How do I get the Victorian Government's electric vehicle subsidy?

All the rules and regs on how the incentive scheme actually works in practice

Electric car

The Victorian Government has announced it is to offer 20,000 subsidies worth $3000 each to punters over the next three years, to try and dramatically increase the state’s uptake of electric vehicles.

As of Sunday, 2 May 2021, the first 4000 subsidies are available on electric and hydrogen cars – and yes, only battery- and hydrogen-fuelled electric cars, no plug-in hybrids or motorbikes – up to the value of $68,740 before on-road costs.

But how can you actually get your hands on one? Here’s the low down.

Mazda2 in traffic

Who can get the subsidy?

Any Victorian resident can receive the subsidy once, and businesses with premises in the state can receive it twice.

What am I getting?

The $3000 discount applies to new cars up to the value of $68,740 only, before on-road costs. That includes the cost of the car and accessories (plus GST) but excludes stamp duty, compulsory third party insurance, registration and other costs.

It can’t be applied to used cars purchased or registered before 2 May.

How Australia compares globally for electric vehicle sales

Where do I go to get it?

If you’re interested in buying an EV, head to your local preferred dealership (which must be in Victoria). The catch here is the cars must already be available on Australian soil.

The incentive doesn’t apply to vehicles which can be pre-ordered – that rule limits which models are available, and therefore which car manufacturers you can go to.

How do I get the subsidy?

As of 2 May 2021, you can just head to a car dealership (it’ll need to be one which actually has EVs available to buy in Australia right now for under $69,000) and choose the eligible EV of your liking.

Everything is handled through the dealer. They’ll knock $3000 off the price for you and claim the subsidy on your behalf at the point of sale/when the car is registered to your Victorian address. All you need to do is bring payment, and proof of identity and Victorian residence.

You don’t need to do anything else. The dealer will claim the subsidy from the Victorian Government when payments are available in July.

Archive Whichcar 2018 05 09 1 Electric

When does it start/end?

The scheme started on 2 May 2021 and runs until 30 June, 2024, unless all the available cash has been taken advantage of before then.

Why are they doing it now?

The official reason is that it’s part of the Victorian Government’s ‘Zero Emissions Vehicle Roadmap’, a $100 million plan to “fast track the transition to ZEVs before 2050”. The plan aims for half of Victorian cars/light commercial vehicles to be EVs by 2030, with $46 million in total on offer to encourage people to make the switch.

Why now? Well, there’s a lot of sour grapes over the Andrews Government’s proposed distance-based charge for EVs so it could be to try and reverse some of its unpopularity over that issue.

Why should I buy an EV?

Electric vehicles are powered by an in-built battery pack, which is charged by an external power source. The vehicles have no exhaust emissions and, if charged from a renewable electricity source like solar, the carbon footprint is reduced even further.

In addition to lowering emissions, EVs can help improve air quality, leading to better health outcomes and offer other social and economic benefits. Zero emission vehicles also have the potential to provide services to our electricity grid including storage of electricity and stability.



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