After electricity generation and manufacturing, transport is Australia’s third highest source of emissions. Electrification of transport is a major opportunity for car-loving Australia to reduce its emissions. And for all Australians, and businesses, to get behind a target of net zero by 2050 when choosing their next car.
Written by Chau Le, Group Manager, Strategy
Helping Australians change gears
Australians have been relatively slow to take up EVs compared to the US and Europe, where the market has grown at a rapid rate.
Concerns around how far you can drive an EV before needing to charge it, lack of charging infrastructure and the absence of subsidies, tax breaks or policies supporting greater take-up have all contributed to soft EV sales. EV sales comprise just 0.6 per cent of new car sales in Australia each year.
But this is starting to change, with nearly 60 per cent of Australians saying they’d consider buying an EV as their next car.
Many perceptions of EVs in the Australian market are a bit outdated and we want to accelerate the shift to a different mindset. While EVs typically cost more up front compared to a petrol vehicle, they’re cheaper to run.
For a start, electricity as a fuel is cheaper than petrol. EVs require less maintenance and are less prone to mechanical issues than combustion engine vehicles – and there is no difference in performance. EV costs will continue to come down the cost curve, making them even more competitive on costs over time.
Today EV models can drive for upwards of 500km on a single charge. Manufacturers are releasing new models all the time to suit all budgets – not just the luxury market.
Businesses will drive the EV market forward
Business fleets make up around half of all new vehicles sales in Australia. This means that by supporting businesses to transition their fleets to EVs, we can help make a significant dent on emissions from the transport sector.
By stimulating demand for EVs in the fleet market, manufacturers will be more confident to release more models locally. And, in time, with the flow-through of EVs to the second-hand market and more EVs on the roads, we hope this will encourage more private vehicle owners to make the switch.
Accelerating emissions reduction with Origin 360 EV
We’re proud to launch Origin 360 EV Fleet which will make switching to electric vehicles easier for Australian businesses, helping to lower both their carbon footprint and their operating costs.
Origin 360 EV Fleet brings together Australia’s leading energy retailer with Australia’s leading fleet management company, Custom Fleet, to provide a one-stop shop for EV fleet procurement, management and charging.
It’s a natural extension of the range of clean energy products and services we already provide to our business customers, including solar and battery solutions.
Lower costs for business
Most importantly for businesses with an eye on their bottom line, electrifying their fleets makes commercial sense because they are cheaper to run. EVs cost about 70 per cent less to run per km, with a cost on average of $0.14/km on fuel for petrol vehicles compared to $0.04/km in electricity costs on a similarly driven EV.
Customers who want to explore how switching to EVs could benefit their business can contact us for a personalised consultation.
More to come
Origin has committed to transitioning all 600 of our passenger and light commercial vehicles to electric vehicles by 2030.
Origin is undertaking an EV smart charging trial with support from ARENA that will provide important insights to drive the take-up of EVs in the Australian market.
We’re represented on the board of the Electric Vehicle Council, and we’re a member of EV100 – a global initiative to accelerate the uptake of EVs.
We’re accelerating our EV plans and will have more news about other EV solutions soon. Watch this space!