean, the main reason to own an EV is to reduce emissions...the carrot of it being cheaper to run is meant to encourage people to buy them.

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#2740377 7-Jul-2021 09:46

Theres only so many people that give a crap about the environment sadly.

You need to make EVs either cheaper or better or both to get mass adoption.

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#2740378 7-Jul-2021 09:48

Obraik:

I mean, the main reason to own an EV is to reduce emissions...the carrot of it being cheaper to run is meant to encourage people to buy them.

I was referring to the main reason why citizens buy them. Same with hybrids, with the many I know who have bought new hybrids, and there are a lot, the first thing they say is the km/litre. Show me the money

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#2740385 7-Jul-2021 09:52

For example the UK switched almost entirely to Diesel over about a 10 year period because it was cheaper - even though purchase price and maintenance was higher.

Now those diesel sales have vanished equally as fast.

EV purchase prices will come down as production scales up, currently only a few percent of their ICE competition. once that gets to 5-10% they will be both cheaper to buy and cheaper to run.

I've no idea how the industry as a whole survives the intervening 10 years where most of their products are a noticeably worse for buyers than the other 10%

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#2740390 7-Jul-2021 10:02

RobDickinson:I've no idea how the industry as a whole survives the intervening 10 years where most of their products are a noticeably worse for buyers than the other 10%

I'm struggling with the "noticeably worse for buyers" - what do you mean by that?

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#2740391 7-Jul-2021 10:06

shk292:

RobDickinson:I've no idea how the industry as a whole survives the intervening 10 years where most of their products are a noticeably worse for buyers than the other 10%

I'm struggling with the "noticeably worse for buyers" - what do you mean by that?

If the EV version is cheaper to buy, requires less maintenance, cheaper to run, you can drive it more places (we already have seen ULEZ zones in cities etc), and likely faster (and fast charging is pretty much sorted), who is going to buy a petrol or diesel car?

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