Australia’s electric-car rebates are “middle-class welfare” – auto executive

The boss of Kia Australia has again broken ranks with the car industry and doubled-down on his criticism of taxpayer-funded electric-vehicle rebates, and says public money should be redirected to establishing better infrastructure to boost confidence in the emerging technology.

Most states and territories in Australia waive stamp duty or offer generous rebates on electric cars – even though there is a two-year wait on some models and most cost in excess of $50,000.

The state-based cashback schemes deliver a windfall of up to $6000 to buyers wealthy enough to be able to afford a new electric vehicle.

However, the boss of Kia Australia, Damien Meredith, has repeated his criticism of such incentives and described the various programs as “middle-class welfare”.

“I find it mind-boggling that … state governments can give $5000, $6000 … to give that sort of money (to buyers of electric cars).

“For me, it’s middle-class welfare. That’s just my view. I haven’t changed on that and I won’t change on that.

The comments come after Victoria quietly axed its subsidy program for electric cars in its recent budget.

“If you wanted to make an impact in regards to (electric vehicles), that type of money should have gone into infrastructure and let market forces be market forces (in terms of vehicle demand).

“I’ve stated that to government, every working party that’s been put together over the past three or four years. I’ve been a lone voice I might add, but that’s just my view. We should put the money into infrastructure.

“The UK is saying that their infrastructure isn’t ready for the amount of vehicles that they’re selling. Or there is a fair bit of buyer remorse because of the lack of infrastructure issues in western Europe.”

MORE: Every electric car rebate and discount available in Australia
MORE: Queensland introduces Australia’s biggest electric-car subsidy