Electric Vehicles, Policy, Renewables, State Policy

ACT Government bans fossil-fuel powered light vehicles from 2035

In an ambitious, nation-leading initiative, the ACT Government will ban the sale of fossil fuel-powered light vehicles from 2035, writes Gavin Dennett.

ACT Chief Minister Andrew Barr and ACT Minister for Emissions Reduction Shane Rattenbury released the government’s “ACT Zero Emissions Vehicles Strategy 2022-2030” in late July 2022, and it features a range of progressive initiatives to overhaul the transport blueprint and significantly reduce the territory’s carbon emissions.

Included in the strategy is an overhauling of the registration system to charge motorists based on the emissions they produce rather than the weight of their vehicle; achieving 80 per cent to 90 per cent of new light vehicle sales being zero-emission vehicles by 2030; and the banning of new internal combustion engine vehicles for ridesharing and taxis by 2030.

The strategy also includes consumer incentives such as two years’ free registration for battery electric and hydrogen fuel cell electric vehicles; stamp duty exemptions for EVs; $15,000 zero-interest loans for zero-emission vehicles; incentives for increased usage of electric bikes, motorbikes and trikes; and $2000 grants for installation of EV chargers in multi-unit buildings.

The landmark strategy has been welcomed by public policy think tank The Australia Institute.

“The ACT’s new electric vehicle strategy is nation-leading in phasing out new petrol and diesel passenger vehicle sales into the future,” says Richie Merzian, climate and energy program director, The Australia Institute.

“The ACT Government not only has an ambitious zero-emissions vehicle sales target, but the policies to back it up.

“These policies extend beyond the cars we drive to more active and public transport options – a sure-fire recipe for a liveable, sustainable and better-quality city.

“The ACT’s goal of 100 per cent zero-emissions passenger vehicle sales by 2035 is ambitious, but only by Australian standards. Just last month, EU member states agreed to a similar ban on fossil-fuelled cars by 2035, joining a quarter of the global car market with bans in place – some aiming to make the transition as early as 2025.

“Cars bought in 2035 might still be in use 15 years down the track so any net-zero 2050 emissions pathway requires a fossil fuel vehicle ban by 2035 at the very latest.

“I’d expect to see state governments with net-zero targets follow the ACT’s leadership.”

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