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Legislative Council - Fifty-Fourth Parliament, Second Session (54-2)
2020-11-11 Daily Xml
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Electric Vehicles

The Hon. E.S. BOURKE (14:38): I seek leave to make a brief explanation before asking a question of the Treasurer regarding taxes.

Leave granted.

The Hon. E.S. BOURKE: Comments by the national CEO of the Electric Vehicle Council have been reported in the media, and I quote:

…Electric Vehicle Council CEO Behyad Jafari described that proposal as a 'dud'…

'If the revenue from fuel excise is falling because South Australians are burning less foreign oil, that should be considered a blessing,' he said. Overall it's good for air quality, it's good for the health budget, it's good for carbon emissions…The last thing any sane government would do is try to hit the brakes on this trend.

Jafari said a recent analysis by EY showed that every driver who switches to an electric vehicle delivers a $1,370 boost to government coffers, and a $8,763 boost to the Australian economy.

'It's like responding to a drop in the tobacco tax take by slamming a new excise on nicotine gum.'

Under the South Australian rule, hybrid cars with very low consumption dodge both the road tax and the bulk of fuel excise costs. My questions to the Treasurer are:

1. Did the government review the Ernst and Young report that detailed the benefits to the government from electric vehicles beyond taxes?

2. How were benefits like improved health and lower health spending considered in developing this new tax?

The Hon. R.I. LUCAS (Treasurer) (14:40): I can indicate that the Board of Treasurers, which comprises Labor and Liberal treasurers from all state and territory jurisdictions, for at least 12 months and possibly two years has been considering every available report in relation to a proposed road user charge. There has been considerable consideration by Treasury officers and government officers in all jurisdictions, Labor and Liberal, in relation to the evidence for a proposed road user charge.

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