A national approach to the design and implementation of any charge for electric vehicles is needed the Australian Logistics Council (ALC) announced today.
It follows confirmation of a road user charge for electric vehicles by the South Australian Government in its 2020-21 Budget after Treasurer Rob Lucas intended to disincentivise the purchase of electric vehicles through tax.
The expenditure of $18.3 million over four years to deliver an Electric Vehicle Action Plan is designed to establish a statewide electric vehicle charging network so as to increase the uptake of electric vehicles.
However, the intention to introduce a user charge for electric and zero emission vehicles as from 1 July 2021, based on distance travelled, has come under fire.
“If the revenue from fuel excise is falling because South Australians are burning less foreign oil, that should be considered a blessin,” said Electric Vehicle Council Chief Executive Behyad Jafari.
“Overall it’s good for air quality, it’s good for the health budget, it’s good for carbon emissions, and it’s great for economic sovereignty. The last thing any sane government would do is try to hit the brakes on this trend,” he said.
The intention of the SA Government is to recover an amount similar to that recovered from traditional car users through the payment of fuel excise that is applied to maintain the road network.
Budget documents reveal that the State Government is consulting with other states and territories about the detail of the proposed road user charge.
This approach is in line with a recommendation contained in the NSW Government’s paper the NSW Review of Federal Financial Relations: Supporting the Road to Recovery ,which recommended that Australian treasuries and state transport departments work together to design a nationally compatible and fair road user charging scheme for electric vehicles.
ALC CEO Kirk Coningham has welcomed the establishment of the Electric Vehicle Action Plan.
“ALC encourages investment in infrastructure that would assist in the staged transition of vehicles from fuel to electric powered vehicles,” he said.
He warned, however, that industry should be properly represented in the discussions designing any proposed user charge so that it is both nationally uniform and efficient.
“Australia functions as a single national market. It is imperative that there is a consistent road user charge operating throughout the nation so that businesses who decide to make an early transition to electric vehicles can make appropriate purchasing decisions,” said Coningham.
“Governments around Australia should therefore now indicate where the process of developing a road user charge for electing vehicles has arrived at so that industry can assist in designing a scheme that is practical and actually works in practice.
“Designed correctly, the approach can be directly applied in other programs including the long-running Heavy Vehicle Road Reform process which is designed to modernize the way in which heavy vehicles are charged to access Australia’s roads.”