Good news for South Australian EV owners

The new South Australian Labor government is in the process of removing the electric vehicle (EV) road user charge.

The change comes as a part of promises made by the SA Labor Party during the recent state election campaign where they committed to removing the road user charge for EVs.

The road user charge was originally introduced by the previous Liberal government and would cost EV drivers 2.5c/km. It would then be calculated and charged during the registration process of the vehicle.

“We want more South Australians making more environmentally friendly choices, not putting in barriers that dissuade them,” SA Minister for Transport and Infrastructure, Tom Koutsantonis said

“The feedback we received from the community was overwhelming, the Liberals’ decision to introduce this tax would have reduced community uptake.”

Details of the Motor Vehicles (Electric Vehicle Levy) Amendment Bill 2021 were released in November 2021, which outlined that the road user charge would not be in effect until July 2027 or when EV sales reached 30 per cent of total new car registrations – depending on which would happen first.

Other elements of the original Bill which encouraged the uptake of EVs are expected to remain in place such as a $3000 subsidy and 3-year registration fee exemption for eligible EVs purchased and registered in SA.

 

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