Why video telematics the next step in tackling driver distraction
As of the end of January 2024, New Zealand has witnessed a significant upswing in the electric vehicle (EV) market. The numbers speak volumes, with over 73,000 fully electric light vehicles and an additional 30,000 plug-in hybrids. EVs and hybrids collectively accounted for 40% of all vehicle sales in the last year, marking a notable increase from around 33% in 2022.
Despite these positive strides, achieving net-zero greenhouse gas emissions by 2050 demands further progress. Transport is a significant contributor to New Zealand’s emissions landscape, contributing a whopping 20% to our country’s carbon footprint. There’s a targeted goal in place to help tackle this – reduce transport emissions by 41% by 2035.
While battery electric vehicles offer a promising solution to emission reduction, their adoption faces a roadblock in the form of hefty price tags associated with new technologies, the wrap-up of the Clean Car Discount scheme and now the introduction of road user charges for electric vehicles. From where we are currently sitting, it seems that attaining emission reduction goals and the growth trajectory of EVs in 2024 is not quite guaranteed.
One significant barrier to widespread EV adoption is the phenomenon known as “range anxiety” – the concern that drivers may not have sufficient battery charge to reach their destination. Interestingly, a recent Flip for Fleet survey in New Zealand unveiled that range anxiety is more of a perceived issue among prospective buyers than a concern for current EV owners.
Another speed bump is the time required for EV charging. Charging an EV takes around 40 minutes from 15% to 80% with a fast charger, compared to the mere minutes it takes to refuel a traditional fossil fuel vehicle. As EV adoption grows, so does demand for fast charging, and you may not always be guaranteed first in line when pulling over at charging stations. With New Zealand having a rather uneven network of fast-charging infrastructure, at approximately 400 public chargers nationwide, the lowest in the OECD, there’s work to be done to sway potential buyers.
Besides the Clean Car Discount, other incentives in New Zealand include exemptions from road user charges for light electric vehicles until March 2024, the Clean Car Import Standard and public investments in charging infrastructure through the Low Emissions Transport Fund and the Public EV Charging Fund.
The government is also gearing up to supercharge electric vehicle infrastructure with a comprehensive, nationwide EV network of 10,000 public chargers by 2030. Accelerating the rollout of EV infrastructure will give more Kiwis the confidence to make the switch to electric. This indicates a long-term commitment to building an EV-friendly infrastructure, even when the upfront financial incentives are phased out.
Beyond government incentives, discounts and even road user charges, consumers have choice now. Tesla, for a long time, was the only major EV option, and for hybrids, Toyota dominated the landscape. Today? Manufacturers like Hyundai, BYD, and Polestar are seeing increasing growth in sales – BYD is now surpassing Tesla in sales too.
Across the ditch, Australians can still benefit from EV purchase incentives. In November 2022, the Treasury Laws Amendment (Electric Car Discount) Bill passed through the Federal Parliament, providing up to $2000 off the purchase price of battery-electric and plug-in hybrid vehicles (PHEV), as well as Fringe Benefits Tax (FBT) exemptions for fleets and novated leases.
Comparatively, European countries like France and Germany sweeten the deal with purchase, scrapping, and free parking incentives. The UK and Ireland also join the incentive party, offering everything from road tax exemptions to home charging subsidies.
You can see more about the incentives other countries around the world have for EV and Hybrid vehicles here.
While incentives have proven effective in driving uptake, buyers are increasingly attracted to the inherent benefits of EVs, such as smooth driving, quiet operation, instant throttle response along with the environmental and social advantages.
The wheels of change are rolling, and it’s happening right here on our roads. Waka Kotahi NZTA has calculated that by the end of the decade, more than 50% of monthly vehicle sales in New Zealand need to be electric to meet emission reduction goals. This means making a jump from about 6,000 electric vehicles bought in 2020 to annual sales of 150,000 electric vehicles. Electric vehicles make up a small portion of our total fleet now, but that will change if we want a greener and more environmentally conscious transportation landscape.