1. Electric vehicles
  2. Buying an EV
  3. EV incentives in Australia

NSW Government incentives for EV buyers

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Last updated
19 December, 2023
Written by The NRMA
In late 2021, the NSW Parliament passed the NSW Government's 'Electric Vehicles Bill 2021', leading to the allocation of more than half a billion dollars to incentivise and support the state's transition to EVs.

The New South Wales Government has shown its commitment to an electric future with substantial investments in both electric vehicle (EV) charging infrastructure and incentive programs for buyers and owners of the vehicles.

These incentives – combined with the state's fast charging master plan – target 50 per cent of new-car sales to be EVs by 2030, and make NSW the easiest place to buy and drive an EV in Australia.

Note: On 22 September 2023, the NSW government announced it will phase out the electric vehicle rebate as of 31 December 2023. Instead, it will inject more funding into EV charging infrastructure. As the Sydney Morning Herald has revealed, less than half had been redeemed as of the end of November. More info can be found here.

What incentives does NSW offer for EV buyers? 

Rebates
  • $3,000 rebates for the first 25,000 battery electric vehicles (BEVs) purchased for less than $68,750 (inclusive of GST). This does not apply to used vehicles or plug-in hybrid vehicles.
  • More than $100 million fleet incentive program to support local councils, rideshare and car rental companies' transition to EVs.
Stamp Duty
  • BEVs purchased for less than $78,000 (inclusive of GST) are exempt from stamp duty charges. This does not apply to used vehicles or plug-in hybrid vehicles.
  • All other EVs, including plug-in hybrids, will no longer pay stamp duty from 1 July 2027 or 30 per cent of new vehicle sales, whichever occurs first.
Government Fleet
  • NSW Government car fleet (approximately 20,000 vehicles) will be all-electric by 2030, with a 50 per cent target set for 2026.
Charging
  • More than $150 million will be allocated for highway fast charging, commuter corridor fast charging, destination charging, and household areas where off-street parking is limited.
  • An additional $20 million will be allocated through grants for destination charging across designated ‘EV Tourist Routes’ in NSW (motels, restaurants, wineries, etc.).
    Road User Charge
    • A road user charge of 2.5 cents per kilometre ($325 per annum for the average motorist) is to be introduced on 1 July 2027 or when EVs comprising 30 per cent of new-vehicle sales, whichever occurs first.