Australians are sticking to petrol and diesel-fuelled cars on the understanding that they are cheaper and easier to maintain than electric vehicles.
This is despite the federal government offering cut-price loans in a bid to lure more Australians into EVs and help meet Australia’s climate targets.
A new study from Chinese-owned marque Chery – so far excluded from the government’s discounted car finance scheme – reveals that half of Generation Z car buyers still prefer internal combustion engine-powered cars.
This research echoes a similar study from Australia’s biggest auto classified site, Carsales, which found motorists enthusiasm was cooling towards EVs, citing hidden costs and long-term battery uncertainty.
Chery Australia chief operating officer Lucas Harris said younger drivers were interested in EVs, but they just couldn’t afford them.
The Chery research, based on a survey of more than 2000 Australians, found 87 per cent of Gen Z drivers would consider buying a hybrid or electric vehicle, but almost 48 per cent expect their next purchase to be a petrol car.
“Younger drivers are curious and environmentally aware; they just need clarity, not complexity,” Mr Harris said.
Climate Change and Energy Minister Chris Bowen has promoted lower borrowing costs as a way to broaden access to electric vehicles. “Transport is one of our biggest sources of emissions, and electric vehicles are a key way we cut pollution while saving people money,” Mr Bowen said.
But new EVs are sometimes 45 to 50 per cent more expensive than petrol-powered cars and depreciate at a faster rate. This highlights – Carsales data services director Ross Booth said – how consumers were weighing up long-term financial risk against environmental benefit and technology.
“The negatives are outweighing the positives,” Mr Booth said. “It’s just we’re not confident in the technology.”
The world’s richest man, Elon Musk, is betting Tesla’s future on a world in which people won’t own cars outright, let alone drive them. Tesla is committing to an April timeline to start production on its dedicated, fully driverless Cybercab.
The push for mass automation is a bold effort by Mr Musk to reposition Tesla as a transportation service provider, rather than a mere electric vehicle maker, as Chinese competitors – notably BYD – eat into Tesla’s dominance.
The affordability crisis for younger buyers was compounded by a misunderstanding of what a hybrid car was capable of, particularly concerning driving range. The Chery study found more than two in five Australians severely underestimated the driving range of plug-in hybrid or super hybrid electric vehicles. According to the report, 53 per cent of respondents admitted they were not confident distinguishing between the basic differences of a hybrid, a plug-in hybrid, and a fully electric vehicle.
They believed these advanced hybrids have a shorter range than conventional petrol-only vehicles. This was despite some of the newer super-hybrid systems capable of ranges exceeding 1200km on a single tank of petrol and one charge.
Mr Booth agreed with the sentiment, citing personal experience.
“Australians clearly want smarter, more efficient cars but many are still wading through jargon,” Mr Harris said.
Among those who lacked confidence, the top barriers included the feeling that the technology was “unfamiliar” (33 per cent) and the outright confusion caused by “acronyms and jargon” (31 per cent). This confusion made it difficult for consumers to compare models, understand complex specifications like range, and justify the higher sale price.
Further, 64 per cent of women respondents reported a lack of confidence in understanding new vehicle energy technology, compared with 41 per cent of men.
The data shows that Australians are more confident driving a plug-in or super hybrid for long distances. Fifty-five per cent of respondents felt confident driving a hybrid vehicle on a road trip of 1000km or more than a full battery electric vehicle (46 per cent).
Battery range (63 per cent) and more charging stations (60 per cent) were cited as the key hurdles.
“Australians are ready to make the switch, but they need clear information and real-world reassurance,” Mr Harris said.
Extracted in full from: https://www.theaustralian.com.au/business/technology/younger-australians-stick-with-petrol-cars-over-evs/news-story/bc64121edb6b2a71a4eeb14060a99e2b
