Government to subsidise electric vehicle leasing with $100mn investment

The Australian government, through its Clean Energy Finance Corporation (CEFC), is behind a push to accelerate the use of electric vehicles in Australia through a new $100mn asset finance program.

The program, in partnership with Macquire Leasing, offers a 0.7% discount on finance for electric vehicles, as well as plug-in hybrid electric vehicles, and a range of eligible energy efficient and renewable energy equipment. Customers who choose eligible lower emissions passenger vehicles can also benefit from the program, with a 0.5% finance discount.

CEFC modelling is targeting carbon savings of more than 200,000 tonnes of carbon emissions over the life of the program.

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CEFC CEO Ian Learmonth said the Macquarie Leasing program was an important extension of the CEFC's ongoing efforts to embed clean energy solutions across the economy. 

"Through similar programs with other financiers, we have already helped businesses, consumers and farmers invest in more than 2,000 energy efficient, low emissions and renewable energy projects, valued at more than $250 million," he said.

"By making this discounted CEFC finance available through major financiers such as Macquarie Leasing, we are making it easier for Australians to prioritise clean energy options when they make major investment decisions.

"Clean energy technologies are developing quickly, and become more cost effective as they reach scale. By supporting the more widespread adoption of exciting clean energy solutions, such as electric vehicles, we can accelerate the decarbonisation of our economy."

ClimateWorks estimates Australia can reduce carbon emissions by around 9mn tonnes by 2030 through the increased use of electric vehicles, coupled with the ongoing decarbonisation of the electricity grid. This figure grows to 27mn tonnes by 2050.